SARS Codes
SARS requires that all payroll items on the IRP5/IT3(a) certificates be reported under specific tax codes. Our system generates the following codes based on system and custom items used:
Regular Items¶
| Benefit | SARS Code |
|---|---|
| Accommodation Benefit | 3805 |
| Company Car | 3802 |
| Company Car Under Operating Lease | 3816 |
| Income | |
| Basic Salary | 3601; 3616 if independent contractor |
| Commission | 3606 |
| Loss of Income Policy Payout | 3602 |
| Deduction | |
| Garnishee | No impact on IRP5/IT3(a) |
| Income Protection | 3801: Amount paid per employer (only if the Employer owns the policy box is ticked) 3808: Amount paid per employer |
| Maintenance Order | No impact on IRP5/IT3(a) |
| Medical Aid | 3810, 4474: Employer contribution 4005: Total contributions (employee and employer) 4116: Medical aid tax credits |
| Pension Fund | 4001: Employee contribution 4472: Employer contribution |
| Provident Fund | 3825: Fringe benefit 4003: Provident fund contributions (benefit + employee’s contribution) 4473: Employer’s contribution (not necessarily equal to the fringe benefit) |
| Retirement Annuity Fund | 3828: Employer’s contribution 4006: Total retirement fund contribution 4475: Employer’s contribution |
| Union Membership Fee | No impact on IRP5/IT3(a) |
| Voluntary Tax Over-Deduction | 4102 |
| Allowance | |
| Travel Allowance – Fixed travel allowance | 3701 4582: Taxable portion |
| Travel Allowance – Reimbursed for expenses (petrol, garage, maintenance etc.) | 3701 4582: Taxable portion |
| Travel Allowance – Company Petrol Card (not paid out) | 3701 4582: Taxable portion |
| Travel Allowance – Reimbursed per km travelled | 3703: If the rate used is under the prescribed rate. 3702: If the rate used is under the prescribed rate, but the employee also receives a fixed travel allowance. If the rate used is above the prescribed rate: 3702: Non-taxable portion 3722, 4582: Taxable portion |
| Gain on Vesting of Equity Instruments | 3718 |
| Other | |
| Employer Loan | 3801: Interest benefit |
| Foreign Service Exemption | Impacts 4102 (PAYE) |
| Savings | No impact on IRP5/IT3(a) |
| Tax Directive | Impacts 4102 (PAYE) |
Once-Off Items and Custom Items¶
| Benefit | SARS Code |
|---|---|
| Bursaries and Scholarships (Basic Education Grades R-12 NQF levels 1-4) | 3809: Taxable 3815: Exempt |
| Bursaries and Scholarships (Further Education NQF levels 5-10) | 3820: Taxable 3821: Exempt |
| Employee’s Debt Benefit | 3808 |
| Medical Costs (Other than Medical Scheme) | 3813 4024: If paid on behalf of themselves, a spouse or child. |
| Income | |
| Annual Bonus | 3605 |
| Annual Payment | 3605 |
| Arbitration Award (with Tax Directive) | 3608: Taxable 3602: Non-taxable |
| Extra Pay | 3601 |
| Leave Paid Out | 3605 |
| Once-Off Commission | 3606 |
| Restraint of Trade | 3613 |
| Deduction | |
| Donations | 4030 |
| Repayment of Advance | No impact on IRP5/IT3(a) |
| Staff Purchases | No impact on IRP5/IT3(a) |
| Allowance | |
| Broad Based Employee Share Plan | 3717 |
| Computer Allowance | 3713 |
| Expense Claim | No impact on IRP5/IT3(a) |
| Phone Allowance | 3713 |
| Relocation Allowance | 3713: Taxable 3714: Non-Taxable 3801: Taxable Items paid by Employer |
| Subsistence Allowance International | 3715: Exceeding deemed amount 3714: Non-Taxable |
| Subsistence Allowance Local | 3704: Exceeding deemed amount 3714: Non-Taxable |
| Tool Allowance | 3713 |
| Uniform Allowance | 3714 |
| Other | |
| Termination Lump Sums | All remuneration (except leave paid out): 3907, or 3901 if tax directive is used 3605: Leave paid out 4115: Tax |
| Long Service Award | 3801 and 3699: Before 1 March 2022 From 1 March 2022, 3622/3672 (cash portion) and 3835/3885 (non-cash portion). |
| Custom Items | |
| Income (not taxed annually) | 3601 |
| Income (taxed annually) | 3605 |
| Non-taxable income | 3696 |
| Allowances | 3713 |
| Benefits | 3801 |
| Reimbursements | No impact on IRP5/IT3(a) |
| Deductions | No impact on IRP5/IT3(a) |
| Employer Contribution | No impact on IRP5/IT3(a) |