Pay-As-You-Go Tax Withholding (PAYG)
Being PAYG registered allows you to withhold funds from a payment to meet tax obligations
If your company intends to employ staff and/or pay directors and shareholders a wage/salary, it must be PAYG registered.
The ATO will advise how often it requires PAYG payments to be made; this is usually monthly or quarterly.
The estimated amount that you expect to withhold is generally an indication of the reporting frequency:
- $25 000 or less = quarterly
- $25 001 up to and including $1 000 000 = monthly
- More than $1 000 000 = increased frequency
This information is of a general nature only and does not constitute professional advice. You must seek professional advice in relation to your particular circumstances before acting.
Updated — Mar 27, 2017