Forum Discussion

Contributing User

12 months ago

ATO error code: CMN.ATO.PAYEVNTEMP.000361

Hi, please help. I am trying to set up an employee with a new card file, and they are classified as labour hire. However, I keep getting the error mentioned in the subject. The other text : PaidL...

Shella_A

MYOB Moderator

12 months ago

Hi TQ1,

Thanks for your post.

These errors mean that allowance items cannot be provided under Voluntary Agreement, Labour Hire, or Other Specified Payments Income Types. One (or more) employees with a tax certificate category of Voluntary Agreement, Labour Hire, or Other Specified Pay have an allowance entry on their timesheet.

You may need to check the Employee cards >> Payroll details tab >> Taxes >> Income type. If Labour hire is selected as the Income type, the ATO doesn't allow payments of overtime and leave for Labour hire. You will need to confirm the correct Income type is selected.

Please let me know how it goes.

Otherwise, if my response has answered your enquiry, please click "Accept as Solution" to assist other users find this information.

Cheers,
Shella

TQ1
Contributing User
12 months ago
Income type is Labour hire - this is correct
Ive also got Employment basis Labour hire - as they are a casual labour hire or does this need to change to casual?

Still the same error
- gavin12345
  Ultimate User
  12 months ago
  Hi TQ1
  
  Labour Hire as an Income Type is only for Contractors not employees. ATO Definition: use Labour Hire to report payments by a business that arranges for persons to perform work or services directly for clients of the entity.
  
  So if you are hiring the person out to other businesses, then the person can be Income Type Labour Hire, otherwise they are Salary & Wages type.
  
  A Contractor they are not entitled to things like leave (at least not according to the ATO). So the ATO will not allow you to classify them as Income Type Labour Hire and pay them leave.
  
  Regards
  Gavin
  - TQ1
    Contributing User
    12 months ago
    Thank you - so yes I hire that person (as a casual) out to another organisation/entity.
    They are my employee. It is traditional labour -hire arrangement
    So what do I need to enter in the following :
    Payroll Details > Employment Basis ? what should this be ?
    Labour Hire is what I currently have and get this error as highlighted in the original question
    Payroll Details >Taxes? what should this be ?
    Again, Labour Hire is what I currently have and get this error as highlighted in the original question