3.1ÌýÌýÌýÌý What constitutes remuneration?
The definition of 'remuneration' is central to payroll taxes, as PAYE is withheld in respect of any amount that falls within its ambit. The employer and the employee's obligations for SDL and UIF are also contingent upon remuneration being paid to an employee. The PAYE to be withheld is determined by applying the normal tax tables for the relevant year of assessment to the amount included in the employee's remuneration.
In certain cases, where a certain amount of remuneration accrues to an employee, the employer must first ascertain the amount of PAYE that must be withheld from that amount in the form of a tax directive. A tax directive is an instruction from SARS to an employer on how to deduct employees' tax from
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Web page updated on 17 Mar 2025 15:07