TERS
TERS benefit is a benefit payable under the UIF Act, and will thus qualify for exemption under section 10(1)(mA) of the Income Tax Act, and is therefore not subject to the deduction of PAYE, SDL or UIF.

The employer is ONLY an intermediary who receives the benefit NOT for its own beneficial use, but for the beneficial use of its employees, so there is no “received” for gross income purposes in the hands of the employer (no accrual either), and there is therefore no obligation for the employer to issue or include the benefit on an IRP5/IT3(a) certificate.

No new IRP5 code or payroll code is therefore required for purposes of the COVID 19 TERS benefit due to the fact that the employer ONLY acts as an intermediary and that these benefits is NOT remuneration.

As it is not remuneration, it is not part of the remuneration figures reported for UIF purposes.