SOURCE CODE DESCRIPTIONS IRP5 code 4001

Deduction codes

In the electronic file IRP5 code 4001 is used for: Total pension fund contributions paid and ‘deemed paid’ by employee (if applicable), excluding the value of code 4585
· ‘Deemed paid’ by employee is the value of the taxable benefit (code 3817) included in the income of the employee.
· Prior to the 2017 year of assessment, this code is only applicable to ‘Current pension fund contributions paid by employee’.

The prescribed Length of IRP5 code 4001 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

SOURCE CODE DESCRIPTIONS IRP5 code 4003

Deduction codes

In the electronic file IRP5 code 4003 is used for: Total provident fund contributions paid and ‘deemed paid’ by
employee (if applicable), excluding the value of code 4586.
· ‘Deemed paid’ by employee is the value of the taxable benefit (code 3825/3875) included in the income of the employee.
· From 2017 year of assessment, this code is applicable to current, and arrears provident fund contributions paid or deemed paid by the employee
· From 2010 to 2016 years of assessment, this code is only applicable to current, and arrears provident fund contributions paid by the employee
· Prior to the 2010 year of assessment, this code is only applicable to current provident fund contributions paid by the employee’.

The prescribed Length of IRP5 code 4003 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

SOURCE CODE DESCRIPTIONS IRP5 code 4005

Deduction codes

In the electronic file IRP5 code 4005 is used for: Medical scheme fees (contributions) paid and ‘deemed paid’ by employee (if applicable), excluding the value of code 4493.
· ‘Deemed paid’ by employee is the value of the taxable benefit (code 3810) included in the income of the employee.
· Employee contributions to private medical aid considered for PAYE purposes by the employer must be included in this code.

The prescribed Length of IRP5 code 4005 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

SOURCE CODE DESCRIPTIONS IRP5 code 4006

Deduction codes

In the electronic file IRP5 code 4006 is used for: Total retirement annuity fund contributions paid and ‘deemed paid’ by employee (if applicable).
· ‘Deemed paid’ by employee is the value of the fringe benefit (code 3828) included in the income of the employee.
· Prior to the 2017 year of assessment, this code is only applicable to ‘Current retirement annuity fund contributions paid by employee’.

The prescribed Length of IRP5 code 4006 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

SOURCE CODE DESCRIPTIONS IRP5 code 3696 – Validation Rules

The Validation Rules for IRP5 code 3696 in the electronic file are:
· A maximum of 20 income codes must be used. If there are more than 20 codes, they must be combined in accordance with the rules defined in section 5 of this document
· At least one income code with a value greater than zero must be completed, except if code 3615/3616 is used and years of assessment is 2003 to 2018
· Cents must be omitted (decimal amount is invalid)
• Mandatory field if values are completed under codes 3602/3652, 3622/3672 (Excl), 3703/3753, 3714/3764, 3815/3865,
3821/3871, 3822/3872, 3830/3880, 3832/3882, 3834/3884,
3835/3885 (Excl), 3908, 3922 (Excl)
• 3922 (Excl) to be added under this code only if the value does not exceed R300,000
• 3622/3672 (Excl) and 3835/3885 (Excl) to be added under this code only if the sum of 3622/3672 and 3835/3885 does not exceed R5,000
• Value must be equal to the sum of all amounts indicated under these afore-mentioned specified codes
• No negative amounts are allowed and will be rejected if specified
• Cents must be omitted (decimal amount is invalid)
• The amounts indicated under this code must be excluded from codes 3697 and 3698 for years of assessment prior to 2017
• 3696 + 3697 + 3698 must be equal to the amount supplied under income for years of assessment prior to 2017
• 3696 + 3699 must be equal to the amounts supplied under income from 2017 year of assessment
• If the certificate type is ITREG this field must not be completed.

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

SOURCE CODE DESCRIPTIONS IRP5 code 3699 – Validation Rules

The Validation Rules for IRP5 code 3699 in the electronic file are:
• Mandatory if no value is indicated under code 3696.
• Where code 3615/3665 is “0” and no other income codes are completed, value must be zero (0)
• If the sum of 3622/3672 (PAYE) and 3835/3885 (PAYE) value exceeds R5,000, the full amount must be included under this code
• If code 3922 (PAYE) value exceeds R 300,000 the full amount must be included under this code
• Value must be equal to the sum of all amounts for source codes NOT specified in code 3696
• 3696 + 3699 must be equal to the amounts supplied under income
• No negative amounts are allowed and will be rejected if specified
• Cents must be omitted (decimal amounts is invalid)
• If the certificate type is ITREG this field must not be completed
• Must not be completed for the 2010 to 2016 years of assessment

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

SOURCE CODE DESCRIPTIONS IRP5 code 3697 – Validation Rules

The Validation Rules for IRP5 code 3697 in the electronic file are:
• Mandatory field if no value is indicated under code 3696 or 3698.
• Where code 3615/3665 is “0” and no other income codes are completed, value must be zero (0)
• No negative amounts are allowed and will be rejected if specified
• Cents must be omitted (decimal amount is invalid)
• 3696 + 3697 + 3698 must be equal to the amounts supplied under income
• If the certificate type is ITREG this field must not be completed
• Must not be completed from 2017 year of assessment

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

SOURCE CODE DESCRIPTIONS IRP5 code 3698 – Validation Rules

The Validation Rules for IRP5 code 3698 in the electronic file are:
• Mandatory field if no value is indicated under code 3696 or 3697
• Where code 3615/3665 is “0” and no other income codes is completed, value must be zero (0)
• No negative amounts are allowed and will be rejected if specified
• Cents must be omitted (decimal amount is invalid)
• If 3922 (PAYE) value exceeds R 300,000 the full amount must be included under this code
• 3696 + 3697 + 3698 must be equal to the amounts supplied under income
• If the certificate type is ITREG this field must not be completed.
• Must not be completed from 2017 year of assessment

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

SOURCE CODE DESCRIPTIONS IRP5 code 4001 – Validation Rules

The Validation Rules for IRP5 code 4001 in the electronic file are:
• Conditional. All deductions and contributions that have a value must be reported, and those that do not have a value must not be reported
• A maximum of 12 deduction codes must be used. If there are more than 12 codes to be output, they must be combined in accordance with the rules defined
• If the certificate type is ITREG this field must not be completed.
• Cents must be omitted (decimal amount is invalid)
• No negative amounts are allowed
• If code 4585 is greater than zero and code 4472 is equal to zero, then codes 3817/3867 and 4001 must be zero
• If code 4472 is completed, then code 3817and/or 3867 and code 4001 must be completed

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

SOURCE CODE DESCRIPTIONS IRP5 code 4002 – Validation Rules

The Validation Rules for IRP5 code 4002 in the electronic file are:
• Conditional. All deductions and contributions that have a value must be reported, and those that do not have a value must not be reported
• A maximum of 12 deduction codes must be used. If there are more than 12 codes to be output, they must be combined in accordance with the rules defined
• If the certificate type is ITREG this field must not be completed.
• Cents must be omitted (decimal amount is invalid)
• No negative amounts are allowed
• Code 4002 is not applicable from the 2017 year of assessment

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