What is a private employer?

An employer is a person who makes a payment to somebody who has been hired to carry out work either in an employment relationship or for individual assignments. A private employer means a person who hires an employee as a private individual.

There are two exceptions that apply to this:

• You are not an employer if the person you hire carries out the assignment as a part of their business. 
• You are also not an employer if the salary or the fee is less than specific minimum levels.

What obligations does a private employer have?

Tax regulations stipulate there are a number of obligations an employer must comply with. A number of the regulations have been simplified for private individuals who are employers. We call these private employers in this the brochure. Employers who are a business or self employed person require more information than is presented in this brochure.

We explain below how a private employer is to relate to:

• Registration obligation  
• Prepayment deductions 
• Employer's contributions 
• Reporting 
• Holiday pay