We've introduced a system change from Release 6.6a, which stops the system from allowing negative tax, SDL and UIF amounts on employees in South African companies. This change is applicable from the 2026/2027 tax year onwards.

The system has functionality to allow users to override this option using the 'Allow negative tax' option on a record. This can be changed with:

• Activating the option on the employee tax screen
• Using Global activation 

The option resets when you start a new pay period.

Refer to the software release notes for more information.

What is the issue?

The Global Activation option to allow negative tax isn't available on Sage VIP Classic Release 6.6a. The option is currently available on Sage VIP Premier Release 6.6a.

How will the issue be resolved?

We'll fix this issue in our next software update, Release 6.6b, in April 2026.

Is there a work-around?

There is no global option, however you can activate the function on the employees' tax screen.

To identify employees where the system forced tax  to zero, follow the step below:

1. Download the report interface file. 
2. Extract the contents of the interface file to your system folder, overwriting existing files.
3. Import the new report: Import a report or payslip from an interface file.
   •  The Real Number for this report is 420
   • Run the repot Tax Zero to identify employees with negative tax

To allow negative tax amounts on an employee:

1. Go to the employee's TAX screen.
2. Select Allow Negative Tax.
3. Click Close.