Say goodbye to filing your PAYE returns monthly.
From 1 April 2019 the IRD is changing the requirements for filing PAYE returns to be "pay day filing". Electronically filed returns need to be filed with the IRD within 2 days of the employees being paid. If filing paper returns then the information needs to be filed within10 days of the employees being paid.
Payment will still be due by 20th of the following month.
If PAYE / ESCT is over $50,000 / year then returns must be filed electronically. So if your PAYE exceeds $4,200 each month then electronically filed PAYE returns are the only option.
The current IR348 (employer month schedule) will be replaced with a new employment information schedule which will need to be filled out each pay day. The IRD will be asking for more information such as employees' addresses and date of birth. Employers will be required to ask for this information and pass it on to the IRD but only if the employee has agreed to give the employer this information.
No doubt payroll software providers will be updating their software prior to this date but if you have concerns then contact your software provider.
For those who are using an intermediary payroll service such as iPayroll, thankyou payroll or SmartPayroll, they be taking care of the pay day filing for you.
If you would like to discuss your payroll options for when the changes come into effect please contact Karen at our office (karen@betterbusiness.co.nz)