Support for Payday Filing V2 (Payroll NZ only)

Description

FastTrack360 has been enhanced to comply with Version 2 of Payday Filing, which becomes mandatory on 1 April 2021.

The changes required to comply with Version 2 of Payday Filing affect the format and content of the electronic report files that are generated and submitted to the IRD only and there is no change to processes around how Payday Filing reports are submitted.

The following sections explain what has been changed in the electronic report file formats that are generated and sent to the IRD to comply with the Version 2 format.

Return Service

New fields have been added to specifically report SLCIR and SLBOR deduction amounts, where such deductions are applicable to a payee who is subject to a student loan repayment. That allows a single record to be generated and reported for each payee, whereas previously a separate record had to be generated for a payee’s main tax code, SLCIR deductions and SLBOR deductions respectively.

Employment Service - Create

New KiwiSaver status and eligibility codes are now reported with an update to a payee’s employment information based on the Opting In, Eligible for Auto Enrolment and Casual/Temp Employee KiwiSaver statuses that are new in Version 2 of Payday Filing. These are populated and send with an update to a payee’s employment information based on the option that is selected in the KiwiSaver Status field in the KiwiSaver Details on their Payee record (for more information, see Changes to KiwiSaver Details).

Employment Service - Update

New fields have been added to identify a KiwiSaver late opt-out reason and the description of the late opt-out reason where the late opt-out reason is not one of six pre-defined late opt out reasons.

These fields are populated and sent with an update to a payee’s employment information if the following conditions apply:

• the payee has an opt out date define in the KiwiSaver Details on their Payee record

• the defined opt out date is more than 56 days after the employment start date.

Where this is the case, the late opt out reason is derived from the Late Opt-out Reason field in the KiwiSaver Details on their Payee record and, if the reason is Other, the description of the reason for the late opt out is derived from the Late Opt-out Reason Other Reason Description field in the KiwiSaver Details on their Payee record, if applicable (for more information, see Changes to KiwiSaver Details).

Benefits

These enhancements provide compliance with the v2 of Payday Filing thereby allowing your business to continue to meet its legislative reporting obligations from 1 April 2021 onwards.

Configuration

No configuration required.