Payroll tax is a state or territory tax that employers must pay based on the total wages they pay to employees.
Each region in Australia has its own threshold and tax rates that determine when a business becomes liable for this tax.
For instance, in some Australian states, businesses must pay payroll tax if their total wages exceed a set threshold (e.g., $1.25 million). This tax is used to fund public services and infrastructure and is calculated as a percentage of total employee wages.
