So let’s come back to the employer who has already paid September salary using the old monthly table.
There may be an adjustment to make. Absolutely.
But what exactly has happened that the tax framework cannot deal with?
The fact that September salary has already been paid doesn’t prevent us from determining the employee’s correct tax liability for the year. It doesn’t turn the PAYE already withheld into a final tax. And it doesn’t mean a withholding computation made earlier cannot be adjusted. Regulation 4 itself contemplates an estimate being reconsidered during the year.
I suspect we have become so used to the monthly PAYE tables that we sometimes think about PAYE almost entirely in monthly terms. But the underlying tax liability isn’t monthly. It is annual, and the PAYE deducted along the way is generally tax paid on account of that liability.
Could GRA have communicated this earlier? Of course. That’s a fair criticism.
But that is a different question from whether employers who have already processed September salaries now face some major tax problem.
When section 1, sections 119 and 120, paragraph 9 of the First Schedule and regulations 3, 4 and 9 of L.I. 2244 are read together, I don’t think they do.
There may be an adjustment to make. But the law already gives us the framework for dealing with it.
🚨💛💙 Exclusive story confirmed: Al Nassr are making progress in talks to sign Samu Costa.
Negotiations moving to final stages with Mallorca and player’s camp. 🔜