Backpay

Kris_Williams · September 14

$4000 backpay that spans quite a few years, what code would this be - just Salaries and Wages?

Acctd4 · September 15

Hi Kris

This is taxed differently so requires a new “Backpay” Payroll Item, mapped to Lump Sum E ☺️

Kris_Williams · September 15

If this is going to be the only income for the year she will be well and truly under the tax free threshold though. She’s a uni student and doesn’t work anywhere else

Acctd4 · September 15

The tax on it isn’t related to the tax-free threshold - It’s treated differently because it spans/applies to other FYs & offsets usually apply. If it’s not categorised correctly, these won’t generate 😬

Kris_Williams · September 15

Ok thank you Shaz…….

Backpay

Comments

Shaz Hughes Dip(Fin) ACQ NSW, MICB

* Regd BAS Agent (No: 92314 015)* ICB-Certified Bookkeeper* Snr Seasonal Tax Consultant since 2003 *

Accounted 4 Bookkeeping Services

Ballajura, WA

(NB: Please give my post a Like or mark as Accepted Answer if I have been able to resolve your query as this helps others when seeking solutions!)

Shaz Hughes Dip(Fin) ACQ NSW, MICB

* Regd BAS Agent (No: 92314 015)* ICB-Certified Bookkeeper* Snr Seasonal Tax Consultant since 2003 *

Accounted 4 Bookkeeping Services

Ballajura, WA

(NB: Please give my post a Like or mark as Accepted Answer if I have been able to resolve your query as this helps others when seeking solutions!)

Categories