Payroll tax payable by mortgage aggregator on commissions paid to brokers, court finds

This decision is significant for taxpayers within the financial services industry, in particular those operating aggregator businesses within the mortgage space, as outlined by Keith Swan.

The Supreme Court of New South Wales (the Court), on 12 April 2024, considered the application of the “relevant contract” provisions in the Payroll Tax Act 2007 (NSW) (the Act). In the decision of Loan Market Group Pty Ltd v Chief Commissioner of State Revenue [2024] NSWSC 390 the Court held that a “relevant contract” existed between the mortgage aggregator taxpayer and the mortgage brokers who provided loan origination services to loan applicants / borrowers, using the taxpayer’s aggregatio...

Sign in below or register now to read the full article

Authors: Keith Swan

Published Date: 24 April 2024