Apr 2, 2021

Did You Know? – The Return of Earnings (ROE) cannot be less than 30% of the previous year’s Return of Earnings

A discrepancy occurs when the actual or provisional earnings of the current financial year are lower than 30% of the actual or provisional Earnings submitted for the previous financial year’s ROE.

The Compensation Fund will request various documents:

1. An affidavit confirming that the earnings declared are the actual earnings paid to all employees or if a mistake was made on the ROE’s to explain what type of mistake was made.

2. A letter on a company letterhead stating the UIF reference number and SARS PAYE number.

The following documents must be submitted from the year of the discrepancy until the current year:

• The correct ROE’s;

• SARS EMP501;

• Detailed Payroll Report and

• Independently reviewed audited financial statements to confirm the actual earnings that were declared.

• Lastly, a SARS Tax Clearance Certificate and CK Documents from CIPRO or an ID if the business is a Sole Proprietor.

The Compensation Fund will audit the company, and this process can take up to 2 years if not sooner, to resolve.

To find out how SEESA can help your business, visit our website for more: : https://bit.ly/3wpuHTQ