Enhancing Payroll with the Cloud white paper

Not understanding the implications of moving important HR and payroll systems data to a cloud environment could have significant financial and reputational repercussions for your organisation.

CRS’s first published white paper defines the differences between the various cloud platforms available to organisations, examines the financial and regulatory impact of data breaches, and explores the strategic value provided by the more secure cloud solutions.

Click here to download our free White Paper ‘Enhancing Payroll with the Cloud

Online submission of PAYE returns through the Integrated Tax Administration System (ITAS) Portal Following the press release issued by the Ministry of Finance early January 2019 to notify taxpayers of the online submission requirements pertaining to the new Integrated Tax Administration System (ITAS), another press release was issued on 19 April 2019.

The submission of monthly employee tax (PAYE) returns is expected to be lodged online, through the ITAS portal as from March 2019. The online submission is done by completing an Excel spreadsheet with detailed payroll information of employees and upload it on ITAS.

The Ministry was informed that some employers are not ready to submit their PAYE returns electronically due to the need to adjust their payroll systems in order to be compliant with the ITAS requirements.

It was agreed that affected employers may submit their monthly PAYE returns manually until September 2019. Thereafter no manual submissions for PAYE will be accepted.

Employers opting to submit their returns manually must take note that they are obliged to update all manual submissions by uploading electronic versions on ITAS by September 2019.

The deadline for submission and payment remains the 20th of every month.

Contact our legislation team at info@crs.co.za if you require any additional information.

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Revision of the Tax Rates

An additional Personal Income Tax band of 35% for monthly income in excess of GHS10,000 was introduced during the Mid-year Budget Statement and came into effect 01 August 2018.

Following feedback from the public after the implementation of the new tax band, Government concluded that some relief from this tax measure is justified. Accordingly, Government reviewed this band to impact monthly income above GHS20,000 at a rate of 30%.  The Income Tax Amendment (No. 2) Act, 2018 (Act 979) has since been amended to revise the rates for the taxation of income of resident individuals.

The Income Tax Rates came into effect on 1 January 2019.

The flat rate tax applicable to income derived by non-resident individuals from Ghana remains at 25%.

 

Contact our legislation team at info@crs.co.za if you require any additional information.

© 2019 CRS Technologies (Pty)Ltd. All Rights Reserved.

VIEW THE CRS DIGITAL TAX GUIDE HERE

Please notify us if you wish to receive a printed Tax Guide and the quantity you require.

Contact our legislation team at info@crs.co.za if you require any additional information.

© 2019 CRS Technologies (Pty)Ltd. All Rights Reserved.

Commencement of the new NMW Act and amended LRA

Government Gazette 42104 No. R 1378 has been published to announce 01 January 2019 as the date on which the National Minimum Wage Act, 2018 will come into operation.

At the same time, Government Gazette 42104 No. R 1377 has been published to announce 01 January 2019 as the date on which the Labour Relations Amendment Act, 2018 will come into operation.

The date of commencement for the Labour Laws Amendment Act, 2018 remains to be determined by the president by proclamation in the Gazette.

 

Contact our legislation team at info@crs.co.za if you require any additional information.

© 2018 CRS Technologies (Pty)Ltd. All Rights Reserved.

NATIONAL MINIMUM WAGE BILL SIGNED INTO LAW

President Cyril Ramaphosa has signed the National Minimum Wage (NMW) Bill into law on Friday, 23 November 2018.

The Bill comes into effect 1 January 2019.

The NMW was meant to come into effect in May but due to issues that arose when the legislation was drafted, it had to be postponed. The NMW is expected to benefit about 6 million workers that currently earn below R20 per hour.

There are a few exceptions to the national minimum wage of R20 per hour, which include:

  • The minimum wage for farm workers will be R18 per hour
  • The minimum wage for domestic workers will be R15 per hour
  • The minimum wage for workers on an expanded public works programme is R11 per hour

Together with the NMW Bill, three other bills were also signed into law on the same day. These are the Labour Laws Amendment Bill, amendments to the Basic Conditions of Employment Act, and the Labour Relations Amendment Bill.

More details to follow soon.

 Contact our legislation team at info@crs.co.za if you require any additional information.

© 2018 CRS Technologies (Pty)Ltd. All Rights Reserved.

2019 Budget Speech Highlights

In her inaugural national budget presentation, Zambian Finance Minister, Honourable Margaret Mwanakatwe, informed the nation that the 2019 budget was framed on building on the firm foundation of the past seven years and tackling the challenges ahead.

The theme of the 2019 National Budget is “Delivering Fiscal Consolidation for Sustainable and Inclusive Growth”.

The budget objectives are as follows:

  • GDP growth of 4%
  • Inflation of between 6% and 8%
  • Reduce the fiscal deficit to 6.5% of GDP from 7.4% in 2018
  • Increase domestic revenue to not less than 18.4% of GDP from 17.7% in 2018
  • Reduce domestic borrowing from 4% to 1.4% of GDP
  • Digitalise the entire revenue collection process in an effort to broaden the tax base and enhance compliance levels
  • Raise international reserves to at least 3 months of import cover
  • The Minister proposed to roll out an increased K86.8 billion budget next year, or 28.9% of GDP, up from K71.6 billion in the 2018 national budget.
  • It is proposed that Value Added Tax (VAT) be abolished and replaced with Sales Tax. Guidance on how the Sales Tax will be administered is yet to be provided. The Sales Tax will be non-refundable, and Government expects the process to be simpler
  • Amendment of the VAT Act to provide for the prosecution of the directors or managers of a company, where the company commits an offence under the VAT Act
  • In 2019, Government will commence with the implementation of the National Health Insurance Act No 2 of 2018 in a phased manner and will ensure universal access to quality healthcare services
  • No changes have been proposed to the existing personal income tax regime, therefore the PAYE bands and rates remain as follows:

Contact our legislation team at info@crs.co.za if you require any additional information.

© 2018 CRS Technologies (Pty)Ltd. All Rights Reserved.