​​​The Payroll Tax Act 2008 provides that, subject to the payroll tax threshold, tax will be levied on payments made for services provided under a ‘relevant contract’.

Relevant contracts (subject to the exclusions set out in the following seven sub-sections), are those where a contractor, who in the course of carrying on their own business:

(i) supplies to another person services for or in relation to the performance of work; or

(ii) hires a worker to perform that work; or

(iii) outsources that work to another contractor to complete. ​

 Refer to the payroll tax Contactors rulings.