PAYMENT OF WAGES TAX

Chronicle (Levin), 30 April 1946, Page 8

PAYMENT OF WAGES TAX

The Commissioner of Taxes draws attention to a notice dppearing in this issue outlining new provisions fof payment of wages-tax. Under regulations recently gaz6tted a restriction is plaCed upon the use of stamps. Employers are required from May 1 . onwards to obtain a receipt for all payments of wages tax amounting to £2 or over, which must be paid either in cash or by cheque at any money order office or branch office of the Land and Income Tax Department. A special form, signed by the employer, his agent, or a responsible employee, must be presented with the wages tax due, when a receipt for the payment will be issued. The receipt should,be attached to the summary of wages paid, or other wages records for the period covered by such payment, and the records retained for a period of at least flve years. The wages tax is dedilctible at the time of payment from the femuneration of all per-

sons 16 years of age or over, and must be accounted for by the emolover within three days of such deduction unless the period has been extended by special arrangement With the Commissioner of Taxes. In addition to salaries, such payments as Christmas or other bonuses, directors' fees, commissions, contract wages, value of lodgings, keep or meals Shpplied, free house or quarters, or other benefits in kind, etc., are subject to deduction of tax. Substantial' penalties are provided by Ihe Social Security Act, 1938, for failure properly to deduct.or account for wages tax.