Global Payroll Compliance

ACE #

Automatic Exchange of Information, a system for exchanging financial account information between jurisdictions to combat tax evasion.

APAC #

Asia-Pacific, a region comprising Asia and the Pacific islands, including countries such as China, Japan, and Australia.

ATO #

Australian Taxation Office, the government agency responsible for administering the taxation system in Australia.

Brexit #

The United Kingdom's withdrawal from the European Union, which took effect on January 31, 2020.

CBDT #

Central Board of Direct Taxes, the Indian government agency responsible for administering direct taxes, such as income tax.

CJRS #

Coronavirus Job Retention Scheme, a UK government program that provides financial support to employers to retain employees during the COVID-19 pandemic.

CRA #

Canada Revenue Agency, the government agency responsible for administering tax laws in Canada.

CRS #

Common Reporting Standard, a global standard for the automatic exchange of financial account information to combat tax evasion.

Data privacy #

The protection of personal data, including the collection, storage, use, and sharing of such data.

DTA #

Double Taxation Agreement, a treaty between two countries to avoid double taxation of the same income.

EMEA #

Europe, Middle East, and Africa, a region comprising Europe, the Middle East, and Africa.

EOY #

End of Year, the time when companies close their financial books for the year.

ERISA #

Employee Retirement Income Security Act, a US federal law that sets minimum standards for retirement plans in private industry.

ETA #

Employment Termination Agreement, an agreement between an employer and employee regarding the termination of employment.

Expatriate taxation #

The taxation of individuals who live and work in a country other than their home country.

FICA #

Federal Insurance Contributions Act, a US federal law that imposes taxes on employers and employees to fund Social Security and Medicare programs.

FTE #

Full-Time Equivalent, a measure of the workload of an employee, calculated as the number of hours worked divided by the number of hours considered full-time.

GDPR #

General Data Protection Regulation, a regulation in EU law on data protection and privacy in the European Union and the European Economic Area.

Global payroll #

The management of employee compensation and benefits in multiple countries.

Globalization #

The process of expanding business operations to multiple countries.

GMS #

Global Mobility Services, a range of services that help organizations manage the international assignments of their employees.

HMRC #

Her Majesty's Revenue and Customs, the UK government agency responsible for administering tax laws and customs regulations.

IR35 #

Off-Payroll Working Rules, a set of rules in the UK that govern the tax treatment of contractors who provide services through an intermediary.

IRS #

Internal Revenue Service, the US government agency responsible for administering tax laws.

JV #

Joint Venture, a business arrangement in which two or more parties agree to pool their resources for a specific project or business.

MNC #

Multinational Corporation, a company that operates in multiple countries.

NAFTA #

North American Free Trade Agreement, a trilateral trade agreement between Canada, Mexico, and the United States.

NDA #

Non-Disclosure Agreement, a legal agreement between two or more parties that outlines confidential information that is shared between them.

Non #

resident alien: An individual who is not a resident of a country and is subject to different tax rules than residents.

OPW #

Off-Payroll Working, the practice of engaging workers through an intermediary, such as a personal service company.

Payroll administration #

The process of managing employee compensation and benefits.

Payroll compliance #

The adherence to tax and employment laws and regulations related to payroll.

PAYE #

Pay As You Earn, a system for collecting income tax in the UK, where the employer deducts tax from the employee's salary and pays it to the government on their behalf.

PRSI #

Pay Related Social Insurance, a social insurance contribution in Ireland that is payable by employers and employees.

SOW #

Statement of Work, a document that outlines the work to be done, deliverables, and timelines for a project.

Statutory leave #

Leave that is required by law, such as annual leave, sick leave, and parental leave.

Tax year #

The 12-month period used for tax purposes, which may differ from the calendar year.

TDS #

Tax Deducted at Source, a system for collecting income tax in India, where the employer deducts tax from the employee's salary and pays it to the government on their behalf.

Total rewards #

The compensation and benefits offered to employees, including salary, benefits, and recognition programs.

Transfer pricing #

The pricing of goods and services between controlled (or related) legal entities, such as subsidiaries and parent companies.

UIF #

Unemployment Insurance Fund, a social security benefit in South Africa that provides short-term relief to workers who become unemployed through no fault of their own.

USC #

Universal Social Charge, a tax in Ireland that is payable by employees, self-employed individuals, and pensioners.

Withholding tax #

A tax that is deducted from an employee's salary before it is paid to them.

Work permit #

A legal document that allows an individual to work in a country.

W #

8BEN: A form used by foreign individuals to certify their non-US status and provide their foreign tax identification number for tax purposes.

W #

8BEN-E: A form used by foreign entities to certify their non-US status and provide their foreign tax identification number for tax purposes.

Whistleblowing #

The reporting of illegal or unethical behavior within an organization.

WRDA #

Withholding Receipts Directions and Authorizations, a system for collecting and remitting tax in South Africa.

1099 #

A series of informational tax forms in the US that are used to report various types of income, such as self-employment income, interest, and dividends.