24 September 2021
Changes for employers
Compulsory employer deductions for child support
It will be compulsory for employers to deduct child support payments from newly liable (paying) parents’ salaries and wages. If you have an employee who becomes liable for child support payments, we’ll contact you with the information you’ll need to make these deductions on their behalf. The child support deduction notices will be electronic instead of paper, so you’ll receive them quicker and they’ll be easier to keep track of.
IRD numbers and bankruptcy
Currently when a customer is made bankrupt their existing IRD number is ceased and they are issued a new one, resulting in bankrupt customers having multiple IRD numbers. Following the changes, bankruptcy will no longer result in a new IRD number and customers will instead be able to continue using their existing IRD number.
Negative adjustments for employment information
When completing Employment Information (EI) files as part of your payroll process, you’ll be able to enter a negative value in the ‘prior period gross/PAYE adjustment’ fields to make adjustments for prior periods. You’ll only be able to do this if certain validations are met e.g. the negative amount can only be equal to or less than the amount being reported on the line – so if an employee has $500 gross salary and wages on the line, the maximum the negative amount can be is -$500.
Payday filing version 2
If you’re still using the ‘file upload’ option to manage payroll in myIR, please ensure your file format is updated to payday filing Version 2. If you’re filing through third party software, all commercial software providers now have a Version 2 compatible release, however you may still want to check that you’re using the right version to file. If you’re filing through paper or myIR ‘on screen’ then you’re already using Version 2. Amendments to Employment Information need to be made using the same version as the original file e.g. if you’d previously filed through Version 1 you must amend through Version 1.
Historical audit correspondence
Audit letters that were sent to companies as far back as February 2017 will be available in myIR. These will be visible to Owner and Administrator logons. If you don’t wish for all Administrator accounts to see the letters you can change their access to a Restricted Administrator.