Allowance Description
By agreement between the employer and the majority of employees, all employees will either:
- receive a clothing allowance of $2.60 per week for the purchase of clothing items,
- be issued with two sets of overalls or suitable alternative clothing at the commencement of employment and at the beginning of each subsequent 12 month period, provided that each employee will receive on a needs basis, an additional issue of overalls or suitable alternative clothing where due to the work location and/or type of work such issue is necessary, or
- have made available to them the above items which will remain the property of the employer.
What to pay
$2.60 per week to buy the clothing
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