Australian Capital Territory payroll tax for 2026-27: 6.75% above a $1,750,000 threshold. Enter your annual wages to estimate the tax.
How ACT payroll tax is worked out
- The first $1,750,000 of wages a year is tax-free (the deduction).
- The rest is taxed at one rate set by total Australian wages: 6.75% up to $20,000,000; 6.85% above $20,000,000 up to $50,000,000; 7.35% above $50,000,000 up to $100,000,000; 7.85% above $100,000,000 up to $150,000,000; 8.75% above $150,000,000.
ACT payroll tax by wage bill
| Annual wages | Deduction | Rate | Payroll tax | Effective rate |
|---|---|---|---|---|
| $500,000 | $1,750,000 | 6.75% | $0 | 0.00% |
| $1,000,000 | $1,750,000 | 6.75% | $0 | 0.00% |
| $1,500,000 | $1,750,000 | 6.75% | $0 | 0.00% |
| $2,000,000 | $1,750,000 | 6.75% | $16,875 | 0.84% |
| $3,000,000 | $1,750,000 | 6.75% | $84,375 | 2.81% |
| $5,000,000 | $1,750,000 | 6.75% | $219,375 | 4.39% |
| $10,000,000 | $1,750,000 | 6.75% | $556,875 | 5.57% |
| $50,000,000 | $1,750,000 | 6.85% | $3,305,125 | 6.61% |
A single employer, not grouped, paying all wages in ACT for the full year.
Common questions
What is the payroll tax rate in ACT?
The first $1,750,000 of wages a year is tax-free (the deduction). The rest is taxed at one rate set by total Australian wages: 6.75% up to $20,000,000; 6.85% above $20,000,000 up to $50,000,000; 7.35% above $50,000,000 up to $100,000,000; 7.85% above $100,000,000 up to $150,000,000; 8.75% above $150,000,000.
What is the ACT payroll tax threshold?
$1,750,000 a year in 2026-27. The monthly threshold is $145,833.33 (it was $166,666.66 before 1 July 2026).
Does the calculator handle grouping and interstate wages?
No. It assumes one employer, not grouped, paying all its wages in the state for the full year. Grouped or interstate employers share the threshold in proportion to their wages in each state; check the revenue office's rules or use its calculator.
Is payroll tax paid by employees?
No. It's a state tax on employers' wage bills; it doesn't come out of employees' pay.
Compare every state with the payroll tax calculator for Australia. Other states: NSW · VIC · QLD · WA · SA · TAS · NT.
Source: ACT Revenue Office, About payroll tax. Checked 2026-10-22. General information only, not tax advice.