Where the CCMA orders an employer to pay compensation to an employee, it will be a proper tender in compliance with the CCMA award if the employer tenders to pay over the award less the tax directed by the office of the Receiver of Revenue to be deducted.

The CCMA ordered the employer to pay an amount of R312 000 in compensation. The employer tendered a lesser amount which took into account the tax the employer was obliged to deduct by statute. This tender was rejected by the employee.

[At 970C] An employer has a statutory obligation in terms of the Income Tax Act 58 of 1962 to deduct the required tax from any remuneration which it pays to an employee... There are a number of decisions by this court that deal with settlement agreements wherein it was stated that such amounts attract income tax... [N]othing prevents the applicant from obtaining the necessary tax directive and presenting it to the respondent...The respondent’s tender to pay over to the applicant the award, less the tax directed by the office of the Receiver of Revenue to be deducted, constitutes a tender in compliance of the award...