SOURCE CODE DESCRIPTIONS IRP5 code 3707

Allowance codes

in the electronic file IRP5 code 3707 is used for: Share options exercised (PAYE). Any amount in terms of a qualifying equity share disposed or gain made under a share scheme operated for the benefit of employees. Code 3757 MUST only be used for foreign service income.

The prescribed Length of IRP5 code 3707 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