The tax year is a calendar year.
The submission of the monthly declared payroll is effectively a self-assessment process.
Payment of tax
An employer has a statutory obligation to collect taxes on behalf of the state.
The due date for PIT is 60 days (plus 15 days grace period) after the month end.
Late payment penalties
A late payment penalty is assessed on the PIT due at the rate of 1% per month.
Tax audit process
Tax audits are conducted at two to three year intervals. The employer is subject to audits.
Statute of limitations
The statute of limitations for PIT purposes is seven years.
Topics of focus for tax authorities
Part of the focus of the Tax Department is additional undeclared payroll benefits.