Navigation:  e-PayDay® for Windows > Employee Information > Adding an Employee > Taxation TAB > TAX Types

 

PAYG Non Business Employee - "Ordinary" employees who are not a business entity in themselves and hence only have a TFN (not an ABN)

 

FLAT Non Business Employee - Same as above but the employee is taxed at a flat rate.

 

Note: The non-buiness tax types are only available if "Employee" is selected as the employee's 'Payee Type' in the Personal TAB.

 

PAYG Labour Hire & Other Specified Payments

 

Labour Hire  – This describes a situation where labour hire companies employ "temps" and send them out to other businesses for finite time periods. Even though the employee is working at another enterprise, the labour hire firm still pays their wages. If the labour hire firm were using e-PayDay they would class this "employee" as PAYG Labour hire.

 

Other Specified Payments  – At the time of writing I am only aware of two specified payments earmarked by the ATO

 

1.payments made by DETYA to tutors working under the ATAS scheme

2.payments by DIMA to interpreters and translators working for TIS

(DETYA, DIMA and TIS are all government departments)  

 

 

NB: Both of the above tax types have a FLAT tax version of them, which subjects the employees gross pay to a set percentage of tax. I.e. the marginal tax scales are not applied.

 

 

PAYG Voluntary Agreement – Any "employee" who quotes an ABN and, as such, is a business entity in themselves, and invoices the "employer" for their services to the company. E.g. Sub-contractors.

 

Note 1: The voluntary agreement tax type will NOT be available if "Employee" is selected as the 'Payee Type' in the Personal TAB.

Note 2: Any PAYG Voluntary agreement employee with a blank ABN field in their taxation 5 tab, will implicitly classed as a "No ABN" employee.