How to prepare IR56B

This section provides an overview of IR56B: Employer's return of remuneration and pensions generation in a computerized format.

1. Define the IRD Category of each pay type in the Payroll Module Setup, Pay Type Tab.  If the Pay Type Table is turned on, define the IRD Category in the Pay Type Table.

2. Define your Tax File No., Name, Designation, and Company Chop in Taxation Module Setup.

3. Generate IR56B Batch  (make sure the April to March payroll batches are all protected).

4. Print the IR56B checklist.

5. Print the Taxable Income Report by IRD Category or Taxable Income Report by Pay Type and distribute it to your employees.

6. Optionally print the Employee MPF Statement and distribute it to your employees.

7. Export, manipulate, and import back to IR56B Batch.

8. IR56B Amendment (if any).

9. Output IR56B Data File, upload to ER e-Filing Services if selected the XML File format and less than 5000 records (*). See How to upload "Completion of Employer's Return IR56B" via Mixed Mode. For Mixed Mode Submission, the duly signed paper Control List (generated by ER e-Filing Services) together with the duly signed original paper BIR56A must be submitted to the Department in person / by post.  

10. Print or Email IR56B printed forms in respect of the IR56B submitted to the Department in IR56B and distribute them to your employees for employees information. See IR56B Sample Output. A hard copy of IR56B is not required to be submitted to the Department.

11. For any amendment (whether it’s an increase or decrease in reported income) or correction of other information after submission, follow these steps:

    • Generate another IR56B Batch (with the Type of Form set to Replacement) containing the specific IR56B forms that require amendment.

    • Proceed to step 8 for the necessary amendments (if any).

    • Finally, move on to step 9 to create an XML file with that the Type of Form is Replacement.

12. If you have multiple employers per database, go to Step 3 and select another employer to generate a different IR56B batch.

13. When the whole cycle is completed, click the Protect button on the IR56B Amendment toolbar to protect (close) the IR56B Batch.

14. After the taxation year is protected, Download IR56B is available in the Employee Portal.

(*) The maximum number of IR56B records that can be uploaded or submitted in each transaction is 5,000 (according to Jan 2024 Specifications🡕). If more than 5,000 IR56B records are required to be submitted, employers can do so by uploading or submitting several data files (each contains not greater than 5,000 records) (Type of Form = Original) one by one through the ER e-Filing Services. 

*** Only the format of IR56B in HRPro 17.06 or above has sought approval from the Inland Revenue Department (according to Sep 2019 Specifications)  ***