SOURCE CODE DESCRIPTIONS IRP5 code 3651

Normal Income Codes

In the electronic file IRP5 code 3651 is used for: Income (PAYE) specifically for foreign services income. An amount which is paid or payable to an employee for Services rendered, excluding any Long Service Cash Award, required to be declared under code 3622/3672.
Examples include:
· Salary/wages
· Backdated salary/wages/pension (Accrued in the current year of assessment)
· Remuneration paid to migrant/seasonal workers/full time scholars or students; etc.

The prescribed Length of IRP5 code 3651 in the electronic file is: N15

All income and deduction components (e.g. salary, commission, allowances, benefits, medical contributions, employer information, etc.) must be reported against the applicable code as prescribed in the GUIDE FOR CODES APPLICABLE TO EMPLOYEES’ TAX CERTIFICATES PAYE-AE-06-G4.

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