COMPENSATION FUND: REQUIRES EMPLOYERS TO CONFIRM THEIR REGISTRATION DETAILS

Government Gazette No. 52333 dated 18 March 2025 has been issued in terms of section 6A of the COID Act by the Acting Compensation Commissioner, Farzana Fakir.

While this notice does not appear to have a direct impact on payroll systems, this Newsflash has been issued to assist PAGSA members to inform their clients of this requirement.

The requirements of Government Gazette No. 52333 in terms of section 6A of the COID Act are summarised as follows:

1. The purpose of the notice is a request to employers to provide the Fund with up-to-date details of the company to assist the Fund to “cleanse” and update their employer database.
2. The notice applies to all employers irrespective of the type of entity and is not limited to companies.
3. Employers using consultants or third parties must provide both the employer’s and the consultant’s contact details, plus a signed consultant mandate.
4. Non-submission, incomplete forms, or false information, may result in delays, incorrect assessments, penalties, or legal action.
5. The notice applies to the 2024 Return of Earnings period and for future years.

Note that the terminology used by the Fund to describe a year of assessment is, for some strange reason, the opposite of what we are accustomed to in the tax world.
For the Compensation Fund, “2024” indicates a year of assessment that starts on 1 March 2024, and comes to an end on 28 February 2025.