PayHero was developed for payday filing, so reporting to the IRD is fully integrated into the system. With payday filing, your PAYE return information is automatically sent to the IRD every payday, so all you need to do is pay your PAYE by the 20th of each month.
In order for you to file your returns with PayHero, it's essential that you connect your account to the IRD, see our article on Inland Revenue Integration for a guide on how to do so.
Once your account is connected to IRD, each time you send a pay run, the PAYE details will automatically be sent to the IRD. When you send a pay, you'll see a confirmation window showing which actions will be taken, including submitting the pay to the IRD.
If you discover you've made a mistake in a pay that's already been submitted to the IRD, you can still correct it. You can see our article on Fixing a Mistake in a Sent Pay for more details.
Once a pay has been sent, you can review the IRD submission status of the pay through the Tax section of PayHero.
The icons to the right of each pay cycle indicates their current filing status with the IRD. Hovering your cursor overtop of the status icon will provide you with some additional information.
The statuses you may see are:
Submitted - The green submitted status means your pay has been successfully filed with IRD. Note that IRD won't process filings before the pay date of the pay, so you will only see the filing in myIR on or after the pay date.
Processing - The grey processing status means your pay has been submitted and PayHero is attempting to send the filing to IRD. It's expected that most pays will appear in this state for up to 10 minutes after the pay is sent. In some cases, simple errors may be returned by IRD in which case PayHero will hold the pay in the processing state until it's able to be successfully sent. If a pay is still displaying the processing status after 24 hours, we recommend disconnecting and reconnecting the IRD integration and waiting an additional day. If the processing status still appears the next day, reach out to our team at firstname.lastname@example.org for further information.
Withheld - The grey withheld status means your pay has not been sent to IRD. This will apply to pays that were processed before you integrated with IRD, or pays that have been Marked as Sent. If these pays haven't already been sent to IRD via another method, see the 'Resubmission of Filings' section below for how to send these to IRD now.
Error - The red error status means PayHero attempted to send your pay to IRD, but IRD returned an error in the process. In most cases, you'll find a notification on your Dashboard with more information about the error and how to resolve it. Once resolved, resubmit the pay to IRD as detailed below. If you can't find details about the error, reach out to email@example.com with the details.
Resubmission of Filings
If any of your pays are marked as 'Withheld' or 'Error' you will need to resubmit these to the IRD. Click into the affected pay cycle from the Tax screen and click the button on the right to find the Resubmit to the IRD option.
Payments to IRD
With payday filing you have two options for when you make your payments to IRD:
Making payment to the IRD each payday (i.e. at the same time as you pay your employees) can be a great option for hassle-free processing. It means that your pay and tax obligations are taken care of on payday and you don't need to think about it later in the month.
This is the default option in PayHero, so if you're using our Bank Batch Files or one of our Pay Now options to pay your employees, the tax will automatically be included in the batch each payday.
Tax payments will automatically be moved to the Paid Tax area of PayHero.
Alternatively, you can still pay the IRD monthly by the 20th of the following month if you prefer. To enable this option you'll need to switch off the 'Include Tax in Payments' setting for your account under Manage > Settings > Payroll Settings.
Once that setting is turned off, tax payments can be managed from the Unpaid Tax area of PayHero.
If your company needs to be set up for twice monthly IRD payments, please contact us at firstname.lastname@example.org and we'll apply this setting to your account for you.