As reflected on the Statutory Reporting Summary, the primary statutory submissions for payroll are:
- EMP201 Submission – mentioned in Payroll Month-End Blueprint
- UI19 Submission – mentioned in Payroll Month-End Blueprint
- EMP501 submissions:
- SARS Bi-annual Employer Declaration
- SARS Year End Employer Declaration
- WAS.8 submissions (COIDA (Compensation for Occupational Injuries and Diseases Act) Return of Earnings)
This document will cover the EMP501 submissions as well as the COIDA submissions.
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Knowledge & Skills
Legislation & Governance
Templates, Forms, Guides and Work Instructions
Inputs are all of the Elements deemed necessary to complete the process successfully.
- Payroll Policy
- Payroll Legislation
- Payroll Processing Schedule / Flowchart
- EMP501 submissions:
- SARS Bi-annual Employer Declaration and SARS Year End Employer Declaration:
- SARS E@syfile Employer needs to be installed and updated to the latest version.
- SARS E@syfile Employer Login details.
- SARS E-filing login details with access to EMP201’s and EMP501’s.
- All payroll cycles for the months to be included in the submission needs to be in an Accepted state.
- All the EMP201’s and related documents (Proof of payments, corrections made) that was submitted for the months to be included in the submission should be on hand.
- A PAYE Statement of Account for the months to be included in the submission needs to be generated from SARS E-filing.
- COIDA Return of Earnings:
- Login details for the online submission portal
- The portal is called CF-Filing and is located here: https://www.cf-filing.co.za/CompensationFund/
- A COIDA report reflecting the values to be declared. The reporting period for COIDA generally runs from March to Feb.
- EMP501 annual and biannual submissions and COIDA Submission are completed correctly and on time.
- EMP501 Declaration as printed out of SARS E@syFile.
- Employer Tax Statement of Account printed from SARS-Efiling.
- Printouts of any corrections made during the reconciliation process.
- As.8 form used for submission
- Print-out of online invoice generated during online declaration process
- EMP501 submissions:
- Ideally, the submissions for each entity should be made on the same E@syfile instance that gets backed up before and after each submission.
- For the SARS Bi-annual Employer Declaration the total PAYE (Pay As You Earn), UIF (Unemployment Insurance Fund), SDL (Skills Development Levy) and ETI (Employee Tax Incentive) for each entity for March to Aug should be submitted via SARS E@syfile between September and October each year.
- If this declaration is submitted late (after the last business day of October), then a penalty of 10% of the total Earnings Declared for the year as well as interest is due.
- For the SARS Year End Employer Declaration the total PAYE, UIF, SDL and ETI for March to Feb for each entity needs to be declared between April and May each year.
- If the declaration is submitted late (after the last business day of May), then a penalty of 10% of the total Earnings Declared for the year as well as interest is due.
- The EMP501 submission is typically completed by the Head of Payroll.
- The process includes the following steps (Guides: Bi-Annual & Year End Guide):
- Create tax certificates on the payroll system.
- Create Tax Certificate Exception Report.
- Clear exception report by entering missing/incorrect employee details and resolving problems with SARS code totals
- Once the Exception Report is clear, create an Export File and import it into E@syfile.
- If there are exceptions when importing the file into Easyfile, they need to be resolved.
- Once the Live Import file imports successfully, then the reconciliation on the Declaration Screen in SARS E@syfile Employer can start. Once the declaration screen balances, that is, once these three elements are reconciled:
- The EMP201 information on the payroll system.
- The EMP201 information declared on SARS E-filing
- Payments made to SARS for each EMP201
then the final declaration can be submitted to SARS via SARS E@syfile and SARS E-Filing.
- For a detailed guide on how to perform this submission, please follow this link: http://www.sars.gov.za/AllDocs/OpsDocs/Guides/EMP-GEN-02-G01%20-%20A%20Step%20by%20Step%20Guide%20to%20the%20Employer%20Reconciliation%20Process%20-%20External%20Guide.pdf
- Please note that tax certificates (IRP5’s and IT3(a)’s) can only be generated on completion of the SARS Year End Employer Declaration.
- 8 submissions (COIDA Return of Earnings)
- The WAS.8 Submission is typically completed by the Head of Payroll.
- OID for the previous year (Mar to Feb) is declared in March (The submission period is sometimes extended to end May)
- If the declaration is submitted late or if the amount paid is less than it should be, a fine of a maximum of 10% the total amount due will be payable. If the declaration is made, but payment is not made, then a penalty and interest will be applicable.
- Print the COIDA report from the payroll system (PSIber: COIDA Actual (Annual Limit) (incl YTD Take-on) report). Use this report to verify if the calculated COIDA amount is correct.
COIDA Per employee =
Employee COIDA Earnings for the year capped at the COIDA limit for that year * COIDA percentage.
- Print the COIDA Return of Earnings W.As.8 Report from the payroll system.
- Log onto CF-Filing website and complete the return.
- An invoice will be generated on-screen. Print a copy of the invoice.
Make payment using the bank details and reference on the invoice.