Tax Upgraded 

(Posted 18-Mar-2010)
iPayroll has been updated for the tax and minimum wage changes coming into effect from 1-Apr-2010.

We have upgraded the iPayroll web site to correctly calculate tax from 1 April. These changes apply from the first 'Pay To' or period ending date that ends on or after 1 April 2010. When you process a payroll, the correct tax calculations will be automatically applied - following the specifications published by Inland Revenue.

  1. The ACC Earner Levy Rate has changed from 1.7% to 2.0%.
  2. There is a new tax code SB for Secondary Bottom tax rate of 12.5% (plus 2% Earner Levy).
  3. There is a new 12.5% rate for extra pays/lump sums (plus 2% Earner Levy), which applies to employees who earn $14,000 or less.
  4. The calculation for extra pays/lump sums for employees using a secondary tax code (SB, S, SH and ST) has also changed.
  5. The Adult Minimum Wage has increased to $12.75 per hour.

For further details see Changes to personal secondary income tax on Inland Revenue's web site and Minimum Pay on the Department of Labour's web site.