Important – Companies claiming ETI please take note of the following:
We recently released an ETI Validation report (for Classic and Premier only). If you claim ETI, please ensure that you run this validation before beginning the EMP501 reconciliation process. The validation completes a check based on the information below.
We have established that the scenarios below may have calculated ETI incorrectly or calculated ETI when there should have been none.
1. Incorrect validation rules applied in April 2020 for the following:
- Employees with more than R6500 in ETI remuneration - Either a positive or negative amount might have calculated for ETI
- Employees who did not have the Valid ID field ticked or employees who are not Refugee/Asylum Seekers
- Employees with Minimum Wage = Zero
- Employees older than 29 years, with an incorrect Period Set.
- Employees 29 and younger who have already completed 24 ETI Periods, with an incorrect Period Set.
We have created an ETI Validation export(Classic and Premier only) to help specifically with system checks on the above mentioned items. It does not make any corrections to the current ETI data. Users must check the data extract and then complete the ETI adjustments as required.
Please click here to read more about how to download the tool and how to export the affected employee records.
Need more information on how to complete an ETI take-on?
If you have established that some of your employees have been affected, make the ETI corrections, save the csv file and import back into the companies.
For more on the ETI take-on guidelines, click here. The ETI Take-on is the only way to make ETI amendments to ETI history which has been saved on the payroll.
Need detailed assistance with the entire process? We can refer you to our Sage Business Partner consultants should you need a consultation. Please click here to make a booking.
If you ran the IRP5 Validation report and there are no employees who have been affected by the above-mentioned scenarios, but still have ETI differences, see below.
Please view this article which lists which reports you can print to check the employee tax incentive amounts - Which reports can I print to reconcile my Employment Tax Incentive (ETI) values?
Do you have ETI values appearing on your EMP501 report, but do not claim ETI?
Start by unticking the ‘Company Eligible’ field on the Basic Co Information screen, ETI tab. This will prevent any further ETI from being calculated.
In terms of the ETI which has already saved to the history file, please use the ETI take-on feature to clear the ETI amounts. Follow the guidelines document which explains how to create and import the file. To locate the Guidelines, from the Main Menu of any company, select Interfaces > Import data > Utility Imports > ETI Take-on. Choose the Import button. The Guidelines can be found on the bottom right, click to open the PDF.
Are you receiving the following validation or e@syFile import errors?
Click on the error message below to find the solution.
Validation error – Employee linked to an SEZ code
e@syFile Error - Employer SEZ Code invalid - code 2083
Note: If you would like to read more about the ETI measures imposed because of Covid-19, please access a company’s Basic Company Information screen, select the ETI tab. Here you will find the Guidelines button, select to open the PDF.