Attention Employers! New Tax Withholding Rates Effective 1st July 2011.

The Australian Taxation Office (ATO) is reminding employers to use the new tax tables that will be effective from the 1st of July 2011, when withholding tax from employees.

The tax withheld calculator that can be found on the ATO website can help employers work out how much tax to withhold from their employees. According to Michael D'Ascenzo, the Tax Commissioner "If an employer uses a computer system or a service provider to manage their payroll, they should ensure that their software has been updated".

In addition, there has been the introduction of a flood levy that has been put into place for those employees who were affected by natural disasters during the past year. These individuals will be exempt from the levy.

For more information on the tax tables and the flood levy exemption you can visit the ATO website by clicking here.