We are currently have an issue with our system provider over their calculation of HELP in an employees termination payout. Their arguement is that the system calculated that with the final payout the employee would be over the threshold for HELP calculation and proceeded to back calcualte the owed HELP portion of tax and wacked it on the payout to give a final tax rate of 69%. Understandablly the employee was less than impressed. The response we got back from the system provider is that the ATO provided the formulas for calculating tax and HELP, SFSS and such. They said that as the ATO didn't provide a formula for the calculation of tax on termination payments they never wrote the termination module to calculate tax any different.
What I am seeking is information on these formulas and wether there would have been a formula to handle termination payments?