[sap-hr] Unpaid leave on tax certificate (PAYE 5/IRP5)
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 | Posted by PDias on Mar 30 at 3:06 AM |
Hi there,
We are currently sitting with a problem on our IRP5 (PAYE 5, py-za). If an employee goes on unpaid leave, (lets's say during August month):
-the leave details show on the payslip, you can see the amount (with a negative), the daily rate and the number of days taken - that's fine so far,
BUT when it comes to the PAYE 5 at the end of the tax year, the system reads only the basic pay, and not considering that the basic pay for August was less due to the unpaid leave.
practical example:
Earnings
Basic pay: $15 000.00
unpaid leave: $11 000.00-
Instead of reading both and record $4 000.00, the PAYE 5 still records $15 000 and ignores the neagtive amount.
In other words, the system reads only full basic pay, even for the period that the employee was on unpaid leave. (Both amounts basic pay and unpaid leave amount are listed under 'earnings' and the leave amount with a negative,so the PAYE 5 is then suppose to read both basic salary and unpaid leave, and records only the difference).at the end of the tax year, the reanings will be more than the tax deducted, resulting in the employee owing the receiver of revenue.
Please assist.
__.____._ We are currently sitting with a problem on our IRP5 (PAYE 5, py-za). If an employee goes on unpaid leave, (lets's say during August month):
-the leave details show on the payslip, you can see the amount (with a negative), the daily rate and the number of days taken - that's fine so far,
BUT when it comes to the PAYE 5 at the end of the tax year, the system reads only the basic pay, and not considering that the basic pay for August was less due to the unpaid leave.
practical example:
Earnings
Basic pay: $15 000.00
unpaid leave: $11 000.00-
Instead of reading both and record $4 000.00, the PAYE 5 still records $15 000 and ignores the neagtive amount.
In other words, the system reads only full basic pay, even for the period that the employee was on unpaid leave. (Both amounts basic pay and unpaid leave amount are listed under 'earnings' and the leave amount with a negative,so the PAYE 5 is then suppose to read both basic salary and unpaid leave, and records only the difference).at the end of the tax year, the reanings will be more than the tax deducted, resulting in the employee owing the receiver of revenue.
Please assist.
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