GROW YOUR BUSINESS IN LESOTHO
Have an enterprise level payroll department and a HRMS with Employee Self-Service at a per employee cost
Praxima Services Includes
-
Full Payroll Outsourcing
-
Hybrid Payroll Outsource
-
International Payment Management
-
Local Filing
-
Social Security Filing
-
Interact with Local Authorities
-
Human Resources Management System
-
Integration with all Accounting and Third Party
Software
Benefits of outsourcing to Praxima
Local Tax Compliance
Secure Data Transferring
Responsive Administrators
Increase Productivity
Industry Experts
Running Your Payroll
Focus on Your
Core Business
Lesothoan Payroll processed to International Standards
Payroll in Lesotho
The assessment year in Lesotho consists of a 12-month period starting 1 April to 31 March. There are no social security systems in Lesotho for employed persons. Lesotho does make use of the Pay-As-You-Earn (PAYE) system and the employer is required to remit the income taxes to the Lesotho Revenue Authority. Residents are taxed on their worldwide income. Non-residents are only subject to taxes on their Lesotho-sourced income.
TAX RATES | 2022
Taxable income of residents are calculated as follow:
First M 67,440.00 20%
Over M 67,440.00 30%
SOCIAL SECURITHY | 2022
Lesotho does not have a social security system for employed persons. Company benefits will be based on each company's policy.
STATUTORY FILING | 2022
Taxpayers are required to submit an annual tax return by the last day of the third month after the assessment year end.
An additional tax rate of 22% per year becomes payable when failing to file a return, failing to pay due taxes, failing to withhold taxes or pay the taxes withheld.
Tax Residents
An individual will qualify as a tax resident if he/she
-
is a Ghana citizen that does not have a permanent home outside Ghana in a calendar year;
-
is present in the country for 183 days in any 12-month period; or
-
is a citizen with a permanent home in Ghana, but temporarily outside of the country for a period not longer than 365 continuous days. Resident individuals are taxed on a sliding scale from 0% and 25%, while non-residents are subject to a flat rate tax of 20%.
Taxable Income
Benefits subject to fringe benefits tax are excluded from employment income. Pension income is taxed in accordance to any other income. Both residents and non-residents would be liable for capital gains tax should they dispose of business or investment assets. This also applies to a resident's assets located anywhere in the world.
Exempt Income
The following income would be exempted from taxes:
-
Income derived from subsistence farming;
-
The first LSL 500 of interest derived from a single savings account;
-
Dividends received from a resident company.
Your HRMS is Standard
Employee Self-service
Payslip and tax certificate retrieval. Updating of personal particulars. Leave request and balance enquiries
Records
Employee documents folder. Training records. Heath & Safety records. Disiplinary records. Qualifications, resume and hiring records.
Work Flow
Workflow with different approval levels. Full work flow functionality for leave requests, expense and time-sheets
PAYMENTS, REPORTING & FILING
-
Direct payment into employee bank accounts. Emailed password protected pay slips.
-
Payment of taxes, benefit providers and other creditors.
-
Filing of returns to the authorities.
-
Generation and filing of statutory reports.
-
General ledger and 100's of customisable reports.
