Taxation Administration Act 1953
SCHEDULE 1
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COLLECTION AND RECOVERY OF INCOME TAX AND OTHER LIABILITIES
PART 2-5
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PAY AS YOU GO (PAYG) WITHHOLDING
Division 10
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Guide to Part 2-5
SECTION 10-5
SUMMARY OF WITHHOLDING PAYMENTS
10-5(1)
The payments and other transactions covered by PAYG withholding are called withholding payments. They are summarised in the table.
10-5(2)
These can also be treated as withholding payments: (aa) a payment that arises because of the operation of section 12A-205 (see Division 12A ); (a) alienated personal services payments (see Division 13 ); (b) non-cash benefits, and capital proceeds involving foreign residents and certain kinds of taxable Australian property (see Division 14 ).
View history note
Hide history noteNote: See section 3AA .
Chapter 2 - Collection, recovery and administration of income taxThe payments and other transactions covered by PAYG withholding are called withholding payments. They are summarised in the table.
Note:
The obligation to pay an amount to the Commissioner is imposed on the entity making the withholding payment (except for items 17, 19, 22 and 27, and 26 (to the extent that it covers subsection 12-390(4) )).
| Summary of withholding payments | ||
| Item | Withholding payment | Section |
| 1 | A payment of salary etc. to an employee | 12-35 |
| 2 | A payment of remuneration to the director of a company | 12-40 |
| 3 | A payment of salary etc. to an office holder (e.g. a member of the Defence Force) | 12-45 |
| 3A | A payment to a *religious practitioner | 12-47 |
| 4 | A return to work payment to an individual | 12-50 |
| 5 | A payment that is covered by a voluntary agreement | 12-55 |
| 6 | A payment under a labour hire arrangement or a payment specified by regulations | 12-60 |
| 7 | A *superannuation income stream or an annuity | 12-80 |
| 8 | A *superannuation lump sum or a payment for termination of employment | 12-85 |
| 9 | An unused leave payment | 12-90 |
| 10 | A social security or similar payment (e.g. old age pension) | 12-110 |
| 11 | A Commonwealth education or training payment | 12-115 |
| 12 | A compensation, sickness or accident payment | 12-120 |
| 13 | A payment arising from an investment where the recipient does not quote its tax file number, or in some cases, its ABN | 12-140 |
| 14 | Investor becoming presently entitled to income of a unit trust | 12-145 |
| 14A | A trustee of a closely held trust distributing an amount from the trust income to a beneficiary, where the beneficiary does not quote its tax file number | 12-175 |
| 14B | A beneficiary of a closely held trust becoming presently entitled to income of the trust, where the beneficiary does not quote its tax file number | 12-180 |
| 15 | A payment for a supply where the recipient of the payment does not quote its ABN | 12-190 |
| 16 | A dividend payment to an overseas person | 12-210 |
| 17 | A dividend payment received for a foreign resident | 12-215 |
| 18 | An interest payment to an overseas person | 12-245 |
| 19 | An interest payment received for a foreign resident | 12-250 |
| 20 | An interest payment derived by a lender in carrying on business through overseas permanent establishment | 12-255 |
| 21 | A royalty payment to an overseas person | 12-280 |
| 22 | A royalty payment received for a foreign resident | 12-285 |
| 22A | A departing Australia superannuation payment | 12-305 |
| 22AA | An *excess untaxed roll-over amount | 12-312 |
| 22B | A payment (of a kind set out in the regulations) to a foreign resident | 12-315 |
| 22C | A payment (of a kind set out in the regulations) received for a foreign resident | 12-317 |
| 22D | A payment of salary, wages etc. to an employee under a labour mobility program | 12-319A |
| 23 | A mining payment | 12-320 |
| 24 | A natural resource payment | 12-325 |
| 25 | A payment by a withholding MIT | 12-385 |
| 26 | A payment by a *custodian or other entity | 12-390 |
| 27 | A payment under the *first home super saver scheme | 12-460 |
10-5(2)
These can also be treated as withholding payments: (aa) a payment that arises because of the operation of section 12A-205 (see Division 12A ); (a) alienated personal services payments (see Division 13 ); (b) non-cash benefits, and capital proceeds involving foreign residents and certain kinds of taxable Australian property (see Division 14 ).
Note:
The obligation to pay an amount to the Commissioner is imposed on the entity receiving the alienated personal services payment or providing the non-cash benefit or capital proceeds.
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