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Employers are being reminded to prepare for changes to the way they submit their returns of employees’ tax deductions, taxable benefits, contributions and manpower.
Under the current system, employers - including building contractors - submit their tax, social security, and manpower information on different returns.
From January 2022, they will instead have to submit a Combined Employer Return (CER) every month, which will include tax, social security contributions and manpower all on the same return.
To complete the CER, employers with their own payroll software will need to make changes to their systems. Those who use the online employer returns form will be redirected to a new form when they submit their January 2022 return.
Tax Comptroller Richard Summersgill said the change aimed to make life “easier for employers, enabling them to tell Government about a number of employee-related matters just once.”
He continued: “It is the latest step in the Government’s plans to collect revenues more efficiently by centralising services and systems where it is appropriate to do so.
“We’re committed to achieving this by modernising our legislation, providing easier access to services online, ensuring all customers can understand and meet their obligations while reducing costs.”
“The new return will make the submission process easier for employers but it’s important that employers are sufficiently prepared by having the correct information for their employees. We have been updating employers for some time and there is detailed information and advice on how to prepare for the changes on a dedicated webpage.”
The deadline for the first return under the new system is 15 February 2022.
More information can be found HERE.
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