Allowance Description
An employee required to wear industrial or protective clothing and equipment as stipulated by a relevant law or by the employer must be reimbursed by the employer for the full cost of purchasing the industrial or protective clothing and equipment. The provisions of clause 16.3(a)(i) do not apply where the industrial or protective clothing and equipment is, or has been, paid for or provided by the employer and the employer replaces items on a fair wear and tear basis. Employees are responsible for the safekeeping of each item of protective clothing on board the vessel. An employer may require an employee to sign a receipt for the issue of clothing and equipment.
What to pay
reimbursement for the cost of the clothing and equipment
Notes
This is a type of expense allowance where we would expect the employee to claim a deduction for this in their tax return
Should you withhold tax?
Do not withhold from this allowancd
Should super be paid on this allowance?
This allowance should not form part of ordinary times earnings
Should payroll tax be paid on this allowance?
Include this allowance for payroll tax purposes
How is it treated on the payment summary?
Show the allowance separately in the allowance box
How should it be reported for Single Touch Payroll?
Other PAYEVNTEMP8