SOURCE CODE DESCRIPTIONS IRP5 code 4004

Deduction codes

In the electronic file IRP5 code 4004 is used for: Prior to the 2010 tax year Employee’s arrear provident fund contributions is included in IRP5 code 4004. The value of Employee’s arrear provident fund contributions must be included in the value of code 4003 with effect from the 2010 year of assessment. IRP5 code 4004 is not applicable from 2010.

The prescribed Length of IRP5 code 4004 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