Do I need to submit my tax card to KOKO?

Earnings-related allowance is taxable income. We can use either your salary tax card or a revised tax card for a benefit, obtained separately by you.

Usually, the unemployment fund receives the information regarding your tax card directly from the tax authorities. In some cases, we may have to ask the customer to send us a tax card. If your earnings-related allowance is paid using a tax card for wages, the amount withheld is always at least 25%, even if the percentage on the tax card is lower than that.

As an allowance recipient, we recommend that you apply for a revised tax card for a benefit for the taxation of your earnings-related allowance. In this case, we will apply the tax rate indicated on the tax card. This will also allow you to determine the appropriate tax rate specifically for your earnings-related allowance. Remember to follow up your accumulated income especially at the end of the year to make sure that the income limit on the tax card is not exceeded.

When you order a revised tax card for social benefits in MyTax, the tax card will automatically be sent to the fund within two working days. You do not need to send it separately. When ordering the tax card, please choose the KOKO unemployment fund as the payer of the benefit.

Further information on taxation of earnings-related daily allowance.