All employers need to switch to payday filing by 1 April 2019. Find out how to make the change.
From 1 April 2019, you’ll need to file information about employee earnings and PAYE with Inland Revenue (IR) more often. At the moment, employers typically provide this information each month.
If you’re filing electronically, you’ll need to file within two working days of each payday. If you’re filing via paper, you’ll have a little longer. You should also get familiar with the rules for things like schedular payments, shadow payrolls, IR56 taxpayers and employee share schemes.
If your business pays $50,000 or more a year in PAYE tax and Employer Superannuation Contribution tax, you have to file electronically from 1 April 2019. You can still file on paper if you pay less than $50,000.
All businesses should make sure they’re ready for 1 April.
Find out more from Inland Revenue:
Payday filing (external link) — Inland Revenue
Payday filing is changing [PDF 112KB] (external link) — Inland Revenue
Robert Watt — owner and operator of The Source Bulk Foods
Many Kiwi businesses have already made the move to payday filing.
Robert Watt, the owner-operator of three organic health food stores, moved to payday filing in April 2018. He’s convinced it’s a change for the better.
“We do our payroll in about five minutes through payroll software — no more monthly schedules to fill in. It saves you time. And we all know that’s great for business.”
Hear more about how Robert made the change:
Robert, Small Business Owner (external link) — Inland Revenue's customer stories