Long Service Levy Guidelines

Please note that these are guidelines only and not a substitute for Regulations or the Act.

What is the Purpose of the Levy?

The NSW Government has put a levy on all building and construction work in NSW. The levy is paid into a fund, administered by the Long Service Payments Corporation and from this fund, the corporation makes long service payments to building and construction workers.

How is the Levy Calculated?

The levy is payable on work valued at $25000 or more (inclusive of GST). It is calculated as a percentage of the cost of the work as determined by a consenting/certifying authority (ie Council) or the Corporation.

What is the Levy Rate?

The levy rate is 0.35% of the total cost of the work.

Who is required to pay the Levy?

The building applicant, or the person for whom the work is being done, is liable to ay the long service levy.

A person who fails to pay the levy before work commences can be prosecuted.

When is the Levy to be Paid?

The Levy must be paid before the Construction Certificate or Complying Development Certificate is issued and before the commencement of works.

Most Councils are agents or sub agents for collecting the long service levy, thus the levy can be paid there, or you can pay the levy directly to the long service levy corporation.

Are You Entitled to an Exemption from the Levy?

If you are an owner builder, a church or a non profit organisation, you may be eligible for an exemption of up to 50% of the levy payable.

When are you Eligible for a Refund?

Refunds can only be made by the Corporation. You may be eligible for a full or partial refund if:

• The work did not start and the building approval has lapsed or been cancelled. (Refund application must be endorsed by the approving authority)
• Final cost of work is more than $25000 below the cost on which the levy was calculated
• The levy has been paid in full and the applicant may be entitled to a partial exemption as an owner builder (application must be made within 3 months of payment)
• A duplicate or overpayment has been made in respect of the levy

More Information

More information can be obtained by either ringing the Customer Service number 131441 or click on the link below to the Long Service Levy Payments Corporation Website.

Requests for information can be emailed to levy@lspc.nsw.gov.au

Or Contact your Local Council Building Dept at the Barham Office.

© 2008 Wakool Shire Council
This page: http://wakool.local-e.nsw.gov.au/faqs/pages/26394.html