Northern Territory payroll tax for 2026-27 is 5.5% of taxable wages above a $2,500,000 threshold, which reduces by $1 for every $2 of Australian wages above $2.5 million and is nil at $7.5 million. From 1 July 2026, employers and groups with Australia-wide wages of $100 million or more pay 6.5%.
Payroll tax in the Northern Territory is administered by the Territory Revenue Office. This page sets out the 2026-27 rates and threshold (from 1 July 2026), how to work out the tax, and when to register, lodge and pay. For every state side by side, see our payroll tax by state guide.
NT payroll tax rates and threshold 2026-27
| 2026-27 | |
|---|---|
| Rate | 5.5%; 6.5% for employers or groups with Australia-wide wages of $100M or more |
| Annual threshold | $2,500,000, reducing by $1 for every $2 above $2.5M, nil at $7.5M |
| Monthly threshold | $208,333 |
| Returns | Due the 21st of the next month |
| Annual adjustment return | 21 July |
| Online system | INTRA |
How to calculate NT payroll tax
The NT has the highest threshold in Australia, but it shrinks quickly for larger employers: $1 for every $2 of Australian wages above $2.5 million.
Example: $4,000,000 of wages, all in Darwin. The threshold reduces by ($4,000,000 - $2,500,000) / 2 = $750,000, leaving $1,750,000. Tax = ($4,000,000 - $1,750,000) x 5.5% = $123,750.
The 6.5% rate for groups with Australia-wide wages of $100 million or more was announced in the 2026-27 Budget to apply from 1 July 2026. The $100 million test is applied to group wages and is not pro-rated for part years.
When you must register
Register and start paying within 21 days of the end of the first month in which you become liable: that is, when you pay NT wages and your Australian wages exceed $208,333 in a month.
Lodging and paying
- Monthly: returns and payment are due on the 21st of the following month (or the next business day).
- Annually: annual lodgement may be allowed if your estimated tax is under $20,000.
- Annual adjustment return: due 21 July.
- Returns are lodged through the Integrated Revenue Application (INTRA).
Exemptions and concessions
Exempt wages include those paid to eligible apprentices and trainees, employer-paid parental leave, defence leave and genuine redundancy payments.
Interest and penalties
Interest is the market rate plus a premium of 8% a year. Penalty tax normally ranges between 2% and 95% depending on the circumstances.
Employers in more than one state, and overseas companies
Payroll tax is charged by each state on the wages paid for work done there, but the threshold tests use your total Australian wages, including those of related companies. Two consequences catch new employers:
- Interstate wages reduce the threshold. If you also pay wages in other states, you claim only the NT share of the threshold (NT wages / total Australian wages). You must register in every state where you pay wages once the group passes the threshold, even if you have only one employee there.
- Grouping. Related businesses, such as two Australian subsidiaries of the same overseas parent, are grouped. The group shares one threshold, claimed by the designated group employer.
We register overseas-owned companies for payroll tax in every state, lodge the monthly and annual returns, and run the payroll itself through our payroll service, from $200 a month. If you have no Australian entity yet, our employer of record service (from $500 per employee a month) employs your staff and handles payroll tax for you.
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Frequently asked questions
What is the NT payroll tax threshold for 2026-27?
$2,500,000 a year ($208,333 a month). It reduces by $1 for every $2 of Australian wages above $2.5 million and is nil at $7.5 million.
What is the NT payroll tax rate?
5.5%, or 6.5% from 1 July 2026 for employers and groups with Australia-wide wages of $100 million or more.
When are NT payroll tax returns due?
The 21st of the following month, with the annual adjustment return due 21 July.
This content is general information only and is not legal, financial or tax advice. Laws and regulations change often. For advice on your circumstances, speak to a qualified adviser.