Lezé Felton
WHATS New in Paymaster
Please read more on the new features and enhancements to the system for December 2022.
Click on the link for more information regarding:
8 December
- Audit Trail | Icon moved to improve visibility
- Bulk Upload enhancement | Queue bulk uploads
- Power BI – Currency Exchange Rates
- Uganda | New PAYE Monthly Return Schedule 1 Report
15 December
- Leave Adjustments bulk upload enhancement
- Power BI – Employee Recurring Costing Split
- Burkina Faso | BNTS electonique (Online electronic CNSS report)
22 December
- Job Management | Multiple Start and End dates
- Power BI – Currency Exchange Rates
- Cameroon | New ‘End of Service’ Allowance Component
RSA - Employment Equity
From the Team
December 2022
As part of an Equity stabilisation project, the Compliance Research and Development team has updated the Employment Equity reports to ease the reconciliation process.
The purpose of the Employment Equity Act (EEA) is to achieve equity in the workplace by promoting equal opportunity and fair treatment, and implementing affirmative action measures to redress the disadvantages in employment experienced by designated groups. The EEA applies to all employees and designated employers. Failure to comply with the provisions of the EEA may result in imposition of fines.
Employers must complete the Annual Employment Equity report (EEA2) and Income Differential Statement (EEA4) and submit them together to the Department of Labour.
The below four reports will now display under EEA Reports under the Legislative reports section:
- EEA2 Report
- EEA2 Detail Report
- EEA4 Report
- EEA4 Detail Report
The following enhancements have been made to the Employment Equity
reports:
- An option to generate the report only for the current frequency has been added.
- Various formatting and cosmetic improvements.
- Enhanced EEA2 and EEA4 Detail Reports to ease reconciling to the EEA2 and EEA4 Reports.
- The EEA4 annualisation calculation has been revised.
- The treatment of terminations, reinstatements and transfers has been revised.
Click here for the RSA Employment Equity Guide.
Paymaster Impact
- Revise the Employment Equity Config screen setup per frequency.
- Revise the employee level equity fields before submitting the reports to the Department of Labour. Refer to pages 5-7 on the attached guide.
- Review the employees flagged as ‘Yes’ in the ‘Exceptions Not Reported On’ column on the detail reports. Refer to page 12 on the attached guide.
RSA - Employment Equity
From the Team
December 2022
The “official rate of interest” for calculating the taxable benefit on low interest or interest-free loans has increased by 0.75% with effect from 01 December 2022.
Click here for the SARS official document.
Interest Rate Increase
Where a loan is obtained by an employee from his employer and either no interest is payable or the interest payable is less than the “official rate of interest”, the difference between the amounts calculated at the official rate of interest, and the amount calculated at the interest rate applied by the employer, is a taxable fringe benefit. The fringe benefit value must be processed in the payroll and reported on the tax certificate against the general fringe benefits IRPS code 3801.
The “official rate of interest” is defined in section 1(1) of the Income Tax Act as the rate of interest that is equal to the RSA repurchase rate (“repo rate”) plus 100 basis points (1%). The official rate of interest changes from the first day of the month following the date on which the repo rate change comes into effect.
The repo rate has increased from 6.25% to 7% on 25 November 2022, therefore, the official interest rate has increased to 8% effective 1 December 2022.
Paymaster Impact
- The new interest rate has been implemented on the system effective 01 December 2022.
- Customers with the “Loan Deduction Fringe Benefit” component have been recalculated.
- No other statutory changes have been announced.
Click to read more on our No Loadsheadding plan ↑
Click here for the previous NewsFlash
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