$2.5m threshold, 5.5% or 6.5% NT Territory Revenue Office
Payroll Tax — Northern Territory
The NT has the highest threshold of the six states here — $2,500,000 — and from 1 July 2026 a new 6.5% rate applies to very large employers.
| What | NT |
|---|---|
| Annual threshold | $2,500,000 |
| Rate | 5.5% / 6.5% |
| Paid to | NT Territory Revenue Office |
What you need to know
- Annual wage threshold: $2,500,000. Monthly threshold: $208,333.
- Standard rate: 5.5%.
- From 1 July 2026, a new rate of 6.5% applies to employers, and members of payroll tax groups, with Australia-wide wages of $100 million or more.
- The 5.5% rate continues to apply to all other employers.
- The threshold was $1,500,000 until 30 June 2025 — it was raised to $2.5 million from 1 July 2025.
Why payroll tax surprises businesses
Payroll tax is a state tax on wages, and it is the tax most likely to catch a growing business by surprise for three reasons:
- The threshold is tested on Australia-wide wages, not just wages paid in that state. A business with staff in three states counts all of them.
- Groups share one threshold. Related entities are treated as one employer, so they do not each get their own tax-free amount.
- Registration and liability are separate. In several states you must register even when your wages are under the threshold and you owe nothing.
Frequently asked questions
What is the payroll tax threshold in the NT?
$2,500,000 a year, or $208,333 a month — the highest annual threshold of the six jurisdictions covered here.
What is the NT payroll tax rate?
5.5% for most employers. From 1 July 2026 a 6.5% rate applies to employers and groups with Australia-wide wages of $100 million or more.
Is the threshold based on NT wages only?
No — payroll tax thresholds are generally tested on Australia-wide wages, which is why the NT's threshold and the large-employer rate both refer to Australia-wide figures.
When did the threshold go up?
It was $1,500,000 until 30 June 2025 and rose to $2,500,000 from 1 July 2025. If you are reading an older article, that is the figure it is probably quoting.
Compare the other states
| State | Threshold | Rate |
|---|---|---|
| New South Wales | $1,200,000 | 5.45% |
| Victoria | $1,000,000 | 4.85% |
| Queensland | $1,300,000 | 4.75% |
| Western Australia | $1,000,000 | 5.5% |
| Tasmania | $1,250,000 | 4% / 6.1% |
| Northern Territory | $2,500,000 | 5.5% / 6.5% |
Related
- Land tax calculator — the state tax on property instead of wages
- Company tax rates
- Take-home pay calculator
- Centrelink payment rates
From NT Territory Revenue Office, checked 12 October 2026. General information only — not tax advice.