2025/2026 Employer Annual Declaration (EMP501) — Submission Period

Two ways we can help:

• Book an Expert — a consultant will guide you through the process step by step.
• DIY Submission Guide — step-by-step instructions for completing your Annual Submission independently.

Extended support hours in May 2026:

• Friday, 29 May — until 17:00
• Saturday, 30 May — 08:00 to 12:00

Income Tax Reference Numbers — now compulsory

Two reports in Deel Local Payroll can help identify employees without a tax reference number:

• Dynamic Employee Details report
• Tax Year End Non-Financial report

COID Earnings Threshold Increase

The Minister of Employment and Labour published Government Gazette 54577, increasing the Compensation for Occupational Injuries and Diseases (COID) earnings threshold.

Please ensure your payroll system reflects the updated threshold to remain compliant with COID contributions for the new period. For further assistance, contact support@payspace.com.

COID Submission Period — ROE Declarations

The window for submitting your Return of Earnings (ROE) declarations is now open and runs until 30 June 2026.

To assist with a seamless filing experience, we recommend submitting your documentation well ahead of the closing date, as submission volumes tend to increase significantly toward the end of June.

Increase in the BCEA Earnings Threshold

The Minister of Employment and Labour published Government Gazette 54544, increasing the Basic Conditions of Employment Act (BCEA) earnings threshold.

For more information on the updated threshold amounts and their impact on your payroll, refer to the official Government Gazette or contact support@payspace.com.

Verify run setups before the EMP501 deadline

As the submission deadline approaches, verify that all existing run setups are correct. Payroll records must be accurately allocated to the correct tax year for compliant tax reporting.

Pre-submission checklist:

• Finalise your February 2026 pay run and close all runs for your tax period.
• Verify company and employee information (names, addresses, ID/Passport numbers, TRNs, banking details).
• Reconcile the EMP501 and EMP201 reports.
• Identify employee records with discrepancies and process corrections.
• Generate the Test CSV File from the system before final submission.

Generating your CSV file for e@syFile submission

The Deel Local Payroll .csv export is fully compatible with SARS e@syFile Employer. To generate your tax file:

• Navigate to the Tax Certificate Run screen.
• Use the TEST tax file option to validate payslip data before closing all runs.
• Once satisfied, generate the final CSV and import into the latest version of e@syFile Employer.

Your SARS tax certificate numbers just got smarter

From the 2026 year of assessment, Deel Local Payroll generates employee tax certificate numbers using a new reindexing system. Each employee now receives a unique certificate number per pay frequency, starting at “00000000001” — ensuring no two certificates can ever be duplicated.

What is the difference between an IRP5 and an IT3(a) certificate?

An IRP5 is a tax certificate issued to employees from whom PAYE (Pay As You Earn) has been deducted.

An IT3(a) is issued where no PAYE was deducted — typically for employees who earn below the tax threshold.

Both certificate types must be included in the EMP501 reconciliation and submitted to SARS via e@syFile Employer.

What is the COID earnings threshold and who does it affect?

The Compensation for Occupational Injuries and Diseases (COID) earnings threshold is the maximum annual earnings amount used to calculate employer contributions to the Compensation Fund.

From 1 March 2026, the threshold increased from R633 168 to R668 000 per annum.

What is Employment Taxes Validation (ETV) and how does it affect our employees?

Employment Taxes Validation (ETV) is a SARS process in which SARS independently recalculates the tax values on the IRP5/IT3(a) certificates submitted by employers via e@syFile.

To prevent the ETV file from failing, ensure all financials are accurately calculated and recorded.

Have you met the new Ask Pacey?

Pacey has received a significant upgrade. Ask Pacey now features an AI-powered Knowledge Base Search, enabling you to access instant, accurate answers directly within your DLP application — without the need to manually browse through help articles.

New Customer Satisfaction (CSAT) Rating

We have recently transitioned to a new ticketing system. As part of this change, we have moved away from the Net Promoter Score (NPS) and now measure customer feedback through the Customer Satisfaction (CSAT) Rating — a more direct reflection of each support experience.

Rating guidelines — based on your consultant’s performance:

• Responsiveness — Time taken to address and resolve the issue
• Attention to detail — Thoroughness and accuracy in handling the request
• Quality of feedback — Clarity and usefulness of communication provided
• Professionalism — Courtesy, understanding, and care demonstrated throughout