Statutory topics
IT3(a) certificates: remuneration without employees' tax
An IT3(a) reports remuneration on which no employees' tax was withheld. It carries the same reporting obligation as an IRP5 — the difference is the reason no PAYE was deducted, which must be stated on the certificate.
When an IT3(a) is issued
- Total remuneration for the year fell below the tax threshold
- The employee held a valid directive resulting in no tax being withheld
- The amount paid was not subject to employees' tax under the Income Tax Act
- Payments to certain classes of workers where PAYE was not applicable
Reason codes
Each IT3(a) must carry a reason code explaining why no tax was deducted. An incorrect or missing reason is one of the most common causes of certificate rejection during reconciliation.
IT3(a) in the reconciliation
IT3(a) certificates are submitted with IRP5 certificates as part of the EMP501. They contribute remuneration values to the reconciliation even though they contribute no PAYE.
Practical employer guidance
Low-earning, part-time and seasonal employees are the usual population. Their records still need valid identity and tax reference data, so the tendency to treat them as informal payroll is exactly what causes reconciliation problems at year-end.
Frequently asked questions
What is an IT3(a)?
It is a tax certificate issued by an employer for remuneration paid where no employees' tax was withheld, stating a reason code for the non-deduction.
When does an employer issue an IT3(a) instead of an IRP5?
Whenever remuneration was paid but no PAYE was deducted — commonly where earnings fall below the tax threshold or a SARS directive resulted in nil tax.
Do IT3(a) certificates still need to be submitted to SARS?
Yes. They are submitted with the EMP501 reconciliation exactly like IRP5 certificates and form part of the employer's reporting obligation.
Do part-time and casual workers need certificates?
Yes. Anyone paid remuneration must receive a certificate — an IRP5 where tax was deducted, or an IT3(a) where it was not.
Patuza makes sure casual, part-time and low-earning employees are reported correctly with the right certificate type.
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Related topics
Related insights
- What is an IRP5 →
How to read an IRP5, what the source codes mean and what to do if it is wrong.
- Payroll reconciliation explained →
What payroll reconciliation means, what it proves and how to run it every month.
Last reviewed 2026-03-01. Rates, thresholds and limits are set by legislation and change — most commonly in the annual Budget. This page explains how the obligation works; always confirm current values against the official SARS or Department of Employment and Labour publication for the applicable tax year.