Payroll Tax Act 2007

In this Division, a relevant contract in relation to a financial year is a contract under which a person (the designated person) during that financial year, in the course of a business carried on by the designated person—

supplies to another person services for or in relation to the performance of work; or

has supplied to the designated person the services of persons for or in relation to the performance of work; or

gives out goods to natural persons for work to be performed by those persons in respect of those goods and for re-supply of the goods to the designated person or, where the designated person is a member of a group, to another member of that group.

However, a relevant contract does not include a contract of service or a contract under which a person (the designated person) during a financial year in the course of a business carried on by the designated person—

is supplied with services for or in relation to the performance of work that are ancillary to the supply of goods under the contract by the person by whom the services are supplied or to the use of goods which are the property of that person; or

is supplied with services for or in relation to the performance of work where—

those services are of a kind not ordinarily required by the designated person and are performed by a person who ordinarily performs services of that kind to the public generally; or

those services are of a kind ordinarily required by the designated person for less than 180 days in a financial year; or

those services are provided for a period that does not exceed 90 days or for periods that, in the aggregate, do not exceed 90 days in that financial year and are not services—

provided by a person by whom similar services are provided to the designated person; or

for or in relation to the performance of work where any of the persons who perform the work also perform similar work for the designated person—

those services are supplied under a contract to which subparagraphs (i) to (iii) do not apply and the Commissioner is satisfied that those services are performed by a person who ordinarily performs services of that kind to the public generally in that financial year; or

is supplied by a person (the contractor) with services for or in relation to the performance of work under a contract to which paragraphs (a) and (b) do not apply where the work to which the services relate is performed—

by two or more persons employed by, or who provide services for, the contractor in the course of a business carried on by the contractor; or

where the contractor is a partnership of two or more natural persons, by one or more of the members of the partnership and one or more persons employed by, or who provide services for, the contractor in the course of a business carried on by the contractor; or

where the contractor is a natural person, by the contractor and one or more persons employed by, or who provide services for, the contractor in the course of a business carried on by the contractor; or

is supplied with—

services solely for or ancillary to the conveyance of goods by means of a vehicle provided by the person conveying them; or

services solely for or in relation to the procurement of persons desiring to be insured by the designated person; or

services for or in relation to the door‑to-door sale of goods solely for domestic purposes on behalf of the designated person.

Subsection (2)(a), (2)(b)(i), (2)(b)(iv) or (2)(d) does not apply to a contract under which services not referred to in that subsection are supplied in addition to services referred to in that subsection.

Subsection (2)(b)(ii) or (iii) does not apply to—

a contract under which services not referred to in that subsection are supplied in addition to services referred to in that subsection; or

a contract under which services referred to in that subsection are provided for a period exceeding a period referred to in that subsection.

Subsection (2)(c) does not apply to a contract under which work is performed in a manner other than a manner referred to in that subsection, in addition to work performed in a manner referred to in that subsection.

Subsection (2) does not apply if the Commissioner determines that the contract under which the services are supplied was entered into with an intention either directly or indirectly of avoiding or evading the payment of tax by any person.

For the purposes of this section, an employment agency contract under which services are supplied by an employment agent, or a service provider is procured by an employment agent, is not a relevant contract.