A public ruling, when issued, is the published view of the Commissioner of State Revenue (the Commissioner) on the particular topic to which it relates. It therefore replaces and overrides any existing private rulings, memoranda, manuals and advice provided by the Commissioner in respect of the issue(s) it addresses.
Where a change in legislation or case law (the law) affects the content of a public ruling, the change in the law overrides the public ruling—that is, the Commissioner will determine the tax liability or eligibility for a concession, grant or exemption, as the case may be, in accordance with the law.
In relation to the birth of her child, Mary took long service leave of 10 weeks, annual leave of 4 weeks, PPL of 18 weeks and unpaid leave of 20 weeks. The wages paid for all the leave taken by Mary are taxable except the PPL.
In relation to the birth of his child, John took long service leave of 10 weeks, annual leave for 4 weeks, paid paternity leave of 12 weeks and unpaid leave of 26 weeks. Only the wages paid for the 12 weeks paternity leave are exempt. Wages paid for long service leave and annual leave are taxable.
John has taken 6 weeks paid adoption leave in 3 distinct parts: 1 week to familiarise himself with the adoption process, 2 weeks to go interstate or overseas to meet the child and a further 3 weeks after the child arrived in Brisbane. All 6 weeks are taken to be adoption leave. Consequently, wages paid for the 6 weeks leave are exempt.
A child begins residing with Julie under a surrogacy arrangement on 1 February 2021. Julie takes 14 weeks surrogacy leave, commencing 2 weeks before 1 February 2021, and extending 12 weeks after that date. The 2 weeks before 1 February are spent planning for the child’s arrival. The wages paid to Julie for the full 14 weeks surrogacy leave are exempt.
Leslie takes cultural parent leave in 2 distinct parts: 2 weeks to prepare and assist with the granting of a cultural recognition order and a further 10 weeks after taking parental rights and responsibility for the child under the cultural recognition order. All 12 weeks are taken to be cultural parent leave and the wages paid to Leslie for the period are exempt.
Asha goes on maternity leave on 1 July 2021 and is paid a bonus on 6 July 2021 that relates to services she provided in the financial year ending on 30 June 2021. Even though the bonus was paid while Asha is on maternity leave, it is not exempt because it is not related to the maternity leave.
Cathy is a part-time employee and elects to take maternity leave. She works 3 days a week at a rate (including employer superannuation contributions) of $100 per day. Cathy’s employer provides 16 weeks maternity leave. Cathy chooses to take maternity leave over 32 weeks at half her normal rate of pay. The maximum amount of exempt wages that can be paid to Cathy is $4,200 ($150 (weekly wage at half pay) × 28 weeks (which is the equivalent to 14 weeks at the employee’s normal rate of pay)).
ABC Pty Ltd has a policy of providing 12 weeks paid maternity leave. Stella, a full-time employee, elects to take the maternity leave over 24 weeks at half pay. Wages relating to this period are fully exempt.
Matteo is a part-time employee and elects to take paternity leave at half pay over a period of 28 weeks. Wages relating to this period are exempt.
|Type of leave||Documents required|
|Maternity leave||Medical certificate for, or statutory declaration by, the employee stating the employee was pregnant or that the employee has given birth and the date of the birth15|
|Paternity leave||Statutory declaration by the employee stating that a female is pregnant with his unborn child or that the child has been born and the date of the birth16|
|Adoption leave||Statutory declaration by the employee stating that a child has been placed in the employee’s custody pending an adoption order or that an adoption order has been made17|
|Surrogacy leave||Statutory declaration from the employee stating that a child has started residing with the employee under a surrogacy arrangement18|
|Cultural parent leave||Statutory declaration by the employee stating a child has started residing with the employee under a cultural recognition order19|
Commissioner of State Revenue
Date of issue: 9 August 2021
|Public Ruling||Issued||Dates of effect|
|PTAQ014A.3.1||9 August 2021||9 August 2021||Current|