Payroll Tax

Payroll Tax: An Unfair Burden

WA has the highest payroll tax burden of any state, which is making it harder for small and medium enterprises to do business. It’s impacting the creation of new jobs and investment in WA, putting WA businesses at a competitive disadvantage to businesses in other states. It’s like our businesses have to compete with one arm tied behind their back.

Fact #1:
WA has the worst payroll tax in the country and it’s holding us back

If your business is in WA, you pay more payroll tax than in any other State over a wide range of taxable wages. This means that for businesses it is much more expensive to employ 20 Western Australians, than 20 South Australians.

We know this is stopping you from employing more Western Australians and stifling your ability to invest, innovate and diversify. Businesses in other States say emphatically that WA’s payroll tax damages their perception of WA as an attractive place to expand their business.

And it’s not just us, our latest independent Consumer Confidence Survey revealed two in three (66%) WA households believe lowering the payroll tax burden on WA business would help to grow the State’s economy.

How do you compare? Do you think it’s fair?

Our interactive Payroll Tax Calculator gives you an immediate visual representation of the disparity regarding Payroll Tax.

Enter your total gross annual wages to see how your payroll tax liability compares to organisations like yours in other states.


Fact #2:
There is an easy fix

Under our proposal, if your business has taxable wages less than $1.3 million, you would not be lumbered with payroll tax. If your taxable wages are between $1.3 and $4 million, you would get a 15 per cent rebate on your payroll tax liability, with the rebate tapering down to zero for organisations with taxable wages at $7.5 million.

We are also calling on the government to commit to regular reviews of the payroll tax threshold and burden on business.

Join our campaign

We are calling for the tax on jobs to be reduced by the State Government as a priority. With over 130 years proven success advocating for changes that make WA the best place to live and do business, we have the influential relationships and trust with the people that matter most.

It’s critical that you have a voice that is listened to, because your voice makes a difference. By working together, we can ensure you are heard.

Share your story and help us fight for fairness.

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Hear from CCIWA Chief Economist, Aaron Morey: