Setting Up a New Flat Rate Tax Scale

Step 1: Tax Scales

• Click on the Payroll toolbar option
• Click on the Tax Scales tab
• Click Add at the bottom of the page

Step 2: Name the Tax Scale

• Name the Scale with a relevant name and in the correct format. The format is two numbers (which don't already exist in the scales) at the start followed by a space and then relevant description e.g. Flat Rate 15%
• Tax scales between 60 and 73 are dedicated to Contractors and will need to have an ABN associated with the employee before a Payment Summary can be produced
• Tax scales above 73 are flat rate tax scales that will not produce a Payment Summary 
  
• For a flat rate, the earnings must always be less than 95000  and the Multiplier and Subtract will be the given percentage in decimals - for the 15% example, 0.15.
  

Step 3: Confirm

• Click OK and check that the Flat Rate Tax Scale now exists in the list of tax scales