Unused Time Off In Lieu (Equal to or less than the Cap)
May 24, 2023
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🎯 The reporting of payments for Unused Time Off In Lieu (Equal to or less than the Cap) has not changed per the Australian Taxation Office Single Touch Payroll Phase 1 guidance. Unused Time Off In Lieu (Equal to or less than the Cap) continues to be reported separately under ETP Type Code = R, O, S or P.
🎯 If you are unsure if this Pay Type applies to your circumstances, please refer to the Payee's Employment Contract or obtain advice from either the Australian Taxation Office or Fair Work Ombudsman.
Unused Time Off In Lieu (Equal to or less than the Cap) is applicable when the Payee ceases employment due to Voluntary Cessation, Dismissal, Contract Cessation, Transfer, Ill Health or Redundancy and receives a payment for unused Time Off In Lieu per Table A: Withholding rates for ETPs which is equal to or less than the ETP Cap Amount.
Unused Time Off In Lieu (Equal to or less than the Cap) uses the Rate Per Hour set in the Payee Master File (100.00%) and Leave Entitlements are not applicable. Payments with this pay type are considered to be Taxable, however they are not Salary & Wages or Ordinary Time Earnings (OTE).
