Employer responsibilities (PAYE)

  Type of Taxes

​Employer Responsibilities (PAYE)

The Employers responsibilities under PAYE Scheme

• Keep in safe custody the documents relating to every payment made to employees. Whenever officers authorized by the Commissioner General call for inspection, such documents should be made available to them. (Section 119)
• Remit to the Commissioner General every tax deduction made under PAYE Scheme during a month, not later than the 15^th day of the month immediately following. (Section 120 (a)).
• Issue to all employees details of the tax deductions made during the year in the Certificate of Tax Deduction (T 10 form), before the expiry of the 30th day of April in the following year. (Section 120 (b)).
• Furnish Annual Declaration to the Commissioner General not later than 30th April every year. (Section 120 (d)).
• Be held responsible for recovery and/or remittance of taxes. Employers who fail to do so would be held personally liable to pay such amount. (Section 124 (1)).
• Pay in addition to the tax, a penalty of an amount not exceeding 50% of the tax, in case of a failure to deduct and/or remit the tax.
• In the following circumstances, the tax referred to in the table 6 should be paid in addition to the tax referred to in the Tables 1, 2, 4, 5and 7
  • When an employer or any other person settles income tax of an employee, without it being deducted from his salary, or
  • Reimbursement (by the employer) of income tax already deducted from employee’s salary and remitted to Inland Revenue Department.
• Required to contact the Commissioner PAYE or Secretariat, if it appears that in relation to any payment made to an employee, no tax table given in PAYE Tax Tables is applicable;​ or if the employer requires any further clarification.​​