Less tax. More jobs.
How much would your business save?
A Zempilas Liberal Government will lift the payroll tax-free threshold from $1 million to $1.5 million, the biggest increase in WA’s history. Enter your annual payroll to see what you’d save.
Total taxable wages paid in WA over a year, including super.
Your estimated saving each year
$0
Enter your annual payroll to see your saving.
- Over four years
- $0
- Your effective tax rate
- 0%
Relief aimed at small and medium businesses
Every WA business with a payroll between $1 million and $7.5 million pays less under our plan. Payrolls up to $1.5 million pay no payroll tax at all, and the biggest saving, about $31,700 a year, goes to businesses right on that line.
Our commitment
A Zempilas Liberal Government will:
- Increase the payroll tax-free threshold from $1 million to $1.5 million, with the exemption tapering to zero at $7.5 million.
- Deliver permanent payroll tax relief to around 14,500 WA employers, including about 3,500 who will no longer pay payroll tax at all.
This is permanent, structural reform, not a rebate that disappears after twelve months. It costs about $297 million a year: $88 million less than the extra payroll tax Labor collected from WA employers last year.
14,500
WA employers receiving payroll tax relief
3,500
employers removed from payroll tax entirely
Labor sees growing businesses as an opportunity to collect more tax. The Liberals see growing businesses as an opportunity to create more jobs.
Payroll tax collections have climbed from $3.3 billion in 2017–18 to a record $6.2 billion in 2025–26.
How we worked out your saving
Today, WA businesses pay payroll tax at 5.5% on wages above a $1 million threshold. That threshold shrinks as payroll grows and runs out at $7.5 million. Our plan lifts the threshold to $1.5 million and keeps the same $7.5 million end point and 5.5% rate.
The calculator assumes a single WA employer that isn’t part of a group, pays no wages interstate, and pays wages for the full financial year. If your business is grouped or pays wages in other states, your threshold is shared or apportioned and your figures will differ.
Savings by payroll band
| Annual payroll | Payroll tax today | Under our plan | Annual saving |
|---|
Estimates only, based on RevenueWA’s current payroll tax settings (in place since 1 July 2023) and the WA Liberals’ proposed threshold. This is not an official RevenueWA assessment.