Sars has introduced changes to the Payroll Taxes Statement of Account (SOA) in an attempt to address complaints received from employers about errors occurring on the SOA.
The SOA shows the balance and detailed transactions for a tax year for Pay-As-You-Earn (PAYE), the Skills Development Levy (SDL), the Unemployment Insurance Fund (UIF) and the Employer Tax Incentive (ETI). The purpose of this statement is to supply the employer with an overview of the financial transactions for the various payroll taxes and to ultimately enable employers to complete and submit their Employer Reconciliation Declaration bi-annually.
To ensure that the information contained in this statement is clear and comprehensible, Sars has amended the manner in which financial transactions are being displayed. Some of the key enhancements include:
- Descriptions were enhanced to provide employers with a better understanding of the two types of transactions reflected i.e. liability and non-liability transactions
- All liability transactions are now grouped together and sorted in transaction date order with the exception of non-financial transactions with a date earlier than the first day of the period
- The addition of a receipt number for payments and journals will allow employers to uniquely identify payments and reconcile them back to their bank statements
- ETI transactions which have no impact on the PAYE account, have been grouped together and will reflect at the bottom of the Statement of Account.