How to set up an Arrears Payment Deduction

Select "Employee Settings", then "Employee Details". Select an employee from the left-hand side and then select "Tax Arrears" under "Other Details".

Ensure you have selected the correct employee, then select "Add".

Enter the start date and then select the deduction. You can select either "Tax Arrears" or "Student Loan Arrears."

Under "Total Amount", type in the full amount of tax arrears to be paid, and then under "Amount Already Paid", enter the amount that has already been paid. If nothing has been paid, leave it blank. You will notice that there is no "Amount" field, as the system will automatically calculate how much needs to be deducted from the employee's pay each pay period according to the IRD's rules.

Now enter the bank account number and references, and click "Save."