Lesotho | What is the difference between the "Non-resident" and "Part Time/Secondary" tax statuses?

The  "Non-resident" and "Part Time/Secondary" tax statuses are defined and differentiated below - 

      Navigate > Employee > Basic Information > Tax Profile > Tax

Non-resident: refers to a person who is not a resident of Lesotho. Non-resident individuals are subject to tax on income derived from Lesotho. Non-residents must be taxed at the standard rate of tax, which is 25%. Tax payable is calculated on gross employment income; the tax credit is not applied in this instance. Taxable remuneration will be taxed at a fixed rate of 25% (rate code NONRESTAX)

      

Part-time/Secondary (previously known as Taxed at 30% or Part-time): refer to employees who receive part-time salaries and must be taxed at a fixed rate of 30%. Tax payable is calculated on a gross part-time salary. Taxable remuneration should be taxed at a fixed rate of 30% (rate code SECTXR), based on the progressive tax tables. Employees linked to this tax status were previously taxed at progressive tax tables with no tax credit applied.

      

• Related Articles

• Ethiopia | Which tax status must an employee be linked to if they are issued with a tax exemption certificate?

  If an employee is issued with a tax exemption certificate from the Ethiopian tax office/authority should be linked to the "Foreign Employment (DTA)" tax status, which will exempt them from paying tax and social security. Note! This tax status can ...

• How do I process an tax directive as an employee's tax status?

  If a tax directive has been issued for an employee, it needs to be processed on their Tax Profile screen in order for the directive to apply to each payslip within the year (designated period). Navigate > Employee > Basic Information > Tax Profile

• South Africa | Tax Statuses

  The Tax Status field on the Tax Profile screen how the employee’s tax will be calculated. Based on the selection made from the dropdown list, further required information will be prompted. This article contains the definition of each tax status. ...

• South Africa: What Tax Status must be used for an Independent Contractor with a Tax Directive?

  Under the Tax Profile, select the tax status: Independent Contractor (Directive) and insert the directive information. Navigate > Employee > Basic Information > Tax Profile > Tax Note! Remember to review Independent Contractors exemptions under the ...

• How do I change an employee's tax status during the tax year?

  There is no restriction on the amount of tax records for one employee per tax year. Changing a tax status during the tax year, will result in the employee being taxed on year to date earnings based on the new tax status. Therefore, should an ...