Bonus, back pay and incentives under income code 3601
By Marc Sevitz · Updated
If you have received incentives and a prosperity bonus within the year, can you claim that back from tax? My employer has added my over pay, back pay, incentives as well as the prosperity bonus under the income code of 3601.
These are all forms of income for which you will have to pay tax on, the true source code for bonuses is 3605, but you would still need to pay tax on these amounts. There is no way to claim back any amounts.
Sometimes due to the timing of the payment there may be a refund due as too much tax was deducted, however this will be calculated by SARS once you submit your income tax return and is not for you to worry about.
Sometimes due to the timing of the payment there may be a refund due as too much tax was deducted, however this will be calculated by SARS once you submit your income tax return and is not for you to worry about.