Employers are required to use the prescribed tax tables.

The tax tables can also be obtained from any of our Customer Enquiry Centres.

Tax deductions on extra ordinary payments (L/N 69)

Instructions for the deduction of tax from extra ordinary payments are also given on the 1st page of the tax tables.
 
Extra ordinary payments include:

• tax arrears.
• bonus.
• overtime.
• gratuity.
• lump sum payments.

When making deductions of tax from extra-ordinary payments, the employer must add that payment to the employee's total estimated income for the year and apply the rate of tax under which the total estimated income falls.

If an employer makes a payment in respect of bonus, gratuity or other additional earnings or retrospective increase in emoluments the following basis for tax deduction should be made based on a reasonable estimate of what that employees total emolument will be from the present employer for that calendar year including the payments that is being made:

(w.e.f – 01/01/2010)

Tax rates

Normal tax is levied on Chargeable income (i.e. total income less allowances).

There are separate rates of normal tax for resident and non-resident sole-traders:

• 1995-2008,2009-2010 Resident tax rates
• 2001-2008,2009-2010 Non-Resident tax rates