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Overview and Definitions
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The following is our understanding of the the tax requirements. Please consult your accountant or tax advisor to find out your exact tax obligations.
https://www.ato.gov.au/Business/PAYG-withholding/In-detail/Performing-artists-contracted-to-perform-promotional-activity/?page=4#Withholding_requirements The TALENT module is not available in the Essential Version of JobBag
The Talent Module has been created specifically to enable JobBag users to deal with Australian Tax Office regulations which require Advertising Agencies (or other entities) who hire models, actors, voice-over artists etc to deduct PAYG, and pay superannuation and workers compensation and produce a Payment Summary at financial year end.
PAYG Tax rates are set for the broad range of Performing Artists (20% at the time of writing). There are different rates of Payroll Tax applying in each State, and there are differences from state to state on issues such as whether the particular legislation levies workers compensation on Wages, or on Wages plus Super.
Talent suppliers may be set up as one of following:
1. Agent who is either paid a commission or no commission; and Agents may be set up to handle the PAYG
2. Talent who are linked to an Agency
3. Self Billing Talent
Talent – a broad term that encompasses any person who is engaged as a performing artist in a promotional activity. Go to the Australian Tax Office website (http://www.ato.gov.au) and do a search for “performing artist”. The resulting list will include a link to Performing artists agents, advertising agencies and advertisers guide to PAYG withholding
Agent – a company that provides management services for performing and non-performing artists. Generally, they organise the booking of performing and non-performing artists.
Non-performing artist – a person who is engaged in the production of a promotional event or advertisement, but are not regarded as performing in the promotional activity. They may or may not be registered for GST and an ABN.
Child – a person under the age of 18 years. Children do not have PAYG deducted from payments made to them unless the payment exceeds a threshold, and do not have Superannuation Contributions made on their behalf unless they are working more than 30 hours per week.
Self-billing talent – a performing artist who is not represented by an agent and invoices directly for their performance fees.