Taking out more PAYG tax

At times staff may want to have additional PAYG tax withheld from their pay. The current requirement is that the employee must complete an Upwards Variation, which is a specific ATO form and also forms part of the Withholding Declaration.

From 1 February 2015 the requirement for staff to complete this form will be abolished. Employers can decide on which process to implement for this purpose as they see fit. For example, an internal form or email may suffice provided the employer is given the necessary information.

Staff who want to have less PAYG tax withheld must still seek approval from the ATO and complete the relevant variation form.