Return To Work Payments

Return To Work Payments

Return to Work Payments

A return to work amount is paid to induce a person to resume work, for example, to end industrial action or to leave another employer. It does not matter how the payments are described or paid, or by whom they are paid.

These types of payments, to induce workers to return to the workplace, cannot be classified as Payment Type – Bonuses or Commissions or Lump Sum Type-E but must be taxed as Return to work payments (as per NAT3347 Return to Work Payments) and reported as Lump Sum Type-W YTD amounts.

There are no arrears tax offsets available to the employee in their IITR for lump sum type-W payments.

    • Related Articles

    • Pay Rate and Hours of Work

      Employees can have a variety of pay rates, which provide several methods to correctly calculate their pay. (Select the 'More Pay Rates' button to see additional rates). This article covers: Hourly Rates / Wages Monthly Pays Part-Time or Casual ...

    • Early Super Payments

      If you would like to process superannuation payment prior to the normal debiting schedule, please see the following instruction. We recommend you process this 10 working days prior to the end of the financial year, to allow the debit to clear and ...

    • SuperChoice One-Off Payments

      When there are transactions that have missed payment due to insufficient funds or an employee payment has been refunded, a one-off payment can be processed to pay these straight away, once the issue has been rectified. This screen can also be used to ...

    • Add or Edit a Work Pattern

      Work Patterns: are used to specify what days an employee works and how many hours they are expected to work on that day are used to determine whether a day is a normal day of work when requesting leave can be used if your employee works set shifts ...

    • Salary Sacrifice

      Contents Introduction Payments that can be Salary Sacrificed Methods of Salary Sacrifice in Payroll Business Models for Salary Sacrifice Management Refunds of Salary Sacrifice Introduction The Treasury Laws Amendment (2019 Tax Integrity and Other ...