DPM Discuss Salary Packaging with IRC

The establishment of a policy framework to guide the need for public servants to be able to do salary variations through Salary Packaging for allowances like school fees, mortgage etc. would be a way forward should Salary Packaging be accessible to public servants.

These were among some of the issues Secretary Ms Taies Sansan is pursuing with the Internal Revenue Commission.

In a meeting held with IRC on the 9th of September, Secretary Sansan and a team from DPM met with IRC Commissioner General Sam Koim and his team to discuss these various issues.

Secretary Sansan brought up the issue of Salary Packaging and taxes to see how IRC could assist to find a way forward to these important issues on behalf of the public service.

It was suggested by Commissioner General Mr Koim that a joint project by Department of Personnel Management and the Internal Revenue Commission will be the way forward to look into the areas of salary packaging and taxes.

Mr Koim said, using such issues as a project would be a way forward to address these issues as it requires scoping to clearly define what needs to be done.

Secretary Ms Sansan raised these issues with IRC during the meeting while highlighting that an NEC decision made in 2013 for salary packing for public servants was an issue worth revisiting.

It was revealed during discussions that salary packaging is adoptable however there are practical challenges given the size of the public service Alesco payroll.

Discussions also revealed that there is a need for a comprehensive policy and for the policy to be given legislative recognition and for the incorporation of it into the General Orders.

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