SOURCE CODE DESCRIPTIONS IRP5 code 3670

Normal Income Codes

in the electronic file IRP5 code 3670 is used for: NED Directors / Audit Committee Member Fees [IT].
· Directors Fees received by an RSA Resident Non-Executive Director with a voluntary PAYE withholding (not ‘remuneration’).
· Fees (not ‘remuneration’) received by an Audit Committee member who is deemed to be carrying on a trade independently in terms of INTERPRETATION NOTE 17.
Code 3670 MUST only be used for foreign service income.

The prescribed Length of IRP5 code 3670 in the electronic file is: N15

The abbreviations used within the description of the relevant codes mean:
• PAYE: Income is subject to the deduction of Employees’ Tax and will also be taxed when the income tax assessment for the employee is processed.
• IT: Income is not subject to the deduction of Employees’ Tax but will also be taxed when the income tax assessment for the employee is processed.
• Excl: Income is not subject to the deduction of Employees’ Tax and will also not be taxed when the Income Tax assessment for the employee is processed.
• Excl/PAYE: Depending on the circumstances described in the legislation, the income is either subject to both PAYE and Income Tax, or it is excluded from both PAYE and Income Tax