Payroll tax grouping
The Commissioner issued payroll tax assessments grouping nine companies for six financial years from 2009-10 to 2014-15. The taxpayer objected to the grouping of three of those companies — two on the basis that they did not conduct a ‘business’ within the meaning of s67 of the Payroll Tax Act, and the remaining one on the basis that the discretion in s79 of the Payroll Tax Act ought to be exercised because it was carried on independently and unconnected with the business of each member of the group.
On 6 November 2019, the Tribunal confirmed the grouping of two of the three companies. The first was confirmed on the basis that it carried on a business. The second was confirmed on the basis that it was not carried on independently of and unconnected with the business of each member of the group.