Payroll Tax Investigations

A payroll tax investigation or audit from Revenue NSW or the Victorian State Revenue Office can create immediate pressure for a business, particularly where contractors, grouped entities, service arrangements, or historic payroll tax returns are being reviewed. Clear legal support can help manage exposure, evidence, and communications with the revenue authority from the outset.

We help:

  • Understand what the revenue authority is reviewing
  • Manage payroll tax, penalty, and interest exposure
  • Respond to Revenue NSW or SRO enquiries with a clear strategy
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4.9
85 Google Reviews
Award Winning Law Firm – Top Specialist Firm & Top Boutique Firm (Australasian Lawyer)

First class advice, service, and communication. I have had the pleasure of working with Velocity Legal for many years across a range of challenging matters and they never fail to impress.

Grant F

Their meticulous attention to detail, unwavering professionalism and strategic approach have delivered an outstanding result. Their level of service is nothing short of impressive.

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From the initial consultation to the final resolution, they provided exceptional
service and achieved an outstanding result for our case.

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We are an accounting firm that works closely with Velocity Legal on all our client's legal matters… Every client who works with their team is delighted and impressed by the clear advice, efficient communication, and seamless process.

Selina L

I highly recommend the team at Velocity Legal. They are extremely knowledgeable, professional, have an eye for detail and their work ethic is second to none.

Mark P

They provided so much support and guidance through the process and I felt like they genuinely cared about getting the right outcome for me. They obviously know their stuff but were able to explain things in a simple and clear way.

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Approachable, honest, professional and transparent. An absolute pleasure to work with.

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4.9
85 Google Reviews
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We Understand What You Are Going Through

Receiving a letter from Revenue NSW or the Victorian State Revenue Office about a payroll tax investigation can feel serious from the start. The letter may ask for records, contracts, payroll data, group structure information, contractor details, or explanations about how workers are engaged and paid.

You may be unsure whether the issue is administrative, accounting-based, or legally disputed. Accountants are often important in preparing figures and records, but payroll tax investigations can raise legal issues about grouping, contractor provisions, employment-like arrangements, exemptions, evidence, penalty tax, and the way submissions are framed.

We help businesses work through the investigation in a structured and practical way. Our role is to assess the issues, coordinate with accountants or internal finance teams where needed, and help ensure responses to Revenue NSW or the SRO are careful, defensible, and aligned with the broader commercial position

Our Services Include

  • Reviewing payroll tax investigation, audit, and information request letters
  • Advising on payroll tax exposure, reassessments, penalty tax, and interest
  • Preparing responses and submissions to Revenue NSW and the Victorian State Revenue Office
  • Reviewing contractor, employee, service entity, and labour hire arrangements
  • Advising on payroll tax grouping issues and related entity structures
  • Working with accountants, payroll providers, and internal finance teams to prepare supporting material
  • Assisting with objections, reassessments, negotiations, and escalated payroll tax disputes

Our Difference

Accountability & Expertise

Every matter we handle comes with full accountability. You’ll deal directly with an expert – every time, no exceptions.

In Your Shoes

Understanding your unique circumstances and goals - so our advice is practical, personal, and never given in a vacuum.

Transparency & Communication

We speak your language. That means plain, clear advice - what’s happening, why it matters, and what comes next.

50+
Australian Based Team
4,000+
Matters Expertly Handled
10+
Awards & Industry Recognition

Our Process

  1. Book Meeting
    Fill in the contact form below or call our office to book an initial consult. You can choose between in-person or video conference.
  2. Get Advice

    You’ll discuss your situation in depth with a senior lawyer. This includes exploring your requirements, goals, and desired outcomes. You’ll walk away from this meeting with a clear understanding of the next steps.
  3. Achieve Outcomes

    Our legal team will work tirelessly to achieve your desired objectives. We work hard, communicate regularly, and pride ourselves on delivering results.
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Take the First Step Today

You don’t have to figure this out alone. Book an initial consult with our expert legal team and get clear answers about your situation.

  • Transparent quotes (no ‘bill shock’)
  • Rapid response
  • Award winning team
Andrew Henshaw
Managing Director
Award Winning Law Firm – Top Specialist Firm & Top Boutique Firm (Australasian Lawyer)

Our Directors

Managing Director

Andrew Henshaw

Director

Greg Thomas

Director

Jess Hill

Director

Rajan Verma

Director

Seamus Ryan

Frequently Asked Questions
What is a payroll tax investigation?
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A payroll tax investigation is a review by a state revenue authority into whether a business has correctly registered, reported, and paid payroll tax. It may involve requests for payroll records, contractor agreements, group structure information, and explanations about particular arrangements.
Why has my business received a payroll tax investigation letter?
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A business may be contacted because of data matching, industry reviews, contractor arrangements, related entity structures, or inconsistencies in payroll tax reporting. Receiving a letter does not necessarily mean the revenue authority’s position is correct, but it does mean the response should be handled carefully.
Can my accountant deal with a payroll tax investigation?
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Your accountant may be central to preparing figures, payroll records, and background information. However, where the investigation involves legal characterisation, grouping, contractor provisions, penalties, or a contested assessment, legal advice is often important.
What issues do payroll tax investigations commonly focus on?
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Common issues include contractor payments, grouped entities, service entity arrangements, employment-like arrangements, exemptions, taxable wages, and whether the correct entity has registered or lodged returns. The focus will depend on the terms of the investigation letter and the business structure.
Can a payroll tax investigation lead to penalties or interest?
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Yes, a payroll tax investigation can lead to reassessments, interest, and penalty tax in some circumstances. The way the issue is explained, the evidence available, and the level of cooperation can all be relevant to how the matter progresses.

Take the First
Step Today

You don’t have to figure this out alone. Book an initial consult with our expert legal team and get clear answers about your situation.

  • Transparent quotes (no ‘bill shock’)
  • Rapid response
  • Award winning team
Book Consult
4.9
85 Google Reviews
Award Winning Law Firm – Top Specialist Firm & Top Boutique Firm (Australasian Lawyer)