Understanding Multi-Region Tax Calculations
How SORMALITICS's dedicated tax engines handle PAYE, NICs, Social Security, and statutory deductions across 7 jurisdictions.
SORMALITICS runs a separate tax engine for each of the 7 supported jurisdictions. Each engine is maintained with the current tax year's statutory rates and thresholds, sourced directly from the relevant authority — SARS, HMRC, IRS, KRA, URA, BURS, and ZRA.
For South Africa, the engine applies the progressive PAYE tables to the annualised income, calculates monthly UIF (1% employee + 1% employer, capped at the statutory threshold), and SDL (1% employer levy on gross payroll). The primary rebate of R17,235 (2024/25) reduces the annual tax before the monthly figure is derived.
For the United Kingdom, the engine applies Income Tax bands (20%, 40%, 45%) above the personal allowance of £12,570. National Insurance is calculated at 8% (employee) above the Primary Threshold and 15% (employer) above the Secondary Threshold, which fell to £5,000 a year from April 2025. Scottish taxpayers (an S tax code) are charged Scotland’s own six bands instead. Student loan deductions (Plan 1, 2, 4 or 5, and postgraduate loans) are applied if flagged on the employee record.
All engines output a consistent structure: gross pay, itemised deductions, employer contributions, and net pay. You can run a mixed-jurisdiction payroll — UK and South African employees in the same month — and SORMALITICS handles each correctly, generating the appropriate statutory form per region.