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Monthly Pay As You Go instalments for large taxpayers

This consultation process has now been completed.
Consultation Type
Exposure Draft

Key Documents

On 22 October 2012, as part of the 2012-13 Mid-Year Economic and Fiscal Outlook, the Australian Government announced a three year process to reform the timing of large companies' Pay As You Go (PAYG) instalments. This reform will better align large companies' tax instalments with both their GST payments, and their income and trading conditions by requiring them to make PAYG instalments monthly, rather than quarterly.

It is anticipated that this change will be implemented in three stages. Companies that meet or exceed a $1 billion annual turnover threshold will migrate to the new system from 1 January 2014. Companies that meet or exceed annual turnover thresholds of $100 million or $20 million will migrate from 1 January 2015, and 1 January 2016, respectively. To avoid imposing undue compliance burdens, companies with an annual turnover between $20 million and $100 million that are not consolidated for income tax purposes, will not be required to move to monthly PAYG instalments if they pay their GST quarterly or annually.

The legislation in this exposure draft aims to implement these announced changes.

The purpose of this consultation is to provide interested parties with an opportunity to provide feedback on the proposed legislation, building on comments provided on the earlier consultation paper. This feedback is valuable in ensuring the effective implementation of this measure.


No submissions are currently available.