10.2 Tax

LES must pay Australian income tax on their earnings. Employers, including foreign missions and consulates, are required by law to withhold tax from payments made to LES and pay this to the Australian Taxation Office (ATO). To comply with their obligations under Australia’s ‘pay as you go’ (PAYG) tax withholding system, missions must:

  • register with the ATO to withhold tax from payments made to Australian employees, known as Pay As You Go (PAYG) withholding
  • use the ATO’s online calculator or tax tables to calculate how much tax to withhold
  • pay and report withheld amounts to the ATO
  • provide an annual payment summary to each LES employee by 14 July
  • lodge a PAYG withholding annual report with the ATO by 14 August.

More information is available on the ATO website or by calling 13 28 66 between 8am and 8pm Monday to Friday and 10am and 4pm on Saturday, except on national public holidays.

Last Updated: 8 November 2017