It is the last month in the current tax year and the last chance to correct any PAYE, ETI, SDL or UIF issues before the final payment to SARS needs to be done.

Please plan extra time this month to do the following:

• Employee records are accurate and up to date. Capture missing tax numbers and any other employee static information. Ensure financial history, medical tax credits, cycles worked, and termination dates are correct.
• Fringe Benefits (company cars, free loans, payment of employee debt, etc.) are correctly configured and year-to-date values verified.
• Travel allowances and mileage reimbursements are taxed and declared correctly.
• Retirement funds are taxed and declared correctly for employee and employer portions, with maximum allowable ceilings applied.
• Medical aid members are taxed correctly, reporting codes are set up, and allowable medical tax credits applied.
• Employment Tax Incentive calculations are validated for the full tax year.
• Other earnings and deductions are configured correctly.
• Employee year-to-date PAYE, SDL and UIF totals reconcile to EMP201 declarations and payments made to SARS.
• Attend refresher training or book a consultant to assist with tax year roll over.

The last pay run of the tax year

The final tax calculation must consider taxable income for the entire tax year, deduct tax already paid, and deduct (or refund) the balance as PAYE.

Please set aside additional time to confirm tax deducted in the final run is correct. If any employee’s tax method is set to override or to calculate without history, the annual adjustment may not process correctly.

Remind staff with travel allowances, company vehicles or reimbursive travel to record odometer readings at tax year end. This can also be added as a message to the February payslip.

Need assistance?

Our calendar is already 88% full. Please arrange a booking as soon as possible to avoid disappointment.

Please send an email with your preferred date/time, details of your payrolls (wages/salaries) and when you need to process the first run in the new tax year to help@payslip.co.za

We will do our best to accommodate your requirements. During the first three weeks in March, support may extend after hours or over weekends.