Forum Discussion

rosetav's avatar
rosetav
Contributing Cover User
9 days ago

PAYG withholding tax

Can anyone tell me if this is correct our employees including myself have to pay tax last year, as apparently we didnt pay enough. is it because Foreign Resident is selected? I have tried to manually change each individual employee to tax free threshold but it keeps defaulting back to Foreign Resident. Does anyone have a solution, I lodged a request with Myob yesterday afternoon still waiting for someone to get back to me. I would apprecaited any help thanks

 

2 Replies

  • NikkiParsons's avatar
    NikkiParsons
    Valued Cover User
    7 days ago

    Hi. Where you are is at the set up for tax codes and not where you control taxes per employee. You need to go the employee card, payroll, taxes and add any extra tax an employee wants deducted there or change to the correct tax status if not currently set that way.

     

    If I am reading it correctly, if you or employees need to pay PAYG instalments - they are a separate extra tax requirements to be paid by the individual employee on top of their wages tax - it is the ATO requesting prepayment of taxes in advance if there was a shortfall. This is a separate obligation to taxing an employee's wage in MYOB.

     

     

  • rosetav's avatar
    rosetav
    Contributing Cover User
    7 days ago

    Hi NikkiParsons, Im a little confused we have over 50 employees, according to our records the last tax table revision was 24/09/2025, so shouldnt this be calculating the correct tax amount?   I have never had any issues before until last Year, this is what I get when I go into the  employee card, payroll, taxes. The original screen shot I took was from clicking on the blue arrow below next to the PAYG Withholding.  For example if this employees Tax table is: Tax Free Threshold  then shouldnt Tax Free Threshold be appearing on the PAYG Withholding?