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setting up super contributions
Fiona Papworth
setting up super contribution tax tracking type in super contributions payroll item
I am not sure which one to select??
Comments
John Graetz
Fiona. If you are referring to SGC payments then you select
None.
Nobody pays tax on the SGC that an employer is required to pay.
If you are referring to Salary Sacrifice Super, then you need to select
Gross Payments.
The reason for doing that is that SS Super is deducted from pre tax earnings and so it needs to come off Gross Payments.
John L G
Zappy
John the employee pays tax on sgc contributions at the rate of 15%.
John Graetz
That is correct Kevin, when received by the Super Fund, but there is no tax applicable for SGC for setup within Payroll, which is what the question related to, hence the reason for my response. Thank you for clarifying the fact.
John L G.
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