Summary of the Tax changes in MYOB Exo Payroll New Zealand for the 2015 Financial Year

Answer ID 37125   |    Published 02/03/2015 06:59 AM   |    Updated 23/12/2016 11:54 AM

Summary of the Tax changes in MYOB Exo Payroll New Zealand for the 2015 Financial Year

Introduction

1st of April is the start of the new financial year. Any changes made by the Government affecting employees, such as with PAYE or Leave, are implemented from this date. Each year MYOB does a Compliance release of the software that incorporates these changes.

More user information is available online or as a Pdf through your software application


From 1st of April 2015 changes in employees tax and Student Loan will come into effect. MYOB Exo Payroll 2015 New Zealand compliance release complies with these changes.

For a summary of the new features in the 2015 compliance release click here.


Below is the summary of these changes.

 

Student Loan PAYE Calculation Changes

Minor changes in the calculation of PAYE and Student Loans, as specified by the IRD, have been made for employees using the STC tax code with a special deduction rate (SDR).  This change will be applied automatically by MYOB Exo Payroll for pays that end on or after 1 April 2015.

 

Taxation of Extra Pays with STC Tax Code

IRD have specified changes to the way Extra Pays (Allowances) are to be taxed when the employee is using the STC tax code and the rate of taxation differs if the Extra Pay is classified as a bonus or a retirement/redundancy payment.

New Allowances have been added to deal with the different situations.

 

ACC Rates and Threshold Changes

The new thresholds for the ACC Earner Levy will be applied automatically by MYOB Exo Payroll for pay periods that end on or after 1 April 2015.


More detailed information on these changes can be found in the Release Notes (Click here for the article containing a link to the Release Notes) or from within the Payroll software (click on the Help menu then click on 'What's New in This Release').


Disclaimer: This information is of a generic nature. For specific advice regarding your particular circumstances, please contact your Accountant, the Inland Revenue Department, New Zealand at Work, Australian Tax Office or your IT Consultant as appropriate.

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