For interest, we have included on our website the following documents from SARS and the Department of Labour for you to access:
Agreement summarising the implications of the National Minimum Wage (published 27 February 2017)
Interpretation Note 16 – Exemption on Foreign Employment Income
Interpretation Note 34 – Exemption for Remuneration of Officers or Crew Members on board Ships
This interpretation note needs to be looked at closely. It creates a challenge in looking only at “this tax year” instead of a broader test of “any 12 months” leading to an inconsistency where employers will most likely have to deduct PAYE, SDL and UIF for employees until they can show these employees have been out of the country for more than 183 days. They cannot however then refund the PAYE (strictly prohibited) nor request refunds of SDL and UIF leading to potential unhappiness amongst employees who will need to reclaim PAYE on assessment.