This guide contains the following information:
- Default tax file numbers
- PAYG calculation
- PAYG rounding
- Under 18 no-tax ruling
Default tax file numbers
- A new payee has not made a TFN declaration, but 28 days have not passed – use the code 111 111 111.
- The payee is under 18 years of age and earnings do not exceed $350 per week, $700 per fortnight or $1,517 per month – use 333 333 333.
- The payee is an Australian Government pensioner – use 444 444 444.
- The payee chooses not to quote a TFN and has not claimed an exemption from quoting a TFN or does not fit into any of these categories – use 000 000 000.
Payroll Guru calculates PAYG based on the ATO tax withheld algorithm. For more information, see:
PAYG does NOT need to be rounded on payslips, it does however need to be rounded on the PAYG summaries and Instalment Activity Statements.
Under 18 no-tax ruling
Payroll Guru will apply the no-tax under 18 ruling if the employee meets the following criteria:
1. the employee is under 18
2. the employee is exempt from having a TFN, and is therefore using 333 333 333.
3. the employee is earning under the weekly / fortnightly threshold
4. the employee is claiming the tax-free threshold