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❓ Question seeks clarification on how payroll tax will be assessed for 'employee like' contractors following the 2001/2002 State budget announcement. The Treasurer's answer outlines alignment with Commonwealth tests and ongoing consultation.

AnsweredQoN 1275Legislative Assembly

Asked

15 November 2001

Member

Hon. C.L. Edwardes

Portfolio

Treasurer

QuestionView source ↗

(1) Has the Treasurer yet determined how payments made under contracts wholly or predominantly for the labour of ‘employee like’ contractors will be assessed for the extension to the payroll tax base announced in the State budget 2001/2002?
(2) If so, how will payments be assessed?
(3) If not, when will this determination be made?

AnswerView source ↗

Answered

19 February 2002

Response time

96 days

I have already advised Parliament that these tests will be as consistent as possible with the Commonwealth's 'alienation of personal services income' tests, whilst recognising the practical differences between payroll tax and income tax. The tests will be refined during the consultation process - which is already well underway - to ensure that the new provisions operate in a practical and workable manner for employers. Legislation giving effect to this measure will be drafted following completion of the consultation process, and the Government is still working towards passage by 1 July as previously announced in the Budget.

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