As per the Accident Compensation Corporation (ACC), if your employee is receiving compensation payments from the ACC and you are topping up their income, the top-ups are considered a secondary source of income. For more information, see Income for your employee while they recover.
Employees should be encouraged to check their tax scale code with the Inland Revenue Department (IRD).
In MicrOpay Evo, an employee can only be attached to one tax scale code at a time. To tax top-up payments as a secondary source of income, change the Employee's tax scale code to a Secondary Tax Scale code. You would then change the Employee's tax scale code back when their payments are no longer considered to be a secondary source of income.
To change the Employee's Tax Scale Code:
Go to Payroll, Maintenance, Employees, Employees.
Edit the Employee.
Select Taxation Details.
Using the Tax Scale Code drop-down list, select the appropriate scale.
Click OK to save the record.