sec.13Election during financial year

sec.13 Election during financial year

This section applies if— an employer wants to elect to include in returns actual value amounts and use those amounts to work out the employer’s relevant payroll tax and levy liabilities; and the employer has made an election under subdivision 2 that continues to apply. The employer must apply to the commissioner for consent to make the election. An application under subsection (2) must be in writing. The commissioner must consider the application and decide whether or not to give the consent. The commissioner may give the consent only if reasonably satisfied— the main purpose for the employer’s election is not to avoid or reduce the amount of payroll tax or mental health levy that would otherwise be payable for the financial year if the payroll tax or mental health levy were calculated on an estimated value basis; and the employer, because of the employer’s circumstances, has compelling reasons for making the election. The commissioner must give the employer written notice of the commissioner’s decision. If the commissioner consents to the election, the employer must elect to include in returns actual value amounts and use those amounts to work out the employer’s relevant payroll tax and levy liabilities. An election under subsection (7) — is made by the employer using an actual value amount to work out the employer’s periodic liability and periodic levy liability for the first periodic return period after receiving the consent; and continues to apply until the employer elects, under subdivision 2 , to use estimated value amounts to work out the employer’s relevant payroll tax and levy liabilities; and applies for working out— periodic liability and periodic levy liability for the periodic return period mentioned in paragraph (a) ; and all subsequent relevant liabilities for the employer while the election continues to apply. If the employer makes an election under subsection (7) , the employer must— use a reconciliation amount to work out— the employer’s annual liability for the financial year in which the election is made; and if the employer is not a group member or is the DGE for a group—the employer’s annual levy liability for the relevant financial year; and include the reconciliation amount as part of the wages paid or payable during the financial year by the employer— in the employer’s annual return for the financial year; and if the employer is a non-DGE group member—in the information given to the DGE under section 88A (5) of the Act for the financial year. However, if the employer makes an election under subsection (7) and a change of status happens for the employer during the financial year in which the election is made, the employer must— use a reconciliation amount to work out the employer’s final liability and, if the employer is not a group member or is the DGE for a group, the final levy liability for the final period for the change of status; and include the reconciliation amount as part of the wages paid or payable during the final period by the employer— in the employer’s final return for the final period; and if the employer is a non-DGE group member—in the information given to the DGE under section 88B of the Act . The employer must not purport to make an election under subsection (7) unless the employer has received a consent under this section. Maximum penalty for subsection (11) —20 penalty units. In this section— relevant liability , for an employer, means— if the employer is not a group member or is the DGE for a group—the employer’s periodic liability, annual liability, final liability, periodic levy liability, annual levy liability and final liability; or if the employer is a non-DGE group member—the employer’s periodic liability, annual liability, final liability and periodic levy liability. s 13 amd 2022 SL No. 168 s 12 (sec.13-ssec.1) This section applies if— an employer wants to elect to include in returns actual value amounts and use those amounts to work out the employer’s relevant payroll tax and levy liabilities; and the employer has made an election under subdivision 2 that continues to apply. (sec.13-ssec.2) The employer must apply to the commissioner for consent to make the election. (sec.13-ssec.3) An application under subsection (2) must be in writing. (sec.13-ssec.4) The commissioner must consider the application and decide whether or not to give the consent. (sec.13-ssec.5) The commissioner may give the consent only if reasonably satisfied— the main purpose for the employer’s election is not to avoid or reduce the amount of payroll tax or mental health levy that would otherwise be payable for the financial year if the payroll tax or mental health levy were calculated on an estimated value basis; and the employer, because of the employer’s circumstances, has compelling reasons for making the election. (sec.13-ssec.6) The commissioner must give the employer written notice of the commissioner’s decision. (sec.13-ssec.7) If the commissioner consents to the election, the employer must elect to include in returns actual value amounts and use those amounts to work out the employer’s relevant payroll tax and levy liabilities. (sec.13-ssec.8) An election under subsection (7) — is made by the employer using an actual value amount to work out the employer’s periodic liability and periodic levy liability for the first periodic return period after receiving the consent; and continues to apply until the employer elects, under subdivision 2 , to use estimated value amounts to work out the employer’s relevant payroll tax and levy liabilities; and applies for working out— periodic liability and periodic levy liability for the periodic return period mentioned in paragraph (a) ; and all subsequent relevant liabilities for the employer while the election continues to apply. (sec.13-ssec.9) If the employer makes an election under subsection (7) , the employer must— use a reconciliation amount to work out— the employer’s annual liability for the financial year in which the election is made; and if the employer is not a group member or is the DGE for a group—the employer’s annual levy liability for the relevant financial year; and include the reconciliation amount as part of the wages paid or payable during the financial year by the employer— in the employer’s annual return for the financial year; and if the employer is a non-DGE group member—in the information given to the DGE under section 88A (5) of the Act for the financial year. (sec.13-ssec.10) However, if the employer makes an election under subsection (7) and a change of status happens for the employer during the financial year in which the election is made, the employer must— use a reconciliation amount to work out the employer’s final liability and, if the employer is not a group member or is the DGE for a group, the final levy liability for the final period for the change of status; and include the reconciliation amount as part of the wages paid or payable during the final period by the employer— in the employer’s final return for the final period; and if the employer is a non-DGE group member—in the information given to the DGE under section 88B of the Act . (sec.13-ssec.11) The employer must not purport to make an election under subsection (7) unless the employer has received a consent under this section. Maximum penalty for subsection (11) —20 penalty units. (sec.13-ssec.12) In this section— relevant liability , for an employer, means— if the employer is not a group member or is the DGE for a group—the employer’s periodic liability, annual liability, final liability, periodic levy liability, annual levy liability and final liability; or if the employer is a non-DGE group member—the employer’s periodic liability, annual liability, final liability and periodic levy liability.