We will continue to make Victoria a great place to do business, with a further $221 million cut to payroll tax.
What will the money be used for?
The 2017/18 Budget includes investments for:
Payroll tax cuts
This includes $48 million from bringing forward payroll tax cuts announced in last year’s Budget. Increases in the payroll tax-free threshold will be brought forward by one year, meaning the $575,000 payroll tax threshold will be increased to $650,000 from 1 July 2018.
This will benefit approximately 38,000 Victorian businesses.
Businesses in regional Victoria will receive a 25% discount on their payroll tax. The payroll tax rate will decrease to 3.65% for businesses with payrolls that consist of at least 85% regional employees.
This will support regional employers to grow their businesses, and encourage further employment of workers in regional areas.