Max Warlow & Associates Pty Ltd

Consultancy Services

Pay-roll Tax & WorkCover

Many employers lose substantial sums in the areas of Pay-roll Tax and WorkCover.

A staggering 48% of all errors in this legislation is caused by a lack of understanding of how the legislation applies to payments to contractors.

Most taxpayers take one of two incorrect approaches:

* Pay on all contractors
* Not pay on most contractors.

As the refund provisions in Victoria for Pay-roll Tax are limited to tax overpaid during the previous three years,(other States vary) any overpayments of tax beyond this three year period will be forfeited.

The Pay-roll Tax law contains very complex grouping provisions, frequently causing several entities to be considered as one taxpayer for Pay-roll Tax purposes. Whilst the Tax Commissioner does have some discretion to 'ungroup' separate and independent businesses, it is absolutely essential expert guidance is sought when applying for such discretion.

Taxpayers should be aware that in Victoria, WorkCover auditors are private accounting firms, the remuneration of which is partly based upon a 'success fee'. There are many 'danger' areas for the taxpayer within WorkCover legislation, one causing frequent problems being the appropriate Industry Classification for WorkCover purposes.

The leading Case law in respect of interpreting the application of the relevant legislation and how it applies to contractors is Behmer & Wright, a case conducted and won by Max Warlow.

Max Warlow & Associates Pty Ltd have a long, successful history of applications made on behalf of clients, and can be of considerable assistance should that need arise.

The best time to have your Pay-roll Tax and WorkCover affairs examined and put in order is before you are audited, not after.

The security of professional guidance from Max Warlow & Associates Pty Ltd may be sought by contacting them via telephone or email