A STEP-BY-STEP GUIDE TO THE - c.ymcdn.com of Person: Individual ... Account Details Account No. Branch No. Relationship: ... 2 A STEP-BY-STEP GUIDE TO THE EMPLOYER RECONCILIATION PROCESS

SEPTEMBER 2011 1

A STEP-BY-STEP GUIDE TO THEEMPLOYER RECONCILIATION PROCESS

EMP501_RO2010.5.0 English 2010

01/03

PAYE REF NO.:SDL REF NO.:

UIF REF NO.:Period Of Reconciliation::

Trading or Other Name::Transaction Year::

Form ID: EMP501

Time Stamp: 21159554

PGINF01

Business Information

Transaction Year (CCYY)Period of Reconciliation (CCYYMM)PAYE Ref No.

SDL Ref No.

UIF Ref No.

Employer Reconciliation Declaration EMP501

Nature of Person: IndividualPartnership

Company / CC/ShareBlock Public / Local Authority Association not for Gain Estate / Liquidation / TrustClub

Welfare Organisation

Trading or Other NameSurname or Registered Name

Initials

Bus Tel No.

Fax No.

Cell No.

Date of Birth (CCYYMMDD)

ID No.

Passport No.

Country of Issue (e.g. South Africa = ZAF)

CK No.

Business Income Tax Ref No.

VAT Ref No.

Activity within Major Division

Contact Email

Business Physical Address DetailsUnit No.Complex (if applicable)Street No.

Street/Name of FarmSuburb / District

City / Town

Postal Code

Postal Address DetailsMark here with an "X" if same as above or complete your Postal Address.

Postal Code

Employer Bank Account DetailsAccount No.

Branch No.Account Holder Relationship: In Name of Business Third Party

Account Holder Name

Account Type:Cheque Savings / Transmission

NOTE: Registered details will be updated with the supplied information I hereby declare that this reconciliation is true and correct and that all tax, levies and

contributions required to be deducted has been declared and all payments declared have been

made. I hereby accept liability for any differences due.

Declaration

Signature:

Date (CCYYMMDD)For enquiries go to www.sars.gov.za or call 0800 00 SARS (7277)

PAYE REF NO.:

SDL REF NO.:

UIF REF NO.:

Certificate No.:

Transaction Year:Form ID: IRP5IT3a


IRP5IT3a_RO2010.2.0

English

01/022010

Transaction Year

(CCYY)

Year of Assessment

(CCYY)

Period of Reconciliation

(CCYYMM)

Certificate No.

Type of Certificate

IRPINF01

Employee Information

Surname / Trading Name

First Two Names

Initials

Nature of Person

Date of Birth (CCYYMMDD)

ID No.

Passport No.

Passport Country of Issue

(e.g. South Africa = ZAF)

Income Tax Ref No.

Contact Email

Home Tel No.

Bus Tel No.

Fax No.

Cell No.

Employee Address Details - Residential

Unit No.

Complex (if applicable)

Street No.

Street / Name of Farm

Suburb /District

City / Town

Postal Code

Employee Address Details - Postal

Mark here with an “X” if same

as above or complete your

Postal AddressPostal Code

Employer Reference Numbers

PAYE Ref No.

SDL Ref No.

UIF Ref No.

Employee Remuneration Bank Account Details

Mark here with an “X' if not paid

electronically or if foreign bank accountAccount No.

Branch No.

Bank Name

Branch Name

Account Holder

Name

Bank Account Type

Account Holder

Relationship:Own

Joint 3rd Party

Account Type:Cheque / Current

Acc.

Bond Acc.

Savings Acc.Credit Card Acc.

Transmission Acc.Subscription Share Acc.

Employee Income Tax Certificate

IRP5/IT3(a)

EMP701Reconciliation Declaration Adjustment

UIF:SDL:

PAYE:

2010.1.0EMP701_RO

English01/012010

Transaction Year:

Trading Name:

Form ID: EMP701Time Stamp: 21159880

Transaction Year (CCYY)

PAYE Ref No.

SDL Ref No.

UIF Ref No.

Trading or Other Name

0 2Number of Years with Adjustments

Adjustment Declaration

EMPADJ01

Transaction Year

Previous Declaration

Difference

Adjusted Declaration

Liability

PAYE SDL UIF Total

Payment

Due By / To You

Adjustment Declaration

EMPADJ02

Transaction Year


Difference


Liability

PAYE SDL UIF Total

Payment

Due By / To You

Sum of Adjusted Declaration(s)

EMPSUM01

Total Due By / To You

Total UIF

SDL PAYE

Payment

Declaration

Date (CCYYMMDD)

I hereby declare that this reconciliation is true and correct and that all tax, levies and contributions

required to be deducted has been declared and all payments declared have been made. I hereby

accept liability for any difference due. Signature

For enquiries go to www.sars.gov.za or call 0800 00 SARS (7277)

EMP601

Tax Certificate Cancellation Declaration

PAYE REF NO.

EMP601_RO 2010.3.0 English

01/012010

Transaction Year:

Trading or Other Name:


Transaction Year (CCYY) PAYE Ref No.


Individual CertificatesCertificate No.

Certificate No.

Certificate No.

Certificate No.

Certificate No.

Certificate No.

Certificate No.

Certificate No.

Note: Specify all individual cancelled certificates in this section

Certificate RangesFrom Number

To Number

From NumberTo Number

From NumberTo Number

From Number

To Number

Note: Specify all cancelled certificate ranges in this section

Declaration I declare that the above certificates have been cancelled. All

related transactions have been rectified.

Date(CCYYMMDD)

Employer Signature

A STEP-BY-STEP GUIDE TO THE EMPLOYER RECONCILIATION PROCESS

CONTENTS

1. GLOSSARY OF TERMS .............................................................................. 1

2. OVERVIEW ................................................................................................... 2

3. UNDERSTANDING THE NEW RECONCILIATION PROCESS ................... 2

4. e@syFileTM Employer ................................................................................... 3

5. THE EMPLOYER RECONCILIATION DECLARATION (EMP501) .............. 4

4.1. INTRODUCTION ..........................................................................................................5

4.2. COMPLETING THE EMP501.......................................................................................5

4.3. RECONCILIATION .....................................................................................................13

4.4. ISSUES THAT MAY ARISE ........................................................................................14

6. EMPLOYEE INCOME TAX CERTIFICATE [IRP5/IT3(a)] .......................... 15

5.1. INTRODUCTION ........................................................................................................16

5.2. COMPLETING EMPLOYEE INCOME TAX CERTIFICATES [IRP5/IT3(a)]: ...............17

7. TAX CERTIFICATE CANCELLATION DECLARATION (EMP601) ............ 24

8. THE RECONCILIATION DECLARATION ADJUSTMENT (EMP701) ....... 26

9. CODES FOR THE COUNTRY THAT ISSUED THE PASSPORT ............... 28

10. EMPLOYER’S BUSINESS ACTIVITY CODES .......................................... 31

11. LIST OF INCOME AND DEDUCTION CODES FOR IRP5/IT3(a) ............. 32

12. RULES FOR THE CONSOLIDATION OF SOURCE CODES

FROM 2010 YEAR OF ASSESSMENT ...................................................... 39

SEPTEMBER 2011 1

1. GLOSSARY OF TERMS

TERM DESCRIPTION

Annual period The tax year transaction period 1 March to 28/29 February

Commissioner The Commissioner of the South African Revenue Service

CSV file Electronic data of your employee tax certificates [IRP5/IT3(a)s] which is generated using your payroll system

EMP201 Monthly Employer Declaration

EMP301 Underpayment on Account letter

EMP501 Employer Reconciliation Declaration

EMP601 Tax Certificate Cancellation Declaration

EMP701 Reconciliation Declaration Adjustment

EMPSA Employer Statement of Account

ID Identity number

Interim period The six month transaction period 1 March to 31 August

IRP5/IT3a Employee Tax Certificate

ITREG Income Tax Registration

ITREG certificate

Income Tax Registration certificate

PAYE Pay-As-You-Earn

SARS The South African Revenue Service

SDL Skills-Development-Levy

Tax liability Amount of tax withheld from the employees, which is owed to SARS

UIF Unemployment Insurance Fund

A STEP-BY-STEP GUIDE TO THE EMPLOYER RECONCILIATION PROCESS 2

2. OVERVIEWIn terms of the Income Tax Act No. 58 of 1962, employers are required to:

• Deductthecorrectamountoftaxfromemployees

• PaythisamounttoSARSmonthly,ensuringSARSreceivesaMonthlyEmployerDeclaration(EMP201)andtheassociated

payment

• ReconcilethesedeductionsandpaymentsduringtheannualEmployersTaxSeasonandtheInterimReconciliationperiod.

• Issuetaxcertificatestoemployees

Therefore,duringtheinterimandannualPAYEReconciliationemployersarerequiredtosubmitaccuratereconciliationdeclarations

(EMP501,ifapplicable,EMP601andEMP701)inrespectoftheEMP201submitted,thepaymentsmadeandtheIRP5/IT3(a).

SARShasbeenmodernisingandsimplifyingtaxprocessesinlinewithinternationalbestpractice.

Each year SARS works hard to improve service standards, incorporating the latest technology and developments in tax

standardsworldwide.Ouraimistoprovideastraightforward,user-friendlyprocessandsolution.

Withthisinmind,wearecontinuallyenhancingthePAYEprocessfortheEmployersTaxSeason(interimandannual).We’ve

introduced additional elements, and these changes are a vital part of SARS’s long-term vision to have a more accurate

reconciliationprocess,whichhasbeenaccommodatedforine@syFile™Employersoftware.

InpartneringwithSARStoworktowardsourvision,theemployerplaysacriticalrole.Thisguidewillhelpyoutofulfilyourtax

responsibilitiestoensurethatyouhaveasmoothEmployersTaxSeason(interimandannual).

Forfurtherinformation,pleasevisitaSARSbranch,calltheSARSContactCentreon080000SARS(7277)orvisit

www.sars.gov.za.

3. UNDERSTANDING THE EMPLOYER RECONCILIATION PROCESSTheemployerPAYEReconciliationprocess iswhereanemployer is required to submit accurate reconciliationdeclarations

(EMP501,ifapplicable,EMP601andEMP701)inrespectoftheEMP201submitted,thepaymentsmadeandtheIRP5/IT3(a)

s. for the:

• Interimperiod–whichisforthetransactionperiod1Marchto31August,or

• Annualperiod–whichifforthefulltaxyear1Marchto28/29February.

TheinterimreconciliationwasintroducedinSeptember2010andhasnowbecomeanintegralpartofthePAYEReconciliation.

Theinterimreconciliationprocessisintendedtoassistemployersby:

• Enablinganeasierandmoreaccurateannualreconciliationsubmission

• Maintaininganup-to-dateemployeedatabase

• RegisteringemployeesforIncomeTaxpurposes,asrequired.

Note: PAYE reconciliation submissions must be made to SARS by the date, as prescribed by the Commissioner, by

notice in the Government Gazette.

ThePAYEreconciliationprocesshasbeenenhancedsince2008, toprovideasimplifiedprocessand introduceda free

custom-builtsoftware(e@syFile™Employer)toassistemployersinmanagingtheirengagementswithSARSquickly,easily

andconveniently.Formoreinformation,refertosection4ofthisguide.

Thebasicreconciliationprocesshasremainedconstant,withtheEMP501allowingemployerstocalculatethedifference,

if any, between the total value of the tax certificates they issued, their total declared liability (EMP201) and their total

paymentstoSARS.

All mandatory fields must be completed, as required, and remains the responsibility of the employer to ensure the

SEPTEMBER 2011 3

informationprovidedtoSARSisaccurateatthetimeofsubmission.

ThisinformationiscriticalinfulfillingSARS’slong-termvisiontohaveamoreaccuratereconciliationprocess.Itwillalsoset

thefoundationforincreasinglyefficientprocessingofPAYEsubmissions.

Making your submission:

Submissioncanbemadeviathefollowingchannels:

Electronic submissions:

Itisimportanttonotethatonlythelatestversionofe@syFile™EmployermustbeusedasanyinformationsubmittedtoSARS

usingapreviousversionwillnotbeaccepted.Forthelatestversion,refertoSARSeFilingwebsitewww.sarsefiling.co.za.

• Onlineusinge@syFile™Employer–viaSARSeFilingusinganeFilingusernameandpassword.

• OnadiscataSARSbranch-thediscmustcontainanencryptedfilecreatedbythee@syFile™Employersoftware.To

createtheencryptedfile,generatetheCSVtaxcertificatefilefromthepayrollsystem,importthisintoe@syFile™Employer

andpreparetheemployerreconciliationdeclarationsforsubmission.SignedhardcopiesoftheEMP501,and,ifapplicable,

theEMP601andEMP701mustbesubmittedtogetherwiththedisc.OnceSARShascapturedtheinformation,thedisc

willbereturnedtoyou,tosustainthesecurityoftheinformationprovided.

Note: Employers must import CSV files into e@syFile™ Employer as SARS no longer accepts CSV files directly from

payroll systems.

Manual submissions:

• OverthecounteratalocalSARSbranch

• ByplacingitinaSARSdropbox

• Bypost.

Note: The original Employer Reconciliation forms that were posted to you by SARS must be submitted, as these

forms contain a unique printed barcode for purposes of capturing and storing data. No copies or self-printed forms

will be accepted. Copies of all declarations submitted must be retained for a period of five (5) years.

4. E@SYFILE™ EMPLOYERAmajordevelopment in the reconciliationprocesswas the introductionof freesoftware (e@syFile™Employer) to reduce

turnaroundtimesanderrors,andultimatelyprovidesasimpler,moreconvenientprocessforbothemployersandSARS.

e@syFile™EmployerisasoftwarepackagewhichhasbeendesignedbySARStohelpemployersmanagetheirengagements

withSARSquickly,easilyandconvenientlyonthecomputer,inthecomfortoftheofficeorhome.Thissoftwarecanbeused

offlineandonlyneedtoconnecttotheinternetwhensubmittingtoSARS.

Using e@syFile™ Employer, employers can:

1. Finalise, submit and pay Monthly Employer Declaration (EMP201).

2. Finalise and submit interim and annual Employer Reconciliation Declarations in five basic steps:

• Step1-Theemployer’scurrentpayrollsystemgenerateselectronicIRP5/IT3(a)sinaCSVfilewhichisimportedintoe@

syFile™Employer.

• Step2-Theemployerusese@syFile™Employertocaptureallmanualcertificates.

• Step3-e@syFile™EmployerusesinformationfromalltheIRP5/IT3(a)stoautomaticallypopulatecertificatetotalsforthe

EMP501.Theemployerentersthemonthlyliabilitiesandpayments,ande@syFile™Employercalculatestherest.

• Step4-YoucanmakeyourdeclarationbygeneratingtheCSVtaxcertificatefilefromthepayrollsystem,andimportingthis

fileintoe@syFile™EmployerforsubmissiontoSARS.

• Step5–Cancelcertificates (EMP601),ormakesadjustments topreviousyear’s reconciliationsubmissionsEMP701, if

applicable.ThensubmityourreconciliationdeclarationstoSARS.


e@syFile™EmployerautomaticallygeneratesanAdobePDFversionofall IRP5/IT3(a)swhichcanbegiventoemployees

(eitherprintedorelectronically)forPersonalIncomeTax(PIT)filingseason.

Whencreatingthereconciliationsubmission,employershavetheoptionofstoringthePDFcertificatescreatedaspartofthereconciliation.

However,forthePAYEInterimReconciliation,IRP5/IT3(a)sthese certificates must not be issued to employees, as they

areforSARS’sadministrativepurposesonly.Certificatesshouldonlybeprovidedtotheemployeeswhoseemploymentwas

terminatedpriortotheclosingoftheinterimperiod,duetoresignation,death,immigrationoranyemployerceasingtobean

employer,thecertificatenumbermustreflectthefullreconciliationperiod(02).

3. Register employees for Income Tax and obtain feedback

Employersareabletousee@syFile™EmployertoregisteremployeesforIncomeTax.Tohelpemployersthreeregistration

optionsaremadeavailablenamely:

• IndividualIncomeTaxRegistration(ITREG),whereanemployercanapplytoregisteremployeesindividually.

• BulkITREG,whereSARSregistersemployeesusingthePAYEReconciliationsubmissionsprovidedbyemployers.

• BundledITREG–whichenablesemployerstoregistermultipleemployees(maximumof100)atatimeandlimitedto1000employees

permonth,forthoseemployeesthatwerenotregisteredaspartoftheemployer’spreviousPAYEreconciliationsubmission.

Feedbacktoemployersontheoutcomeoftheregistrationprocessforemployeesismadeavailable.

Formoreinformationontheregistrationofemployees,refertothee@syFile™EmployerUserGuideavailableontheSARS

websitewww.sars.gov.za.

4. Receive all letters and correspondence issues by SARS–Allcommunication issuedbySARSoneFiling isalsoavailable throughe@syFile™Employer.Employerscan thereforekeepabreastofanychangesormattersof interest

whichmayaffectthem.

ItisimportanttonotethatonlythelatestversionmustbeusedasanyinformationsubmittedtoSARSusingapreviousversion

ofe@syFile™Employer,willnotbeaccepted.

Theupdatedversionofe@syFile™Employercanbeaccessedby:

• VisitingtheSARSeFilingwebsitewww.sarsefiling.co.zaanddownloadingthelatestversion.

• CallingtheSARSContactCentreon080000SARS(7277)orvisitingyourlocalSARSbranchandrequestingthelatest

versionofthee@syFile™EmployerCDtobeposted.(Itmaytakemorethantwoweekstobedeliveredtoyouandwillonly

bedeliveredtophysicalstreetaddresses,notpostboxes).

SEPTEMBER 2011 5

5. THE EMPLOYER RECONCILIATION DECLARATION (EMP501)

5.1 INTRODUCTIONEmployersarenowrequiredtocompletetworeconciliationdeclarationspertaxyear.Allfieldsaremandatory.

5.2 COMPLETING THE EMP501

Note:Thesectionswilleitherbeoptional,mandatoryornotrequired,andmustbecompletedaccordingtotheNatureofPerson.PleasenotewhichalphabethasbeenusedtodenotetherelevantNatureofPersonfieldwhencompletingyourEMP501:

• A:Individual

• B:Partnership

• C:Company/CC/Shareblock

• D:Public/LocalAuthority

• E:AssociationnotforGain

• F:Estate/Liquidation/Trust

• G:Club;or

• H:Welfareorganisation.

1

Completing the header details:

• Transaction Year:ThisisaninternaltermrepresentingtheyeartowhichtheEMP501refers.

• PeriodofReconciliation:Fillinthesubmissionperiodtowhichthedeclarationrelates.Thisvalueisthetransactionyearfollowedbytheconcludingcalendaryearmonthofthereconciliation,i.e.ifthereconciliationisfortheperioduptoAugust

2011,use201108.

• PAYERefNo:Fillintheemployer’sPAYEreferencenumber.

• SDLRefNo:Fillintheemployer’sSDLreferencenumber.

• UIFRefNo:Fillintheemployer’sUIFnumber.

EMP501_RO 2010.5.0 English 2010 01/03

PAYE REF NO.: SDL REF NO.: UIF REF NO.:Period Of Reconciliation::

Trading or Other Name::

Transaction Year::


PGINF01Business Information


Period of Reconciliation (CCYYMM)

PAYE Ref No. SDL Ref No. UIF Ref No.


Nature of Person: Individual Partnership Company / CC/ShareBlock

Public / Local Authority

Association not for Gain

Estate / Liquidation / Trust Club Welfare

Organisation


Surname or Registered NameInitials Bus Tel No. Fax No. Cell No.

Date of Birth (CCYYMMDD) ID No. Passport No. Country of Issue


CK No. Business Income Tax Ref No. VAT Ref No. Activity within

Major Division

Contact Email

Business Physical Address Details

Unit No. Complex (if applicable)

Street No. Street/Name of Farm

Suburb / District

City / Town Postal Code

Postal Address Details

Mark here with an "X" if same as above or complete your Postal Address.

Postal Code

Employer Bank Account Details

Account No. Branch No. Account Holder Relationship: In Name of Business Third Party

Account Holder Name Account Type: Cheque Savings /

Transmission

NOTE: Registered details will be updated with the supplied information

I hereby declare that this reconciliation is true and correct and that all tax, levies and contributions required to be deducted has been declared and all payments declared have been made. I hereby accept liability for any differences due.

Declaration

Signature:

Date (CCYYMMDD)

For enquiries go to www.sars.gov.za or

call 0800 00 SARS (7277)


2

Completing the Business Information:

EMP501_RO 2010.5.0 English 2010 01/03



Transaction Year::











Organisation






Major Division

Contact Email




Suburb / District




Postal Code




Transmission



Declaration

Signature:

Date (CCYYMMDD)


call 0800 00 SARS (7277)

• NatureofPerson:Pleasechecktheapplicableboxfortherelevantbusinesstype.

• TradingorOtherName:Fillinthebusinesstradingorothername.

• Surnameorregisteredname:Foranaturalperson(AandwhereapplicableF)fillinthesurnameand

initials. For non-natural person (B, C, D, E, G, H and where applicable F) fill in the registered name.

• Initials:Fillintheinitials(mandatoryforA,optionalforF).

Note: For theBusTelNo,FaxNoandCellNofields,pleaseonlyusenumeralswithoutanyspaces inbetween. Ifyouareenteringalandlinenumber,ensurethattheareacodeiscompleted.YoumustcompleteeithertheBusTelNoorCellNofield.

• Bus Tel No:Fillinthebusinesstelephonenumber

• FaxNo:Fillinthebusinessfaxnumber.

• Cell No: Fillinthecellularnumber.

• Date of Birth: Fillintheemployer’sdateofbirthifyouareanIndividual(A).ForFthisfieldismandatoryifthe Initials fieldhasbeenfilledin.

• ID No: Foranindividual(A)eithertheIDNo.orPassportNo.ismandatory.ForFthisfieldismandatoryifthe Initialsfieldhasbeenfilledin.

• Passport No: Foranindividual(A)eithertheIDNo.orPassportNo.ismandatory.ForFthisfieldismandatoryiftheInitials

fieldhasbeenfilledin.

• Country of Issue: IfyouhavefilledinthePassportNo.field,pleaseselectthecountryinwhichthepassportwasissued.Pleaseseesection 9. Codes for the country that issued the passport.

• CK No: Pleaseusenumerals(optionalforCandF).

• BusinessIncomeTaxRefNo:Pleaseusenumerals(optionalforA,C,E,F,GandH).

• VAT Ref No: FillinthebusinessVATreferencenumberusingonlynumerals.

• Activity within Major Division: Fill in the relevantbusinessactivitycode.Refer to VAT 403 Trade Classification

Guide.

• Contact Email:Fillintheemailcontactdetailsforthebusiness,e.g.:[email protected].

SEPTEMBER 2011 7

3

Completing the Business Physical Address Details:

EMP501_RO 2010.5.0 English 2010 01/03



Transaction Year::











Organisation






Major Division

Contact Email




Suburb / District




Postal Code




Transmission



Declaration

Signature:

Date (CCYYMMDD)


call 0800 00 SARS (7277)

• Unit No:Fillintheunitnumberifthebusinessisnotinastandalonebuilding.

• Complex:Whereapplicable,fillinthenameofthecomplex.

• Street No:Fillinthestreetnumberforthestreetinwhichthebusinessislocated.

• Street/Name of Farm:Fillinthenameofthestreetorthefarminwhichthebusinessislocated.

• Suburb/District:Fillinthenameofthesuburbordistrictinwhichthebusinessislocated.

• City/Town: Fillinthenameofthecityortowninwhichthebusinessislocated.

• Postal Code:Fillinthepostalcodeforthesuburbinwhichthebusinessislocated.

4

Completing the Business Postal Address Details:

EMP501_RO 2010.5.0 English 2010 01/03



Transaction Year::











Organisation






Major Division

Contact Email




Suburb / District




Postal Code




Transmission



Declaration

Signature:

Date (CCYYMMDD)


call 0800 00 SARS (7277)

Ifthepostaladdressdetailsarethesameastheresidentialdetails,pleasechecktheboxnexttoMark here with an “X” if

same as above or complete your Postal Address.Ifnot,fillintheemployer’spostaladdressandpostalcode.

5

Complete the Employer Bank Account Details section:

EMP501_RO 2010.5.0 English 2010 01/03



Transaction Year::











Organisation






Major Division

Contact Email




Suburb / District




Postal Code




Transmission



Declaration

Signature:

Date (CCYYMMDD)


call 0800 00 SARS (7277)

• Account No: Fillinthebusinessaccountnumber.

• Branch No:Fillinthesix-digitbranchcodeforthebusiness’sbankifnotpre-populated.

• Account Holder Name:Fillintheaccountholder’sname.

• Account Holder Relationship: Indicatewhetherthebusiness’saccountisinthenameofthebusinessora3rd party.

• Account Type:Indicatewhetherthebusinessaccounttypeischequeorsavings/transmission.


6

Completing the Declaration section:

EMP501_RO 2010.5.0 English 2010 01/03



Transaction Year::











Organisation






Major Division

Contact Email




Suburb / District




Postal Code




Transmission



Declaration

Signature:

Date (CCYYMMDD)


call 0800 00 SARS (7277)

• SignanddateyourDeclaration.

7

Completing the Representative section:

EMP501_RO 2010.5.0 English 2010 01/03



Transaction Year::











Organisation






Major Division

Contact Email




Suburb / District




Postal Code




Transmission



Declaration

Signature:

Date (CCYYMMDD)


call 0800 00 SARS (7277)

Note: OptionalforAandF,butmandatoryforB,C,D,E,GandH.

• Surname: Fillintherepresentative’ssurname.

• Initials:Fillintherepresentative’sinitials.


• Bus Tel No: Fillintherepresentative’sbusinesstelephonenumber.

• FaxNo:Fillintherepresentative’sfaxnumber.

• Cell No:Fillintherepresentative’scellularnumber.

• ID No: EitherIDNo.orPassportNo.ismandatory.

• Passport No: EitherIDNo.orPassportNo.ismandatory.

• Country of Issue:IfyouhavefilledinthePassportNo.field,pleaseselectthecountryinwhichthepassportwasissued.Pleaseseesection 9. Codes for the country that issued the passport.

• Capacity:Selecttherelevantblockforthecapacityinwhichyouarerepresentingthebusiness.

• Contact Email:Fillintherepresentative’semailcontactdetails,e.g.:[email protected].

SEPTEMBER 2011 9

8

Complete the Contact Person section:

EMP501_RO 2010.5.0 English 2010 02/03



Transaction Year::


Contact Details CONDE01

Representative

Surname

Initials Bus Tel No. Fax No. Cell No.

ID No. Passport No. Country of Issue (e.g. South Africa = ZAF)

Capacity: Public Officer Curator / Trustee / Liquidator /Executor / Administrator Partner Treasurer Accounting officer for Local /

Public Authority

Contact Email

Contact Person

Surname



Contact Email

Tax Practitioner

Surname

Initials Bus Tel No.

Fax No.

Cell No.

Reg No. PR -

Contact Email

Reason for Over / Understatement of Declaration

Reason

Pleasefillinthecontactpersonsectionifyouhavenotfilledintherepresentativesection.

• Surname: Fillinthecontactperson’ssurname.

• Initials: Fillinthecontactperson’sinitials.


• Bus Tel No: Fillinthecontactperson’sbusinesstelephonenumber.

• FaxNo:Fillinthecontactperson’sfaxnumber.

• Cell No:Fillinthecontactperson’scellularnumber.

• ID No: EitherIDNo.orPassportNo.ismandatory.

• Passport No:EitherIDNo.orPassportNo.ismandatory.

• Country of Issue: IfyouhavefilledinthePassportNo.field,pleaseselectthecountryinwhichthepassportwasissued.Pleaseseesection 9. Codes for the country that issued the passport.

• Contact Email:Fillinthecontactperson’semailcontactdetails,e.g.:[email protected].

9

CompletetheTaxPractitionersection:

EMP501_RO 2010.5.0 English 2010 02/03



Transaction Year::



Representative

Surname




Public Authority

Contact Email

Contact Person

Surname



Contact Email

Tax Practitioner

Surname


Fax No.

Cell No.

Reg No. PR -

Contact Email


Reason

Note: This section is optional.

• Surname:Fillinthetaxpractitioner’ssurname.

• Initials:Fillinthetaxpractitioner’sinitials.

Note:For theBusTelNo,FaxNoandCellNofields,pleaseonlyusenumeralswithoutanyspaces inbetween. Ifyouareenteringalandlinenumber,ensurethattheareacodeiscompleted.YoumustcompleteeithertheBusTelNoorCellNofield.

• Bus Tel No:Fillinthetaxpractitioner’sbusinesstelephonenumber.

• FaxNo:Fillinthetaxpractitioner’sfaxnumber.

• Cell No: Fillinthetaxpractitioner’scellularnumber.

• Reg No: Fillinthetaxpractitioner’sregistrationnumber.

• Contact Email:Fillinthetaxpractitioner’semailcontactdetails,e.g.:[email protected].


10

Completing the Reason for Over / Understatement of Declaration section:

EMP501_RO 2010.5.0 English 2010 02/03



Transaction Year::



Representative

Surname




Public Authority

Contact Email

Contact Person

Surname



Contact Email

Tax Practitioner

Surname


Fax No.

Cell No.

Reg No. PR -

Contact Email


Reason

Whereapplicable,statethereasonfortheover/understatementofyourdeclaration.

11

Completing the PAYE, SDL & UIF sections:

EMP501_RO 2010.5.0 English 2010 03/03



Transaction Year::


Financial Particulars PRDFY01

Transaction Year (CCYY)Period of Reconciliation (CCYYMM)

PAYE Ref No.

SDL Ref No.

UIF Ref No.

March

April

May

June

July

August

September

October

November

December

January

February

Annual Total

Difference – Liability & Certificates Values

Total Value of Tax Certificates

PAYE Rands only, no cents

SDL Rands only, no cents

UIF Rands only, no cents

Total Monthly Liability Rands only, no cents

Total Payments Rands only, no cents

Total Value of Electronic Tax Certificates

Total Value of Manual Tax Certificates

Declared Liability Rands only, no cents

Due By / To You Rands only, no cents

(excl. Additional Tax, Interest and Penalties)

• ThesefieldsareasummaryofthemonthlyliabilitiesforPAYE,SDLandUIFasrecalculatedduringthereconciliationprocess. – Theyareallnumericfieldsandcentsmustbeomittedorroundedofftothenearestrand.

– Azeroliabilityshouldbeindicatedusing“0”.

– TheTotalMonthlyLiabilityisthesumofthePAYE,SDLandUIFliabilitiesfortherelevantmonth.

– The totalsmaybe fora twelve-monthorsix-monthperiod, for theannualor interim (biannual) reconciliation

respectively.

• PAYE:FillinthePAYEamountsforthebusinesspermonth.

• SDL:FillintheSDLamountsforthebusinesspermonth.

• UIF:FillintheUIFamountsforthebusinesspermonth. – Thesefieldsareasummaryofthemonthly liabilitiesforPAYE,SDLandUIFasrecalculatedduringthereconciliation

process. The totals may be for a six month or 12month period, in respect of biannual or annual reconciliations

respectively.

SEPTEMBER 2011 11

12

Completing the Total Payments section:

EMP501_RO 2010.5.0 English 2010 03/03



Transaction Year::




PAYE Ref No.

SDL Ref No.

UIF Ref No.

March

April

May

June

July

August

September

October

November

December

January

February

Annual Total













• Fillinthetotalpaymentsforthebusinesspermonth.

• ThemonthlytotalofallactualpaymentsmadetoSARSinrespectofPAYE,SDLandUIFfortherelevantmonthshouldbeindicated. This must exclude any additional tax, interest and penalties paid.

• Theyareallnumericfieldsandcentsmustbeomittedorroundedofftothenearestrand.

13

Completing the Total section:

EMP501_RO 2010.5.0 English 2010 03/03



Transaction Year::




PAYE Ref No.

SDL Ref No.

UIF Ref No.

March

April

May

June

July

August

September

October

November

December

January

February

Annual Total












(excl. Additional Tax, Interest and Penalties) • Thisisthesumofeitherthesix(interim)ortwelve-month(annual)periodinrespectofPAYE,SDLandUIF,givingagrandtotal

ofallthemonthlyliabilitiesforthatperiod.

• Thisfieldisautomaticallycalculatedforelectronicsubmissions.

Note: IftheSDLandUIFcontributionsarenotonthecertificatesthisvaluemustbecalculatedandthevaluemustbecompleted.

14

CompletingtheTotalValueofElectronicTaxCertificatessection:

EMP501_RO 2010.5.0 English 2010 03/03



Transaction Year::




PAYE Ref No.

SDL Ref No.

UIF Ref No.

March

April

May

June

July

August

September

October

November

December

January

February

Annual Total













• Thisisthesumtotalofthetaxvalueforallelectronictaxcertificatesissuedbytheemployer.

15

CompletingtheTotalValueofManualTaxCertificatessection:

EMP501_RO 2010.5.0 English 2010 03/03



Transaction Year::




PAYE Ref No.

SDL Ref No.

UIF Ref No.

March

April

May

June

July

August

September

October

November

December

January

February

Annual Total













• Thisisthesumtotalofthetaxvalueforallmanuallycompletedtaxcertificatesissuedbytheemployer.


16

CompletingtheTotalValueofTaxCertificatessection:

EMP501_RO 2010.5.0 English 2010 03/03



Transaction Year::




PAYE Ref No.

SDL Ref No.

UIF Ref No.

March

April

May

June

July

August

September

October

November

December

January

February

Annual Total













• TotalValueofTaxCertificates(PAYE): Tocalculatethisvalue,addtheTotalValueofElectronicTaxCertificates

and the TotalValueofManualTaxCertificates.

• Total Valueof TaxCertificates (SDL): To calculate this value, add the total of theSDL contribution on each taxcertificate(whereapplicable).Alternatively,calculateandcapturethisvaluemanually.

• TotalValueofTaxCertificates(UIF):Tocalculatethisvalue,addthetotaloftheUIFcontributiononeachtaxcertificate(whereapplicable).Alternatively,calculateandcapturethisvaluemanually.

17

Completing the Difference – Liability & Certificate Values section:

EMP501_RO 2010.5.0 English 2010 03/03



Transaction Year::




PAYE Ref No.

SDL Ref No.

UIF Ref No.

March

April

May

June

July

August

September

October

November

December

January

February

Annual Total












(excl. Additional Tax, Interest and Penalties)SubtractthetotalannualliabilityfromthetotalvalueofcertificatesinrespectofPAYE,SDLandUIFtogiveadifference(ifany).

• Difference – Liability & Certificate Values (PAYE): Tocalculatethisvalue,subtracttheAnnualTotal(PAYEcolumn)fromtheTotalValueofTaxCertificates(PAYEcolumn).

• Difference – Liability & Certificate Values (SDL): Tocalculatethisvalue,subtracttheAnnualTotal(SDLcolumn)fromtheTotalValueofTaxCertificates(SDLcolumn).

• Difference – Liability & Certificate Values (UIF):Tocalculatethisvalue,subtracttheAnnualTotal(UIFcolumn)fromtheTotalValueofTaxCertificates(UIFcolumn).

• Difference – Liability & Certificate Values (Total Monthly Liability):Tocalculate thisvalue,addthe following:PAYEDifference+SDLDifference+UIFDifference.

18

Completing the Declared Liability section:

EMP501_RO 2010.5.0 English 2010 03/03



Transaction Year::




PAYE Ref No.

SDL Ref No.

UIF Ref No.

March

April

May

June

July

August

September

October

November

December

January

February

Annual Total













• AddyourtotalannualliabilityforPAYE,SDL&UIFplusthetotaldifference(ifany)toarriveatyourfinaldeclaredliability.

19

Completing the Due By/To You section:

EMP501_RO 2010.5.0 English 2010 03/03



Transaction Year::




PAYE Ref No.

SDL Ref No.

UIF Ref No.

March

April

May

June

July

August

September

October

November

December

January

February

Annual Total













• SubtractyourTotalPaymentsfromyourDeclaredLiabilityfortheyear.Anypositiveamountisduebyyouandanynegativeamount is due to you.

SEPTEMBER 2011 13

5.3 RECONCILIATION5.3.1 How to reconcile

Reconciliation involvesmatchingall taxdue (liabilities)withall taxpaidandchecking theseagainst the total valueofall tax

certificatesissued.Thesethreeamountsshouldallbeequal.Thereconciliationprocessonlyrelatestotaxpaidandnotadditional

tax, penalties or interest.

5.3.2 Reconciliation steps for employers:

1BeforeyoucompleteyourEMP501(fortheannualorinterimsubmission),determinethetotalincomeofeachemployeeforthat

yearandrecalculatethetaxbasedonthatamount.IRP5/IT3(a)sshouldreflecttheincome,deductionsandtaxascalculatedat

this point.

2IftherecalculatedliabilityaccordingtoyourtaxcertificatesisdifferenttowhatwaspreviouslydeclaredinyourmonthlyEMP201s,

youneedtodetermineinwhichmonth(s)thesedifferencesoccurred.

3CapturealltherelevantdemographicinformationintheBusinessInformationandContactDetailssections.

4Captureall yourmonthly liabilities forPAYE,SDLandUIFusing these revisedfigures in theFinancialParticularssectionon

theEMP501(i.e.wheredifferent,theliabilitiesinsertedontheEMP501shouldbethefinalcalculatedliabilitiesratherthanthe

liabilitiesdeclaredontheEMP201).

5CaptureyourtotalmonthlypaymentsmadeinrespectofPAYE,SDLandUIFbutexcludingpaymentsmadeinrespectofinterest,

penaltiesandadditionaltax.ThesearetheactualpaymentsyouhavemadetoSARSthroughouttheyear–norecalculations

needed.

6Calculatethetotalsanddifferencefields(Ifusinge@syFileTMEmployersimplyclickontheself-assessbuttoninordertopopulate

allthetotalsanddifferencefieldsforyou).

7Employersmustcalculate theSDLandUIF totalsandcapture thevalues. If theSDLandUIFcontributionsarenoton the

certificatesthisvaluemustbecalculatedandcompleted.

8Whensettlinganyshortfallreflectedinthereconciliation,thepaymentmustbeallocatedtotheperiod(s)inwhichtheshortfall

occurred. If the relevantperiodcannotbedetermined, thepaymentshouldbeallocated to the lastactiveperiodwithin the

transaction,whichisAugust(interim)orFebruary(annual).


5.4 ISSUES THAT MAY ARISE 5.4.1. Whereyouhadacreditduethatyouusedinsettlingaliabilitythisyear,youshouldaddittothepaymentfieldforthat

particularmonthinfinalisingyourreconciliation.

5.4.2. Thefollowingarethemostcommoninstanceswheretherecalculated(actual)monthlyliabilitiescoulddifferfromthe

originaldeclaredliabilityamountontheEMP201s:

• Adelayinimplementingthecorrecttaxtables.Thismayhaveresultedinanover/under-deductionoftaxinthemonths

priortothetaxtablesbeingintroduced.Aslongastheadjustmentsaremadeinthemonthfollowingthetaxtablesbeing

madeavailable,theoriginalEMP201amountsneednotberevised.

• Whenperformingyourfinaltaxliabilitycalculationforemployees,differencescouldariseasaresultoffluctuationsin

monthly remuneration.Where thishasoccurred thedifferencesmustbe reflected in the relevantmonth (e.g. in the

monththatapersonresignsorendofthetaxyear).

• Whenanemployerspreadsanemployee’staxontheir13thchequeoverataxyearandtheemployeeresignsbefore

thebonusisdue,theremightbeanover/under-deduction.

• Anyadministrativetimingdifferenceinupdatingyourpayrollrecords(e.g.resignationordeathofanemployee)whichisonly

updatedafterrunningthepayroll,resultinginanover-paymenttoSARS).

5.4.3. IfyouchangeanydatainrespectofanyreconciliationthathasalreadybeensubmittedtoSARS,thecertificate(s)can

beamendedandtheEMP501adjustedaccordingly.TherevisedEMP501orEMP701(ifchangingadeclarationfora

previousyear),andanyrevisedcertificates,mustthenberesubmittedtoSARS.

SEPTEMBER 2011 15

6. EMPLOYEE INCOME TAX CERTIFICATE [IRP5/IT3(a)]

PAYE REF NO.: SDL REF NO.: UIF REF NO.:

Certificate No.:

Transaction Year: Form ID: IRP5IT3a


IRP5IT3a_RO 2010.2.0 English 01/022010


Year of Assessment (CCYY)


Certificate No. Type of Certificate

IRPINF01Employee InformationSurname / Trading Name

First Two Names

Initials Nature of Person

Date of Birth (CCYYMMDD) ID No.

Passport No.

Passport Country of Issue (e.g. South Africa = ZAF)

Income Tax Ref No.

Contact Email

Home Tel No.Bus Tel No.

Fax No.

Cell No.



Street No. Street / Name of Farm

Suburb /District



Mark here with an “X” if same as above or complete your Postal Address

Postal Code


PAYE Ref No.

SDL Ref No.

UIF Ref No.

Employee Remuneration Bank Account DetailsMark here with an “X' if not paid electronically or if foreign bank account Account No. Branch No.

Bank NameBranch NameAccount Holder Name

Bank Account Type

Account Holder Relationship:

Own Joint 3rd Party

Account Type: Cheque / Current Acc. Bond Acc.

Savings Acc. Credit Card Acc.

Transmission Acc. Subscription Share Acc.

Employee Income Tax Certificate IRP5/IT3(a)


Certificate No.:




Tax Certificate Information TCINF01


Employee Address Details - Business



Suburb /District


Income Received

Amount Source Code

R

R

R

R

R

R

R

R

R

R

R

R

R

Income Received continued...

Amount Source Code

Non-Taxable Income

R 3 6 9 6Gross Retirement Funding Income

R 3 6 9 7Gross Non-Retirement Funding Income

R 3 6 9 8Deductions / Contributions

Amount Source Code

R

R

R

R

R

R

R

Total Deductions / ContributionsR 4 4 9 7

Tax Withheld

SITE

4101R ,PAYE

R 4102,PAYE on Lump Sum Benefit

R 4115,Employee and Employer UIF Contribution

R 4141,Employer SDL Contribution

R 4142,

R

Total Tax, SDL and UIF

4149,

Reason for Non-Deduction of Employees’ TaxOR

4150Pay Periods

Periods in Year of Assessment ,No. of Periods Worked

Period Employed From (CCYYMMDD)

Period Employed To (CCYYMMDD)

,

Directive Numbers

Directive No.

Directive No.

Directive No.


6.1 INTRODUCTIONSARSmadechangestotheIRP5/IT3(a)aimedatimprovingdataqualityforboththeemployerandSARS.

EmployersmakinguseofmanualcertificatesmayonlyissuethesetoemployeesonceSARSissatisfiedthatthereconciliation

hasbeencompletedcorrectly.ThemanualcertificateswiththesignedEMP501,andwhereapplicabletheEMP601,EMP701

mustbesubmittedtoSARS.

• Employersmustallocateuniquenumbersforeverycertificateissuedtoemployees

• AmanualIRP5/IT3(a)willnotbeacceptedbySARSifalltherelevantmandatoryfieldsarenotcompleted

• All incomeanddeductions reflectedonan IRP5/IT3(a)mustbeclassifiedaccording to thedifferentcodesallocated forincome and deductions [Pleasesee 11. List of Income and Deduction Codes for IRP5/IT3(a)].

• AllincomeanddeductionscodesusedonanIRP5/IT3(a)mustbecompletedontheIRP5/IT3(a)innumericsequence.

• AseparateIRP5/IT3(a)maynotbeissuedtotheemployeeinrespectofthesameremuneration,andnoblankcertificatesmaybeissued

• Wheretheemployee’sremunerationconsistsoflocalandforeignremuneration,separateIRP5/IT3(a)certificatesmustbeissued for each type of remuneration.

Themonthofreconciliationforthecalendaryearisindicatedbyatwo-digitnumber.Ifthereconciliationisfortheperiodupto

February,theformatis“02”.IftheperiodisuptoAugust,theformatis“08”.

Thismeansthatthetaxcertificatessubmittedfortheinterimreconciliationwilldifferfromthecertificatessubmittedannuallyinthe

followingways:

• InterimtaxcertificateswillonlybeissuedtoSARSandmustnotbeissuedtoemployees

• Interimtaxcertificateswillreflectinformationonincomeanddeductionsforamaximumperiodofsixmonths.

• Employees’taxmustbereflectedagainstcode4102(PAYE).ThetotalamountmustnotbesplitintoSITE(4101)andPAYE

(4102)

• Foremployeeswhoseemploymentwasterminatedpriortotheclosingoftheinterimperiod,forinstanceduetoresignation,

death,immigrationorwheretheemployerceasedtobeanemployer:

– Thetaxcertificatemustreflectfinancialinformationfortheperiodactuallyemployed

– Wherethereweredeductionsinrespectofemployees’tax,itmustbesplitandreflectedagainstcode4102(PAYE)and

4101(SITE)

– Thecalendarmonthinthetaxcertificatenumber(code3010)mustbespecifiedas“02”toindicatethatthisisafinaltax

certificate.ThesamecertificateshouldbesubmittedtoSARSattheendofthetaxyearaspartofthefinalsubmission.

SEPTEMBER 2011 17

5.2 COMPLETING EMPLOYEE INCOME TAX CERTIFICATES [IRP5/IT3(a)]

1



Certificate No.:









First Two Names



Passport No.


Income Tax Ref No.

Contact Email


Fax No.

Cell No.




Suburb /District




Postal Code


PAYE Ref No.

SDL Ref No.

UIF Ref No.



Bank Account Type


Own Joint 3rd Party





• Transaction Year:ThisisaninternaltermrepresentingtheyeartowhichtheEMP501refers.

• Year of Assessment: Fillintheyearofassessmenttowhichtheincomerelates.

• Period of Reconciliation: Fillinthetaxperiodtowhichtheincomerelates.

• Certificate No: Thisuniquethirty-digitnumberisallocatedbytheemployerforeachspecificIRP5/IT3(a)certificateissued.Thecertificatenumberiscomprisedof:

– Theten-digitemployerPAYEreferencenumber(oralternatively,theIncomeTaxnumberifthishasbeenused)

– Thefour-digitTransactionYear

– Thetwo-digitconcludingcalendaryearmonthforthereconciliation,i.e.ifthereconciliationisfortheperioduptoFebruary,the

formatwillbe02,oriftheperiodisuptoAugust,theformatwillbe08.

Note:IfafinalIRP5/IT3(a)isissuedduringtheyear,use02.

– Afourteen-digitcombinationofalphaandnumericcharactersformulatedattheemployer’sdiscretiontocompletethe

number.

• TypeofCertificate:SpecifywhetherthecertificateisanIRP5oranIT3(a).

2

Completing the Employee Information:


Certificate No.:









First Two Names



Passport No.


Income Tax Ref No.

Contact Email


Fax No.

Cell No.




Suburb /District




Postal Code


PAYE Ref No.

SDL Ref No.

UIF Ref No.



Bank Account Type


Own Joint 3rd Party





• Surname/Trading Name:Ifthecertificateisforanindividual,completetheindividual’ssurname.However,completethetradingnameifthecertificateisforatrust,company,partnershiporcorporation.

• First two Names:Fillintheemployee’sfirstandsecondnamesiftheemployeeisanindividual(eitherwithorwithoutanIDNo.orPassportNo.),adirectorofaprivatecompany/memberofaclosecorporation,orapensioner.

• Initials: Fillintheemployee’sinitialsiftheemployeeisanindividual(eitherwithorwithoutanIDNo.orPassportNo.),adirectorofaprivatecompany/memberofaclosecorporation,orapensioner.

• Nature of Person: Pleaseenteroneofthelettersbelowfortheapplicabledescription: – A:IndividualwithanIDNo.orPassportNo.

– B:IndividualwithoutanIDNo.orPassportNo.

– C:Directorofaprivatecompany/memberofaclosecorporation

– D:Trust

– E:Company/CC

– F:Partnership

– G:Corporation

– H:Employmentcompany/personalservicecompanyorCC,or

– N:Pensioner.


• Date of Birth: Fill in theemployee’sdateofbirth if theemployee isan individual (eitherwithorwithoutan identityorpassportnumber),adirectorofaprivatecompany/memberofaclosecorporationorapensioner.

• ID No:Fill in theemployee’s IDnumber.This ismandatory foran individual (withan identityorpassportnumber) if thepassportnumberhasnotbeencompleted,andoptionalforapensioner.

• Passport No: Fill in theemployee’spassportnumber.This ismandatory foran individual (withan identityorpassportnumber)iftheidentitynumberhasnotbeencompleted,andoptionalforapensioner.

• Passport Country of Issue:Thisisanoptionalfieldforthecountryinwhichthepassportwasissued,e.g.SouthAfricawillbeZAF.Pleaseseesection 9. Codes for the country that issued the passport.

• IncomeTaxRefNo:Thisisanoptionalfieldfortheemployee’sIncomeTaxreferencenumber,andmuststartwitha0,1,2,3or9.

• Home Tel No:Thisisanoptionalfieldfortheemployee’shometelephonenumber.

• Bus Tel No: Thisisanoptionalfieldfortheemployee’sbusinesstelephonenumber.

• FaxNo:Thisisanoptionalfieldfortheemployee’sfaxnumber.

• Cell No:Thisisanoptionalfieldfortheemployee’scellulartelephonenumber.

• Contact Email: Thisisanoptionalfieldfortheemployee’semailcontactdetails.

3

Completing the Employee Address Details – Residential section:


Certificate No.:









First Two Names



Passport No.


Income Tax Ref No.

Contact Email


Fax No.

Cell No.




Suburb /District




Postal Code


PAYE Ref No.

SDL Ref No.

UIF Ref No.



Bank Account Type


Own Joint 3rd Party





• Unit No: Fillintheunitnumberiftheemployeedoesnotresideinastandalonehouse.

• Complex:Whereapplicable,fillinthenameofthecomplex.

• Street No:Fillinthestreetnumberoftheresidenceinwhichtheemployeeresides.

• Street/Name of Farm:Fillinthenameofthestreetorthefarmwheretheemployeeresides.

• Suburb/District:Fillinthenameofthesuburbordistrictinwhichtheemployeeresides.

• City/Town: Fillinthenameofthecityortowninwhichtheemployeeresides.

• Postal Code:Fillinthepostalcodeforthesuburbinwhichtheemployeeresides.

4

Completing the Employer Reference Numbers section:


Certificate No.:









First Two Names



Passport No.


Income Tax Ref No.

Contact Email


Fax No.

Cell No.




Suburb /District




Postal Code


PAYE Ref No.

SDL Ref No.

UIF Ref No.



Bank Account Type


Own Joint 3rd Party





• PAYE Ref No: Fillintheemployee’sPAYEreferencenumber.Thisnumbermustbeginwitha7iftheemployerisregisteredforemployees’taxpurposes,andwitha0,1,2,3or9iftheemployerisnotregistered.Wherethereferencenumberbegins

with0,1,2,3or9,thetaxvalueonthecertificatecannotbecompletedbutthereasonforthenon-deductionmustbefilled

in.

• SDL Ref No:Fillintheemployee’sSDLreferencenumber.

• UIF Ref No: Fillintheemployee’sUIFreferencenumber.

SEPTEMBER 2011 19

5

Completing the Employee Address Details – Postal section:


Certificate No.:









First Two Names



Passport No.


Income Tax Ref No.

Contact Email


Fax No.

Cell No.




Suburb /District




Postal Code


PAYE Ref No.

SDL Ref No.

UIF Ref No.



Bank Account Type


Own Joint 3rd Party





• Ifthepostaladdressdetailsarethesameastheresidentialdetails,pleasechecktheboxnexttoMark here with an “X”

if same as above or complete your Postal Address.Ifnot,fillintheemployee’spostaladdressandpostalcode.

6

Completing the Employee Remuneration Bank Account Details section:


Certificate No.:









First Two Names



Passport No.


Income Tax Ref No.

Contact Email


Fax No.

Cell No.




Suburb /District




Postal Code


PAYE Ref No.

SDL Ref No.

UIF Ref No.



Bank Account Type


Own Joint 3rd Party





• Iftheemployee’spaymentismadeintoaforeignbankaccount,oriftheyarenotpaidelectronically,pleasecheckMark

boxwithan“X”ifnotpaidelectronicallyorforforeignbankaccount.Furtherbankdetailsarenotrequiredinthis case.

• Account No: Fillintheemployee’saccountnumber.

• Branch No: Fillinthesix-digitbranchcodefortheemployee’sbankifnotpre-populated.

• Bank Name:Selecttheemployee’sbankfromthepop-upthatappears.

• Branch Name: Fillinthebranchnamefortheemployee’sbankifnotpre-populated.

• Account Holder Name:Fillinthenameoftheaccountholder.

7

Completing the Bank Account Type section:


Certificate No.:









First Two Names



Passport No.


Income Tax Ref No.

Contact Email


Fax No.

Cell No.




Suburb /District




Postal Code


PAYE Ref No.

SDL Ref No.

UIF Ref No.



Bank Account Type


Own Joint 3rd Party





• Account Holder Relationship:Indicatewhethertheemployee’saccountisOwn,Jointor3rdParty.

• Account Type:IndicatewhethertheemployeehasaCheque/CurrentAcc,aBondAcc,aSavingsAcc,aCreditCardAcc,aTransmissionAccorSubscriptionShareAcc.

A STEP-BY-STEP GUIDE TO THE EMPLOYER RECONCILIATION PROCESS 20 PAYE REF NO.: SDL REF NO.: UIF REF NO.:

Certificate No.:









Suburb /District


Income Received

Amount Source Code

R

R

R

R

R

R

R

R

R

R

R

R

R


Amount Source Code

Non-Taxable Income




Amount Source Code

R

R

R

R

R

R

R


Tax Withheld

SITE

4101R ,PAYE




R 4142,

R


4149,


4150Pay Periods




,

Directive Numbers

Directive No.

Directive No.

Directive No.

8

Completing the Employee Address Details – Business section:

Note: Pensionersneednotcompletethissection.


Certificate No.:









Suburb /District


Income Received

Amount Source Code

R

R

R

R

R

R

R

R

R

R

R

R

R


Amount Source Code

Non-Taxable Income




Amount Source Code

R

R

R

R

R

R

R


Tax Withheld

SITE

4101R ,PAYE




R 4142,

R


4149,


4150Pay Periods




,

Directive Numbers

Directive No.

Directive No.

Directive No.

• Unit No: Fillintheunitnumberifthebusinessaddressfortheemployeeisnotastandalonelocation.

• Complex:Whereapplicable,fillinthenameofthecomplexinwhichthebusinessislocated.

• Street No: Fillinthestreetnumberforthebusinesslocation.

• Street/Name of Farm: Fillinthestreetnameorfarmnamewherethebusinessislocated.

• Suburb/District:Fillinthenameofthesuburbordistrictinwhichthebusinessislocated.

• City/Town: Fillinthenameofthecityortowninwhichthebusinessislocated.

• Postal Code: Fillinthepostalcodeforthesuburbinwhichthebusinessislocated.

9

Completing the Income Received section:


Certificate No.:









Suburb /District


Income Received

Amount Source Code

R

R

R

R

R

R

R

R

R

R

R

R

R


Amount Source Code

Non-Taxable Income




Amount Source Code

R

R

R

R

R

R

R


Tax Withheld

SITE

4101R ,PAYE




R 4142,

R


4149,


4150Pay Periods




,

Directive Numbers

Directive No.

Directive No.

Directive No.

Note: Randamountsshouldbeenteredfromtherightofthegrid,andcentsmustberoundedofftothenearestrandaspertheexamplebelow.

R (rand value of income):

5 0 0 0 0

SEPTEMBER 2011 21

Source code block:

Note:SARShassimplifiedthePAYEsubmissionprocessbycombiningrequiredsourcecodes,andeliminatingcertainredundant

codes.Pleaseseesection 11. Rules for the Consolidation of Source Codes.

• Fillinavalidincomecode.Pleasesee section 10. List of Income and Deduction Codes for IRP5/IT3(a)toobtainthe

codeforthetypeofincomethatwasreceived.

Non-TaxableIncome:Thisisthesumtotalofalltheincomeamountswhichwerecompletedasnon-taxable(i.e.code3696).

Note:Theamountcompletedmustbeexcludedfromcodes3697and3698.

Gross Retirement Funding Income: Thisisthesumtotalofallretirementfundingincomeamounts(i.e.code3697).

Note: Thisfieldismandatoryifnovalueiscompletedforcode3696or3698.

Gross Non-Retirement Funding Income: Thisisthesumtotalofallnon-retirementfundingincomeamounts(i.e.code3698).

Note: Thisfieldismandatoryifnovalueiscompletedforcode3696or3697.

10

Completing the Deductions/Contributions section:

Thissectionmustbecompletedonlyifanyrelevantamounthasbeendeductedfromorcontributedonbehalfoftheemployee.


Certificate No.:









Suburb /District


Income Received

Amount Source Code

R

R

R

R

R

R

R

R

R

R

R

R

R


Amount Source Code

Non-Taxable Income




Amount Source Code

R

R

R

R

R

R

R


Tax Withheld

SITE

4101R ,PAYE




R 4142,

R


4149,


4150Pay Periods




,

Directive Numbers

Directive No.

Directive No.

Directive No.

Note:Randamountsshouldbeenteredfromtherightofthegrid,andcentsmustberoundedofftothenearestrand.

• The rand value for the deductions/contributions must be completed from the right, and the code for the deduction/

contributionmustbeenteredunderSource Codeinthefourblocksnexttotherandamount.

• TotalDeductions/Contributions:Fillinthesumtotalofalldeductions/contributions.


Certificate No.:









Suburb /District


Income Received

Amount Source Code

R

R

R

R

R

R

R

R

R

R

R

R

R


Amount Source Code

Non-Taxable Income




Amount Source Code

R

R

R

R

R

R

R


Tax Withheld

SITE

4101R ,PAYE




R 4142,

R


4149,


4150Pay Periods




,

Directive Numbers

Directive No.

Directive No.

Directive No.


11

CompletingtheTaxWithheldsection:ThissectiondealswiththetaxamountswhichanemployerdeductsfromtheemployeepriortopayingtheseamountstoSARS.


Certificate No.:









Suburb /District


Income Received

Amount Source Code

R

R

R

R

R

R

R

R

R

R

R

R

R


Amount Source Code

Non-Taxable Income




Amount Source Code

R

R

R

R

R

R

R


Tax Withheld

SITE

4101R ,PAYE




R 4142,

R


4149,


4150Pay Periods




,

Directive Numbers

Directive No.

Directive No.

Directive No.

Note: Pleaseuserandsandcentsinthissection.

• SITE (4101):Fill intheSITEamountdeducted.Thisfieldismandatoryifthevaluesforcodes4102 and 4115, and the

ReasonforNon-DeductionofEmployees’Taxare not completed.

• PAYE (4102): FillinthePAYEamountdeducted.Thisfieldismandatoryifthevaluesforcodes4101 and 4115, and the

ReasonforNon-DeductionofEmployees’Taxare not completed.

• PAYE on Lump Sum Benefit (4115): FillinthePAYEamountdeductedfromtheretirementlumpsumbenefit.Thisfield

mayonlybecompletedifcode3915hasbeencompletedunderIncome Received.

• Employee and Employer UIF Contribution (4141):Fill inthesumtotalofboththeemployee’sandemployerUIFcontributions.

• Employer SDL Contribution (4142):Fillinthesumtotaloftheemployer’sSDLcontributions.

• TotalTax,SDLandUIF(4149):Completethisbyaddingthefollowingtotals:SITE (4101)+PAYE(4102)+PAYE on

Lump Sum Benefit (4115)+Employee and Employer UIF Contribution(4141)+Employer SDL Contribution (4142).

• ReasonforNon-DeductionofEmployees’Tax(4150):Fill inavalidreasoncodeforwhytheemployerhasnot

deductedanyemployees’taxfromtheincome.Thisfieldismandatoryifthevaluesforcodes4101, 4102 and 4115 are not

completed.Pleaseseesection 11.7 Employees’ Tax Deduction and Reason Codes.

12

Completing the Pay Periods section:


Certificate No.:









Suburb /District


Income Received

Amount Source Code

R

R

R

R

R

R

R

R

R

R

R

R

R


Amount Source Code

Non-Taxable Income




Amount Source Code

R

R

R

R

R

R

R


Tax Withheld

SITE

4101R ,PAYE




R 4142,

R


4149,


4150Pay Periods




,

Directive Numbers

Directive No.

Directive No.

Directive No. • Periods In Year of Assessment:Thenumberofpayperiodsintowhichtheemployerdividesthetaxyear.Thisisusually

dividedeitherintomonthsordays,andcanbeanyvaluebetween1and380.

• No. of Periods Worked:Thenumberofperiodswhichtheemployeeworkedwithintherelevanttaxyear.Thisisusuallydividedeitherintomonthsordays,andcanbeanyvaluebetween1and380.

• Period Employed From:Fillinthedateasofwhentheemployee’semploymentcommenced.

• Period Employed To:Fillintheenddateforwhichtheemployee’staxisbeingdeclared.

SEPTEMBER 2011 23

13

Completing the Directive Numbers section:


Certificate No.:









Suburb /District


Income Received

Amount Source Code

R

R

R

R

R

R

R

R

R

R

R

R

R


Amount Source Code

Non-Taxable Income




Amount Source Code

R

R

R

R

R

R

R


Tax Withheld

SITE

4101R ,PAYE




R 4142,

R


4149,


4150Pay Periods




,

Directive Numbers

Directive No.

Directive No.

Directive No.

• Completethissectionaspertheexampleabovefor thefollowingsourcecodes:3608,3614,3664,3707,3757,3718,3768,3901,3902,3903,3904,3905,3909,3915,3920or3921.

Note:YoumayonlyprovidecopiesofthefinalIRP5/IT3(a)certificate(s)fortheperiod02.Pleasealsoretaincopiesforyourownrecords.


7. TAX CERTIFICATE CANCELLATION DECLARATION (EMP601)

EMP601Tax Certificate Cancellation Declaration

PAYE REF NO.

EMP601_RO 2010.3.0 English 01/012010

Transaction Year:


Form ID: EMP601



PAYE Ref No.


Individual Certificates

Certificate No.

Certificate No.

Certificate No.

Certificate No.

Certificate No.

Certificate No.

Certificate No.

Certificate No.


Certificate Ranges

From Number

To Number

From Number

To Number

From Number

To Number

From Number

To Number


Declaration I declare that the above certificates have been cancelled. All related transactions have been rectified.

Date(CCYYMMDD)Employer Signature

SARSmadechangestotheEMP601toaccommodatefortheincreaseinthelengthofthecertificatenumber.Thenumberof

individualcertificatesthatcanbecapturedhasbeenreducedtoeight,andtherangeofcertificatesyoucancapturehasbeen

reduced to four.

TheEMP601mustbecompletediftheemployerneedstocancelanyIRP5/IT3(a)sthathavealreadybeensubmittedtoSARS.

1



PAYE REF NO.

EMP601_RO 2010.3.0 English 01/012010

Transaction Year:


Form ID: EMP601



PAYE Ref No.



Certificate No.

Certificate No.

Certificate No.

Certificate No.

Certificate No.

Certificate No.

Certificate No.

Certificate No.


Certificate Ranges

From Number

To Number

From Number

To Number

From Number

To Number

From Number

To Number




• Transaction Year: Fillinthetaxyearduringwhichthecertificateisbeingcancelled.

• PAYEReferenceNo:Fillintheemployer’sPAYEreferencenumber.

• TradingorOtherName:Fillinthetradingorothernamefortheemployer.

SEPTEMBER 2011 25

2

Completing the Individual Certificates section:


PAYE REF NO.

EMP601_RO 2010.3.0 English 01/012010

Transaction Year:


Form ID: EMP601



PAYE Ref No.



Certificate No.

Certificate No.

Certificate No.

Certificate No.

Certificate No.

Certificate No.

Certificate No.

Certificate No.


Certificate Ranges

From Number

To Number

From Number

To Number

From Number

To Number

From Number

To Number




• Completethissectionifthecertificatestobecancelledarerandominnumber.

OR

3

Completing the Certificate Ranges section:


PAYE REF NO.

EMP601_RO 2010.3.0 English 01/012010

Transaction Year:


Form ID: EMP601



PAYE Ref No.



Certificate No.

Certificate No.

Certificate No.

Certificate No.

Certificate No.

Certificate No.

Certificate No.

Certificate No.


Certificate Ranges

From Number

To Number

From Number

To Number

From Number

To Number

From Number

To Number




• Completethissectionifthecertificatestobecancelledareconsecutiveinnumber.

4



PAYE REF NO.

EMP601_RO 2010.3.0 English 01/012010

Transaction Year:


Form ID: EMP601



PAYE Ref No.



Certificate No.

Certificate No.

Certificate No.

Certificate No.

Certificate No.

Certificate No.

Certificate No.

Certificate No.


Certificate Ranges

From Number

To Number

From Number

To Number

From Number

To Number

From Number

To Number




• Signanddatethedeclaration.


8. THE RECONCILIATION DECLARATION ADJUSTMENT (EMP701)


UIF:SDL:PAYE:

2010.1.0EMP701_RO English 01/012010

Transaction Year:

Trading Name:


Transaction Year (CCYY)PAYE Ref No.

SDL Ref No.

UIF Ref No.

Trading or Other Name 0 2

Number of Years with Adjustments

Adjustment Declaration EMPADJ01

Transaction Year


Difference


Liability

PAYE SDL UIF Total Payment

Due By / To You


Transaction Year


Difference


Liability


Due By / To You

Sum of Adjusted Declaration(s) EMPSUM01


Total UIF SDL PAYE Payment

Declaration

Date (CCYYMMDD) I hereby declare that this reconciliation is true and correct and that all tax, levies and contributions

required to be deducted has been declared and all payments declared have been made. I hereby accept liability for any difference due.

Signature


CompleteanEMP701ifyouneedtomakeadjustmentstoEMP501sandpaymentsinrespectofprioryears.

1



UIF:SDL:PAYE:

2010.1.0EMP701_RO English 01/012010

Transaction Year:

Trading Name:



SDL Ref No.

UIF Ref No.




Transaction Year


Difference


Liability


Due By / To You


Transaction Year


Difference


Liability


Due By / To You




Declaration



Signature


• TransactionYear:ThisisaninternaltermrepresentingtheyeartowhichtheEMP501refers.

• ReferenceNos:Thetaxtypes(PAYE,SDLand/orUIF)forwhichyouareorwereregisteredfortherelevantyearmustbecompleted.

• TradingorOtherName:Fillinthetradingnamefortheemployer.

• NumberofYearswithAdjustments:Fillinthenumberofpreviousyearsforwhichadjustmentstodeclarationsneedtobemade.

Note: TheEMP701contains amaximumof twoAdjustmentDeclaration sections, allowing you to change twoEMP501s.PleaserequestadditionalformsifyouneedtochangemoreEMP501s.Shouldyouusee@syFileTMEmployertocompletethe

formelectronically,theNumberofYearswithAdjustmentswilldictatehowmanyadjustmentdeclarationcontainersarecreated.

SEPTEMBER 2011 27

2

Completing the Adjustment Declaration section:


UIF:SDL:PAYE:

2010.1.0EMP701_RO English 01/012010

Transaction Year:

Trading Name:



SDL Ref No.

UIF Ref No.




Transaction Year


Difference


Liability


Due By / To You


Transaction Year


Difference


Liability


Due By / To You




Declaration



Signature


• TransactionYear:Fillinthetaxyearduringwhichthedeclarationneedstobechanged.

• PreviousDeclaration:Fillintheamountsthatweredeclaredfortherelevantyearyouwouldliketochange.ThisistheTotalValueofTaxCertificatesforPAYE,SDLandUIF.Usethemostrecentvaluesifthevalueshavebeenchangedatany

stagesincetheoriginaldeclaration.

• Difference:Thisisthedifferencebetweenthepreviousdeclarationandthenewdeclaration,andiscalculatedbyaddingthePAYE,SDLandUIFDifferenceamounts.

• AdjustedDeclaration:ThisisthesumofthePreviousDeclarationandtheDifferenceforPAYE,SDLandUIF.

• Payment:ThePreviousDeclarationpaymentistheamountthatwasalreadypaidrelatingtothedeclaredliabilityforthatyear.Thedifferencepayment isanyothermoneythatwassubsequentlypaidrelatingeither totheoriginal liabilityor the

newdeclaredliability.TheAdjustedDeclaration paymentisthesumofthePreviousDeclarationpaymentandtheDifference

payment.

• DueBy/ToYou:CalculateanyoutstandingamountsDueBy/ToYoubysubtractingtheadjusteddeclarationpaymentsfromyouradjusteddeclarationliabilitytotalfortheyear.Anypositivevalueisduebyyouandanynegativevalueisduetoyou.

3

Completing the Sum of Adjusted Declaration(s) section:


UIF:SDL:PAYE:

2010.1.0EMP701_RO English 01/012010

Transaction Year:

Trading Name:



SDL Ref No.

UIF Ref No.




Transaction Year


Difference


Liability


Due By / To You


Transaction Year


Difference


Liability


Due By / To You




Declaration



Signature


• PAYE:Fill inthesumofthePAYEAdjustedDeclarationsforthespecificyearswhichyoustipulatedonthisEMP701forPAYE.

• SDL:FillinthesumoftheSDLAdjustedDeclarationsforthespecificyearswhichyoustipulatedonthisEMP701forSDL.

• UIF:FillinthesumoftheUIFAdjustedDeclarationsforthespecificyearswhichyoustipulatedonthisEMP701forUIF.

• Total:FillinthesumoftheTotalAdjustedDeclarationsforthespecificyearswhichyoustipulatedonthisEMP701forTotal.

• Payment:FillinthesumofthePaymentAdjustedDeclarationsforthespecificyearswhichyoustipulatedonthisEMP701forPayment.

• TotalDueBy/ToYou:FillinthesumoftheDueBy/ToYouamountsspecifiedforeachyearonthisEMP701.

4



UIF:SDL:PAYE:

2010.1.0EMP701_RO English 01/012010

Transaction Year:

Trading Name:



SDL Ref No.

UIF Ref No.




Transaction Year


Difference


Liability


Due By / To You


Transaction Year


Difference


Liability


Due By / To You




Declaration



Signature


• Signanddatethedeclaration.


9. CODES FOR THE COUNTRY THAT ISSUED THE PASSPORTCODE COUNTRY OF ISSUE CODE COUNTRY OF ISSUE CODE COUNTRY OF ISSUE

AFG Afghanistan GRC Greece PNG PapuaNewGuinea

ALA Åland Islands GRL Greenland PRY Paraguay

ALB Albania GRD Grenada PER Peru

DZA Algeria GLP Guadeloupe PHL Philippines

ASM AmericanSamoa GUM Guam PCN Pitcairn

AND Andorra GTM Guatemala POL Poland

AGO Angola GGY Guernsey PRT Portugal

AIA Anguilla GIN Guinea PRI PuertoRico

ATA Antarctica GNB Guinea-Bissau QAT Qatar

ATG AntiguaandBarbuda

GUY Guyana KOR RepublicofKorea

ARG Argentina HTI Haiti REU Réunion

ARM Armenia HMD HeardandMcDonaldIslands

ROU Romania

ABW Aruba VAT HolySee(VaticanCityState)

RUS RussianFederation

AUS Australia HND Honduras RWA Rwanda

AUT Austria HKG HongKongSpecialAdministrativeRegionofChina

SHN SaintHelena

AZE Azerbaijan HUN Hungary KNA SaintKittsandNevis

BHS Bahamas ISL Iceland LCA SaintLucia

BHR Bahrain IND India SPM SaintPierreandMiquelon

BGD Bangladesh IDN Indonesia VCT SaintVincentandtheGrenadines

BRB Barbados IRN Iran,IslamicRepublicof WSM Samoa

BLR Belarus IRQ Iraq SMR SanMarino

BEL Belgium IRL Ireland STP SaoTomeandPrincipe

BLZ Belize IMN IsleofMan SAU SaudiArabia

BEN Benin ISR Israel SEN Senegal

BMU Bermuda ITA Italy SRB Serbia

BTN Bhutan JAM Jamaica SYC Seychelles

BOL Bolivia JPN Japan SLE SierraLeone

BIH BosniaandHerzegovina

JEY Jersey SGP Singapore

BWA Botswana JOR Jordan SVK Slovakia

BVT BouvetIsland KAZ Kazakhstan SVN Slovenia

BRA Brazil KEN Kenya SLB SolomonIslands

IOTBritishIndianOceanTerritory

KIR Kiribati SOM Somalia

BRN BruneiDarussalam KWT Kuwait ZAF SouthAfrica

BGR Bulgaria KGZ Kyrgyzstan SGSSouthGeorgiaandSouthSandwichIs.

BFA BurkinaFaso LAO LaoPeople’sDemocraticRepublic

ESP Spain

SEPTEMBER 2011 29

CODE COUNTRY OF ISSUE CODE COUNTRY OF ISSUE CODE COUNTRY OF ISSUE

BDI Burundi LVA Latvia LKA SriLanka

KHM Cambodia LBN Lebanon SDN Sudan

CMR Cameroon LSO Lesotho SUR Suriname

CAN Canada LBR Liberia SJM SvalbardandJanMayenIslands

CPV CapeVerde LBY LibyanArabJamahiriya SWZ Swaziland

CYM CaymanIslands LIE Liechtenstein SWE Sweden

CAF CentralAfricanRepublic

LTU Lithuania CHE Switzerland

TCD Chad LUX Luxembourg SYR SyrianArabRepublic

CHL Chile MAC MacaoSpecialAdministrativeRegionofChina

TWN Taiwan,ProvinceofChina

CHN China MDG Madagascar TJK Tajikistan

CXR ChristmasIsland MWI Malawi THA Thailand

CCKCocos(Keeling)Island

MYS Malaysia MKD TheformerYugoslavRepublicofMacedonia

COL Colombia MDV Maldives TLS Timor-Leste

COM Comoros MLI Mali TGO Togo

COG Congo MLT Malta TKL Tokelau

COK CookIslands MHL MarshallIslands TON Tonga

CRI CostaRica MTQ Martinique TTO TrinidadandTobago

CIV Côted’Ivoire MRT Mauritania TUN Tunisia

HRV Croatia MUS Mauritius TUR Turkey

CUB Cuba MYT Mayotte TKM Turkmenistan

CYP Cyprus MEX Mexico TCA TurksandCaicosIslands

CZE CzechRepublic FSM Micronesia,FederatedStatesof

TUV Tuvalu

PRK DemocraticPeople’sRepublicofKorea

MDA Moldova UGA Uganda

COD DemocraticRepublicoftheCongo

MCO Monaco UKR Ukraine

DNK Denmark MNG Mongolia ARE UnitedArabEmirates

DJI Djibouti MNE Montenegro GBR UnitedKingdomofGreatBritain(Citizen)

DMA Dominica MSR Montserrat GBDUnitedKingdomofGreatBritain(DependentTerritoriesCitizen)

DOM DominicanRepublic MAR Morocco GBNUnitedKingdomofGreatBritain(NationalOverseas)

ECU Ecuador MOZ Mozambique GBOUnitedKingdomofGreatBritain(Overseascitizen)

EGY Egypt MMR Myanmar GBPUnitedKingdomofGreatBritain(Protectedperson)

SLV ElSalvador NAM Namibia GBSUnitedKingdomofGreatBritain(Subject)

GNQ EquatorialGuinea NRU Nauru TZA UnitedRepublicofTanzania

ERI Eritrea NPL Nepal USA UnitedStatesofAmerica


CODE COUNTRY OF ISSUE CODE COUNTRY OF ISSUE CODE COUNTRY OF ISSUE

EST Estonia NLD Netherlands URY Uruguay

ETH Ethiopia ANT Netherlands Antilles UMI USMinorOutlyingIslands

FLK FalklandIslands(Malvinas)

NTZ NeutralZone UZB Uzbekistan

FRO FaroeIslands NCL NewCaledonia VUT Vanuatu

FJI Fiji NZL NewZealand VAT VaticanCityState(HolySee)

FIN Finland NIC Nicaragua VEN Venezuela

FRA France NER Niger VNM VietNam

FXX France,Metropolitan NGA Nigeria VGB VirginIslands(British)

GUF FrenchGuiana NIU Niue VIR VirginIslands(UnitedStates)

PYF FrenchPolynesia NFK NorfolkIsland WLF WallisandFutunaIslands

ATFFrenchSouthernTerritories-TF

MNP NorthernMarianaIslands ESH WesternSahara

GAB Gabon NOR Norway YEM Yemen

GMB Gambia PSE OccupiedPalestinianTerritory

ZMB Zambia

GEO Georgia OMN Oman ZWE Zimbabwe

DEU Germany PAK Pakistan ZNC Any country not on this list

GHA Ghana PLW Palau

GIB Gibraltar PAN Panama

SEPTEMBER 2011 31

10. EMPLOYER’S BUSINESS ACTIVITY CODES

EMPLOYMENT GROSS INCOME

3501 Agriculture,forestryandfishing3502 Miningandstonequarryingworks3503 Food,drinkandtobacco3504 Textile3505 Clothingandfootwear3506 Leather,leathergoodsandfur(excludingfootwearandclothing)3507 Wood,woodproductsandfurniture3508 Paper,printingandpublishing3509 Chemicalsandchemical,rubberandplasticproducts3510 Coalandpetroleumproducts3511 Bricks,ceramics,glass,cementandsimilarproducts3512 Metal3513 Metalproducts(exceptmachineryandequipment)3514 Machineryandrelateditems3515 Vehicle,partsandaccessories3516 Transportequipment(exceptvehicle,partsandaccessories)3517 Scientific,opticalandsimilarequipment3518 Othermanufacturingindustries3519 Electricity,gasandwater3520 Construction3521 Wholesale trade3522 Retailtrade3523 Cateringandaccommodation3524 Transport,storageandcommunication3525 Financing,insurance,realestateandbusinessservices3526 Publicadministration3527 Educationalservices3528 Researchandscientificinstitutes3529 Medical,dental,otherhealthandveterinaryservices3530 Socialandrelatedcommunityservices3531 Recreationalandculturalservices3532 Personalandhouseholdservices3533 Specialisedrepairservices3534 Agenciesandotherservices3535 MembersofCC/Directorofacompany


11. LIST OF INCOME AND DEDUCTION CODES FOR IRP5/IT3(A)

11.1 NORMAL INCOME CODESCODE DESCRIPTION EXPLANATION3601(3651)

Income (PAYE)

Anamountwhichispaidorpayabletoanemployeefor:• Servicesrendered• Overtime• Pensionpaidonaregularbasis,and• Amonthlyannuitypaidbyafund.

Examplesinclude:• Salary/wages• Backdatedsalary/wages/pension(accruedinthecurrentyearofassessment)• Remunerationpaidtomigrant/seasonalworkers/fulltimescholarsorstudents.

Note:• Suchincomeaspaidtoadirectormustbereflectedundercode3615• Code3651MUSTonlybeusedforforeignserviceincome• Witheffectfrom2010yearofassessment,amountspreviouslyincludedundercodes

3603/3653,3607/3657and3610/3660mustbeincludedinthiscode(3601/3651).3602(3652)

Income(Excl) Anynon-taxableincomeexcludingnon-taxableallowancesandfringebenefits.Forexample, this code accommodates all payments of a capital nature.

Examplesinclude:• Non-taxablepensionpaidonaregularbasis(e.g.warpension,etc.)• Non-taxableincomeofacapitalnature.• Non-taxablearbitrationaward,i.e.aportionofasettlementagreementbetweenan

employerandanemployeeasorderedbyCourtorallocatedviaasettlementoutofCourtorinrespectofLabourdisputes;

• Non-taxableportion(capitalinterest)receivedonanannuitypurchasedfromaFund.

Note:• Code3652MUSTonlybeusedforforeignserviceincome.• Witheffectfrom2010yearofassessment,amountspreviouslyincludedundercodes

3604/3654,3609/3659and3612/3662mustbeincludedinthiscode(3602/3652).3605(3655)

Annual payment (PAYE)

Anamountwhichisdefinedasanannualpayment.

Examplesinclude:• Annualbonus• Incentivebonus• Leavepay(onresignation/encashment)• Meritawards• Bonus/incentiveamountpaidtoanemployeetoretainhis/herserviceforaspecific

period.

Note:Code3655MUSTonlybeusedforforeignserviceincome.

3606(3656)

Commission(PAYE)

Anamountderivedmainlyintheformofcommissionbasedonsalesorturnoverattributableto the employee.

Note: Code3656MUSTonlybeusedforforeignserviceincome.

3607(3657)

Overtime(PAYE)Not applicablefrom2010

Anamountpaidasovertimeforrenderingservices.Thetaxonsuchpaymentsiscalculatedasonincometaxable.

Note:• Code3657MUSTonlybeusedforforeignserviceincome• Thevalueofthiscodemustbeincludedinthevalueofcode3601/3651witheffect

fromthe2010yearofassessment.

SEPTEMBER 2011 33

CODE DESCRIPTION EXPLANATION3608(3658)

Arbitrationaward(PAYE)

The taxable portion of a settlement agreement between an employer and an employee as ordered by court or allocated via a settlement out of Court or in respect of Labour disputes.

Note: Code 3658 MUST only be used for foreign service income.

3613(3663)

Restraintoftrade(PAYE)

Restraint of trade income paid to an employee.


3614 Otherretirement lump sums (PAYE)

A retirement lump sum payment paid by a fund according to Section 1(eA) of the Act.

3615(3665)

Director’sremuneration (PAYE)

Such income as would normally be reported under code 3601 as paid to a director of a private company/ member of a close corporation.


3616(3666)

Independent contractors (PAYE)

Remuneration paid to an independent contractor.

Note: MUST only be used for foreign service income.

3617 LabourBrokers(PAYE/IT)

Remunerationpaidtoalabourbroker-irrespectiveifthelabourbrokerisinpossessionofanexemptioncertificate(IRP30)ornot.

11.2 NORMAL INCOME CODESCODE DESCRIPTION EXPLANATION3701(3751)

Travelallowance(PAYE)

Anallowanceoradvancepaidtoanemployeeinrespectoftravellingexpensesforbusinesspurposes–includesfixedtravelallowances,petrol,garageandmaintenancecards.


3702(3752)

Reimbursivetravelallowance(IT)

Areimbursementforbusinesskilometresexceeding8000kilometrespertaxyearoratarateexceedingtheprescribedrateperkilometreortheemployeereceivesanyotherformofcompensationfortravel.


3703(3753)

Reimbursivetravelallowance(excl)

Areimbursementforbusinesskilometresnotexceeding8000kilometrespertaxyearandataratewhichdoesnotexceedtheprescribedrateperkilometre.Shouldonlybeusediftheemployeedoesnotreceiveanyotherformofcompensationfortravel.


3704(3754)

Subsistenceallowance–localtravel(IT)

Anallowancepaidforexpensesinrespectofmealsand/orincidentalcostsforlocaltravel,whichexceedsthedeemedamounts.


3707(3757)

Shareoptionsexercised (PAYE)

Anyamountintermsofaqualifyingequitysharedisposedorgainmadeunderashareschemeoperatedforthebenefitofemployees.



CODE DESCRIPTION EXPLANATION3708(3758)

Publicofficeallowance(PAYE)

Anallowancegrantedtoaholderofapublicofficetoenablehim/hertodefrayexpenditureincurredinconnectionwithsuchoffice.


3713(3763)

Otherallowances(PAYE)

Allotherallowances,whichdonotcomplywithanyofthedescriptionslistedunderallowances,mustbeaddedtogetherandreflectedunderthiscodeonthecertificate.

Examplesinclude:• Entertainmentallowance• Toolallowance• Computerallowance• Telephoneallowance• Cellphoneallowance.

Note:• Code3763MUSTonlybeusedforforeignserviceincome• Witheffectfrom2010yearofassessment,amountspreviouslyincludedundercodes

3706/3756,3710/3760,3711/3761and3712/3762mustbeincludedinthiscode(3713/3763).

3714(3764)

Otherallowances(Excl)

All other non-taxable allowances, which do not comply with any of the descriptions listed under allowances, must be added together and reflected under this code on the certificate.

Examples include:• Non-taxableRelocationallowance• Non-taxableSubsistenceallowanceforlocalandforeigntravelnotexceedingthedaily

limits• Non-taxableUniformallowance.

Note:• Code3764MUSTonlybeusedforforeignserviceincome• Witheffectfrom2010yearofassessment,amountspreviouslyincludedundercodes

3705/3755,3709/3759and3716/3766mustbeincludedinthiscode(3714/3764)..3715(3765)

Subsistenceallowance–foreigntravel(IT)

An allowance paid for expenses in respect of meals and/or incidental costs for foreign travel, which exceeds the deemed amounts.


3717(3767)

Broad-basedemployee share plan(PAYE)

An amount received/accrued from the disposal of any qualifying equity share or any right of interest in a qualifying equity share in terms of certain conditions.


3718(3768)

Vestingof equity instruments (PAYE)

Any gain in respect of the vesting of any equity instrument.


SEPTEMBER 2011 35

11.3 FRINGE BENEFIT CODESCODE DESCRIPTION EXPLANATION3801(3851)

Generalfringebenefits(PAYE)

Allfringebenefits,whichdonotcomplywithanyofthedescriptionslistedunderfringebenefits,mustbeaddedtogetherandreflectedunderthiscodeonthecertificate.

Examplesinclude:• Acquisitionofanassetatlessthantheactualvalueand/orinsurancepoliciesceded;• Rightofuseofanasset(otherthanamotorvehicle)• Meals,refreshmentsandmealandrefreshmentvouchers• Freeorcheapaccommodationorholidayaccommodation• Freeorcheapservices• Lowinterestorinterestfreeloansandsubsidies• Paymentofanemployee’sdebtorreleaseofanemployeefromanobligationtopaya

debt• Bursariesandscholarships.

Note:• Code3851MUSTonlybeusedforforeignserviceincome.• Witheffectfrom2010yearofassessment,amountspreviouslyincludedunder

codes3803/3853,3804/3854,3805/3855,3806/3856,3807/3857,3808/3858and3809/3859mustbeincludedinthiscode(3801/3851).

3802(3852)

Useofmotorvehicle(PAYE)

Rightofuseofamotorvehicle.

Note:Code3852MUSTonlybeusedforforeignserviceincome.

3810(3860)

Medicalaidcontributions(PAYE)

Medicalaidcontributionspaidonbehalfofanemployee.


3813(3863)

Medicalservicescosts(PAYE)

Medicalcostsincurredonbehalfofanemployeeinrespectofmedical,dentalandsimilarservices,hospitaland/ornursingservicesormedicine.


11.4 LUMP SUM CODESCODE DESCRIPTION EXPLANATION3906(3956)

SpecialRemuneration(PAYE)

Specialremunerationpaidtoproto-teammembers.


3907(3957)

Otherlumpsums(PAYE)

Otherlumpsumpayments.

Examplesinclude:• Backdatedsalary/wage/pensionextendingoverpreviousyearofassessments• Lumpsumpaymentspaidbyanunapprovedfund• Gratuitypaidtoanemployeeduetonormalterminationofservice(e.g.resignation).


3908 Surplusapportionments (Excl)

Surplusapportionmentsonorafter1January2006andpaidintermsofsection15BofthePensionFundsActof1956.


CODE DESCRIPTION EXPLANATION3909 Unclaimed

benefits(PAYE)Unclaimedbenefitspriorto1March2009andpaidbyafundintermsoftheprovisionsofGeneralNote35.

3915 Retirementlumpsumbenefits(PAYE)

Lumpsumpaymentsaccruingafter1October2007fromafund(pension/pensionpreservation/retirementannuity/provident/providentpreservationfund)inrespectofretirement or death.

Note: Witheffectfrom2009yearofassessment,amountspreviouslyincludedundercodes3903/3953and3905/3955mustbeincludedinthiscode(3915).

3920 Lumpsumwithdrawalbenefits(PAYE)

Lumpsumpaymentsaccruingafter28February2009fromaPension/Pensionpreservation/Retirementannuity/Provident/providentpreservationfundinrespectofwithdrawal(e.g.resignation,transfer,divorce,maintenance,housingloanpayments).

Note: Witheffectfrom2010yearofassessment,amountspreviouslyincludedundercodes3902/3952and3904/3954(whereapplicable)mustbeincludedinthiscode(3920).

3921 Livingannuityand section 15Csurplusapportionments(PAYE)

Lumpsumpaymentsaccruingafter28February2009fromaPension/Pensionpreservation/Retirementannuity/Provident/providentpreservationfundinrespectofwithdrawaldueto:• Surplusapportionmentspaidintermsofsection15CofthePensionFundsActof

1956• Withdrawalafterretirementfromalivingannuityintermsofparagraph(c)ofthe

definitionoflivingannuity,wherethevalueoftheassetsbecomelessthantheamountprescribedbytheMinisterintheGazette.

Note: Witheffectfrom2010yearofassessment,amountspreviouslyincludedundercodes3902/3952and3904/3954(whereapplicable)mustbeincludedinthiscode(3920).

11.5 GROSS REMUNERATION CODES

CODE DESCRIPTION3696 Grossnon-taxableincome(amountsundercodes3602/3652,3703/3753,3714/3764,3908).3697 Grossretirementfundingemploymentincome.3698 Grossnon-retirementfundingemploymentincome.

11.6 DEDUCTION CODES

CODE DESCRIPTION4001 Currentpensionfundcontributions.4002 Arrearpensionfundcontributions.4003 Currentandarrearprovidentfundcontributions.4004Not applicablefrom2010

Employee’sarrearprovidentfundcontributions

Note:Valueofthiscodemustbeincludedinthevalueofcode4003witheffectfromthe2010yearofassessment.

4005 Medicalaidcontributions.4006 Currentretirementannuityfundcontributions.4007 Arrear(re-instated)retirementannuityfundcontributions.4018 Premiumspaidforlossofincomepolicies.

4024Medicalservicescostsdeemedtobepaidbytheemployeeinrespectofhimself/herself,spouseorchild.

SEPTEMBER 2011 37

CODE DESCRIPTION4025Not applicablefrom2010

Medicalcontributionpaidbyemployeeallowedasadeductionforemployees’taxpurposes

Note:Thiscodeisnotapplicablewitheffectfromthe2010yearofassessmentandmustnotbeincluded in any other code.

4026 Arrearpensionfundcontributions–Non-statutoryforces(NSF).4030 Donationsdeductedfromtheemployee’sremunerationandpaidbytheemployertotheOrganisation.4472Not applicablefrom2010

Employer’spensionfundcontributions

Note: Thiscodeisnotapplicablewitheffectfromthe2010yearofassessmentandmustnotbeincludedinany other code.

4473Not applicablefrom2010

Employer’sprovidentfundcontributions


4474

Employer’smedicalaidcontributionsinrespectofemployees.

Note: Thiscodewasneverimplemented.

Note: Thiscodewasneverimplemented.


Medicalservicescostsdeemedtobepaidbytheemployeeinrespectofotherrelatives



CappedamountdeterminedbytheemployerintermsofSection18(2)(c)(i)



Novaluebenefitsinrespectofmedicalservicesprovidedorincurredbytheemployer


4493Employer’smedicalaidcontributionsinrespectofpensionersortheirdependantstowhomthe“novalue”provisionsapply.

4497 TotalDeductions/Contributions


11.7 EMPLOYEES’ TAX DEDUCTION AND REASON CODES

CODE DESCRIPTION4101 SITE(StandardIncomeTaxonEmployees)4102 PAYE(Pay-As-You-Earn)4115 Taxonretirementlumpsumbenefits(taxoncode3915,3920and3921)4141 UIFcontribution(employerandemployeecontributions)4142 SDLcontribution4149 TotalTax,SDLandUIF

4150

01or1 = Invalidfrom1March200202or2 = Earnlessthanthetaxthreshold03or3 = Independentcontractor04or4 = Nontaxableearnings(includingnildirectives)05or5 = Exemptforeignemploymentincome06or6 = Directorsremuneration–incomequantifiedinthefollowingyearofassessment (onlyvalidfrom1March2002)07or7 = LabourBrokerwithvalidIRP30(onlyvalidfrom1March2004)

SEPTEMBER 2011 39

12. RULES FOR THE CONSOLIDATION OF SOURCE CODES FROM 2010 YEAR OF ASSESSMENT

SARShasundertakenaninitiativetosimplifythePAYEdatasubmissionprocessthroughthecombinationofrequiredsource

codesandeliminationofredundantcodes.Thesourcecodestobeusedfor incomeanddeductiondeclarationsforcurrent

submissionsorforinitial(first)submissionsforpriortaxyearsarecontainedinthetablebelow.

Thecodesreflectedunderthe‘MainCode’headingarenowtheonlyvalidcodesthatmaybeused.Thecodesreflectedunder

the‘Sub-CodeRationalisation’headingarethecodesthatmayno longerbeused.Thistablereflectshowthesecodesare

absorbedintotheremainingcodes.

TYPE OF INCOME MAIN CODE SUB-CODE RATIONALISATION

Income

3601/3651 Codes3607/3657,and3603/3653and3610/3660mustbeincorporatedinto3601/3651.

3602/3652 Codes3604/3654,3609/3659and3612/3662mustbeincorporatedinto3602/3652

3605/36553606/36563608/36583611/36613613/366336143615/36653616/36663617/3667

Allowances

3701/37513702/37523703/37533704/37543707/37573708/37583713/3763 Codes3706/3756,3710/3760,3711/3761and3712/3762mustbeincorporated

into3713/3763.3714/3764 Codes3705/3755and3709/3759and3716/3766mustbeincorporatedinto

3714/3764.3715/37653717/3767

3718/3768

FringeBenefit

3801/3851 Codes3803/3853,3804/3854,3805/3855,3806/3856,3807/3857,3808/3858and3809/3859mustbeincorporatedinto3801/3851.

3802/38523810/38603813/3863


TYPE OF INCOME MAIN CODE SUB-CODE RATIONALISATION

Lumpsum

3901/39513906/39563907/395739083909

391539203921

GrossRemunerationCodes

369636973698

Deductions

400140024003 Code4004mustbeincorporatedinto4003.400540064007401840244026 Applicabletonon-statutoryforces(government).4030447444934497

Employees’TaxDeductionandReasonCodes

410141024115414141424149

SEPTEMBER 2011 41

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