Casual agricultural workers (including shearers or shearing shedhands)
If you work as a casual agricultural worker, your tax code will be CAE.
Write CAE in the circle under question 2 of the Tax code declaration (IR330) form and give the completed form to your employer. Make sure you answer questions 1-4 of the IR330.
Casual agricultural workers are engaged in casual seasonal agricultural work on a day-to-day basis for up to three months. Payments are taxed through the PAYE system at a flat rate and student loan repayments aren't deducted from this income.
If you think the CAE tax code will result in you paying either not enough or too much tax, you may need to apply for a special tax code.
Mark works as a teacher earning $52,000 a year for this job.
During shearing season he works as a shedhand for a friend. He works on a day-to-day basis, when needed, and will only be helping out for a month.
Ordinarily, Mark would choose the tax code CAE, for the shedhand work. However, because of Mark's normal salary, if he chose CAE, he could end up with a tax bill at the end of the year.
Instead, Mark applies for a special tax code.
Self-employed contractors working under agricultural contracts for maintenance, development or other work on farming or agricultural land are covered under the schedular payment requirements.
Date published: 18 Oct 2012
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