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(1) A qualifying cash payment is a payment

(a) made by an employer

(i) to an employee, or

(ii) on behalf of an employee

that is required to be included in the qualifying employment income of that employee for a year of assessment; and

(b) made in whatever currency including cash, cheque or other bill of exchange drawn on a financial institution or that otherwise involves a debit to an account held at a financial institution by the employer.

(2) Where in accordance with regulation 4, an employer withholds money from income earned by an employee from employment for a year of assessment, but withholds an amount that is less than what should have been withheld to meet the tax liability of the employee, the employer shall pay over to the Commissioner-General an amount equal to what should have been withheld despite the fact that that amount is more than the amount actually withheld.

(3) Where an employer pays over to the Commissioner-General, tax withheld to meet the tax liability of an employee, the difference between tax withheld and what should have been withheld shall

(a) be paid

(i) within fifteen days after the end of the year of assessment; and

(ii) in the same manner as provided for by section 117 of the Act for tax withheld from qualifying cash payments to an employee;

(b) be treated as paid by the employee for the purposes of calculating the tax liability of the employee for the year, but shall not be included in calculating the income of that employee;

(c) not be deducted in calculating the income of the employer; and

(d) not be recovered by the employer from the employee.