In accordance with the SARS BRS document, tax code 4473 (Provident Fun Company Contribution) has an amount but 3825/3875 and/or 4003 do not have an amount. When adding a tax code 4473 to the payslip, you must also add an amount based on the type of retirement fund to the employee tax codes for 3825/3875 and/or 4003.
To correct this, create an August interim run & process the respective amounts to the above IRP5 tax codes.
SARS Interpretation according to Business Requirement Specification
4473 – Deductions / Contributions: Employer’s
provident fund contributions paid for the benefit of employee.
This includes all deductions including employer
information codes (e.g. 44-codes) and must be specified as per the “list of
codes” allocated to each source.
If code
4473 is completed, then code 3825 and / or 3875 (Foreign Employment Code) and
code 4003 must be completed;
Conditional.
All deductions and contributions that have a value must be reported, and those
that do not have a value must not be reported
Additional Legislative Notes
A taxable
benefit arises when the employer contributes to a retirement fund (pension,
provident or retirement annuity) on behalf of the employee. The fringe benefit
will be deemed to be paid by the employee for income tax
purposes. The value of the fringe benefit is determined by the type of
retirement fund.
There are
three types of funds: defined contribution, defined benefit and hybrid funds.