Do you require a Workman’s Compensation Letter of Good Standing for tender purposes? Are clients insisting on this before your employees are allowed on their site?
CLARITY FROM THE COMPENSATION FUND ON ASSESSMENT DISCOUNTS AND AMNESTY
The following procedures are copied verbatim from information received from the Compensation Fund on 26 April 2013. The assumption is made that the ‘2012 ROE’ refers to the year of assessment starting 1 March and ending 28 February 2013.
Take note that if you have already paid the assessment amount less the advertised discounts, it would be best to pay the discount amount before 30 April 2013. We have asked the Compensation Fund to give details of how the discount will be refunded to you, but at the time of issuing this notice, we had not yet received an answer from the Fund.
NOTICE FROM THE FUND STARTS
“Please be informed that employers qualify for discounts only, and only after they have settled their accounts in full. So, employers cannot pay a discounted amount as this will leave their accounts with an outstanding balance. The date of payment determines the discount percentage that will be applied to the employers’ accounts.
The conditions to qualify for the discounts are as follows:
- All returns of earnings (ROEs) must be submitted online by 30 April 2013 via the ROE Website.
- Employers who submit their returns after 30 April 2013 will not qualify for discounts.
- All outstanding payments, including the latest (2012 ROE) must be settled in full by 30 April 2013 in order to qualify for a 10% discount on the 2012 ROE only.
- All outstanding payments, including the latest (2012 ROE) settled by 31 May 2013 will qualify employers for a 5% discount on the 2012 ROE only.
- All outstanding payments, including the latest (2012 ROE) settled by 30 June 2013 will qualify employers for a 2% discount on the 2012 ROE only.
- Penalties for late submission of 10% will be levied on all ROEs submitted after 30 April 2013.
- Interest and other penalties will be levied on payments received after 30 June 2013.
- All payments received after 30 June 2013 will not qualify for the incentives (i.e. discounts).
- Employers who have not previously registered with the Compensation Fund are given amnesty to do so and submit annual returns as per the COID Act. These employers must also submit online by 30 April 2013 and pay assessments before 30 June 2013 in order to qualify for incentives. The incentive is applicable to the 2012 ROE only, for the assessment period 1 March 2012 to 28 February 2013.
- Registered employers who have not submitted previous annual returns or have made false declarations are also given amnesty to submit all outstanding ROEs and come clean before 30 April 2013. They will also qualify for the incentives (discounts) on the 2012 ROE only, if they settle their accounts in full, by the dates provided.
The letter of good standing will be issued for a period of one year, expiring 30 April 2014, for all employers that meet the above requirements. Employers who enter into an instalment arrangement will be issued with a letter of good standing on a month-to-month basis until their accounts are fully settled.”
NOTICE FROM THE FUND ENDS