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Embodyhealth's avatar
3 years ago

UNUSED ANNUAL LEAVE PAYOUT

what is the best way to work out the tax applicable on paying out unused annual leave?

  • Hi Embodyhealth 

     

    Thanks for your post. PAYG Withholding on unused leave needs to be calculated using the ATO method applicable to what the leave is made up of, the reason for the payment and when leave was accrued.

     

    This link to the ATO website has full instructions for calculating PAYG Withholding: Unused annual leave 

     

    Please let me know if you need further help.

     

    If my response has answered your enquiry please click "Accept as Solution" to assist other users find this information.

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  • Hi Embodyhealth 

     

    Thanks for your post. PAYG Withholding on unused leave needs to be calculated using the ATO method applicable to what the leave is made up of, the reason for the payment and when leave was accrued.

     

    This link to the ATO website has full instructions for calculating PAYG Withholding: Unused annual leave 

     

    Please let me know if you need further help.

     

    If my response has answered your enquiry please click "Accept as Solution" to assist other users find this information.