SOURCE CODE DESCRIPTIONS IRP5 code 4585

Deduction codes

In the electronic file IRP5 code 4585 is used for: Employer’s pension fund contributions paid for the benefit of an employee or former employee who has retired from the fund and qualifies for the “no value” provisions in the 7th Schedule [par 12D(6)].
This is the employer’s portion of the pension fund contribution:
· for the benefit of a member of the fund who has retired from the fund, or
· i.r.o. the dependants or nominees of a deceased member of the fund.
This code is valid from the 2017 year of assessment.

The prescribed Length of IRP5 code 4585 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