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Known issue: Negative PAYE when processing negative pay with no PAYE paid to date

Created on  | Last modified on 

Summary

In Sage 50 Payroll, a tax refund is incorrectly calculated even though the employee hasn't paid any tax during the year.

Description

In v29.01 and above, a tax refund is calculated for an employee when you process negative pay.  This occurs even though the employee hasn't paid any tax during the year.

Resolution

As you can only take a deduction from the gross pay available, as a workaround you'll need to rollback the employee then process their pay again with the correct values.