Hi seems the NZ tax changes happening from 31st July are already loaded onto payroll. I am doing pays today ending 30th July and the tax rates have changed. We cannot pay the new rates yet. How do I reverse the tax changes so our pays can be correct today.
Hi, yes payment date 31st July and I processed it with the new rates, I did consider changing the date to 30th as Brien did, but it is not a significant amount, only $20 per employee if it is wrong at end of year tax round up
Hi - I checked with my accountant - yes it is from 31 July but as our next pay week starts on the 31st technically the previous pay week (ending 30th) should be at the old rates. As you say, the difference is minimal but I would rather my staff get a tax refund at the end of the year rather than have to pay. Done now anyway! :)
Our payrun is the same period as you - just noticed the same thing! I have decided to discard the payrun and start all over again stating the pay date is 30 July - otherwise all the employees will be overpaid & potentially have tax to pay at the end of the financial year... Somehow I knew there would be some sort of muck-up with MYOB payroll - NOT GOOD!
I'm not sure it's a muck-up, but maybe i'm wrong.
IRD website states "...people will see the extra pay in their payslips from 31 July." - your employees won't.
https://www.ird.govt.nz/pages/campaigns/personal-income-tax-threshold-changes
Which PAYE tax tables
Use the PAYE tax tables that apply on the day the PAYE income payment is made to your employees.
PAYE tables to use according to pay
Pay period ends | Employees paid on | PAYE tables to use |
31 July 2024 | 30 July 2024 | 1 April 2024 to 31 July 2024 |
31 July 2024 | 31 July 2024 | 31 July 2024 onwards |
1 August 2024 | 1 August 2024 | 31 July 2024 onwards |
EDIT: I tired posting this info yesterday, but MYOB capped my allowable number of posts on this thread??
Just noticed a band at the top of the payroll page Changes to Income and Independent earner tax credit (IETC) thresholds will be made automatically when the Date of payment is 31 July 2024 or later. So you were right, thanks
I would have thought it would apply to pays from 31st not being paid on 31st as now my staff will get a bonus week of tax reduction.
Our pay week is 24th - 30th pay on 31st. Aah so the tax changes are from 31st so that's why it has already changed for our pays?
Probably yes. (but I am by no means an expert (i'm based in AU)).
The wording is odd in that it states: "thressholds apply from 31 July 2024..." i.e. last day of the month, rather than first day of new mont, but... it is what it is...
Hi, Usually it's driven by pay date, not week ending date.
What date are the staff being paid?
