Unused Time Off In Lieu (More than the Cap)
Dec 17, 2024
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🎯 The reporting of payments for Unused Time Off In Lieu (More than the Cap) has not changed per the Australian Taxation Office Single Touch Payroll Phase 1 guidance. Unused Time Off In Lieu (More 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 (More 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 greater than the ETP Cap Amount.
Unused Time Off In Lieu (More 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 W1 (Total of Salary, Wages & other payments) and Taxable, however, they are not Ordinary Time Earnings (OTE).
