Paymaster Magazine

We love the 28 February

Guide for codes – employee tax certificates 2014  (click here)

List of registered bargaining councils (click here)

1 March is the day

The new tax year has arrived and very soon you will be rolling over into the new tax year. Most payroll systems now “lock down “the old tax year and you can no longer change any of that information.
You must have these issues sorted out before the tax year end. You really don’t want to start having to open the payroll to change earnings or deductions or add information once the 7 March has come and gone.

Here are five things to do that will make your life easier:

1) check that all your employees details are complete
Please check that all the information required by the Receiver is correct and complete for all employees. So you will want to draw a report from your payroll system listing the following
1) Address of the employees
2) Banking details of the employee
3) Identity, work permit or passport number
4) Tax reference number
2) Reconciliations are done: Payroll deductions to Emp 201 submitted and paid to Sars

Reconcile all Emp. 201 payments made to the receiver of revenue to the figures declared on the monthly Emp. 201 form submitted to SARS. These must balance. If they do not balance you need to correct the issue as soon as possible, or make a note of why there is a you can explain it on your annual submission.
The best way to check the balances is to EMPSA form sars (click here) This shows the actual payments that have been recorded for the year. This can be compared to with the year to date totals form your payroll system. If this balances then the Emp.501 reconciliation on Easy file should not be a problem

3) Confirm all submissions to SARS

Check to make sure that SARS have received all your EMP.201 submissions and that there are no outstanding issues that need to be dealt with. It is always a good idea to keep up to date with SARS documentation

4) Remind company car and travel allowance holders to make a note of their mileage

Please remind all your employees who have company cars or car allowance to record their millage first thing on 1 March. It will be a good idea to make sure all the details of the vehicle is recorded on the payroll. They will also need to upload their log book or make sure that the logbook is complete for the tax year

5) Resolve any outstanding issues

Make sure that all the earnings and deductions are listed under the right payroll codes (download the 2014 guide) . In addition, make sure you have all the information for any retirement annuity and medical aid tax deductions you have made.

It is a useful exercise to run a test IRP 5 upload, as this can show you up any issues , such as negative 3601 income or negative retirement funding income which can be corrected in the February payroll. This will also give you area of incomplete or missing information. These all have to be corrected before easyfile will accept the upload file.

Need help – visit

Another reason to switch to Paymaster on line.

Adrian Baillie-Stewart

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