A labour broker without an exemption certificate (IRP30) receives R50 000 from a client for supplying workers.
Which of the following applies to the client?

Question

A labour broker without an exemption certificate (IRP30) receives R50 000 from a client for supplying workers. 
 Which of the following applies to the client?

Accepted Answer

Must withhold employees’ tax since the labour broker is included in the definition of “employee.”

Answer

No PAYE withholding obligation since the broker is not the employee.

Answer

Must pay the amount in full and issue an IRP5 to the broker.

Answer

Must pay VAT only.

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A labour broker without an exemption certificate (IRP30) receives R50 000 from a...

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