Global Payroll, Compliance, and Tax News: February Round-Up

February 2026 has brought key developments in the global payroll, tax, and compliance landscape. The UK flagged payroll data gaps ahead of JSL reforms, while a major payroll fraud case in South Africa highlights the need for strong controls.

This edition covers tax and compliance updates from Asia and Europe - including Bahrain’s WPS timeline extensions, Singapore’s stricter IR8A reporting, and new employer forms in Cyprus and the Czech Republic - alongside our country spotlight on Mexico, where wage increases and payroll deadlines are reshaping employer obligations.

We also share global payroll statistics, upcoming industry events like the Australian Payroll Summit and CIPP Pay Live, and resources on crypto payroll, AI, and workforce trends to help teams stay informed and plan for 2026.

Payroll Data Gaps Exposed Ahead of JSL, With 60% of Professionals Demanding Greater HMRC Data Visibility

A new Finity survey of 342 payroll and finance professionals highlights a disconnect ahead of the UK’s HMRC Joint and Several Liability (JSL) reforms (effective April 2026): while 100% feel confident their organisation is ready, 60% report they lack sufficient real‑time payroll data visibility from HMRC, and many cite outdated systems as a major barrier to true readiness. This suggests that practical operational capability may lag behind confidence as payroll teams face tighter continuous compliance and liability across the employment supply chain.

Read more here.

Payroll fraud case in South Africa: alleged R10.5 m payroll fraud

In South Africa, a 42‑year‑old payroll administrator at a major employer has been arrested and charged after allegedly siphoning off over R10.5 million from her employer’s payroll system over several years, until discrepancies were spotted by employees noticing they were paid less than their payslips indicated. The case is now before the Gqeberha commercial crimes court, underscoring internal control and fraud risks in payroll operations.

Read more here.

Asia: Bahrain extends Wages Protection System timelines and compliance requirements

Bahrain’s Labour Market Regulatory Authority announced changes to its Wages Protection System (WPS) compliance framework, including a filing timeline extension and updated employer obligations tied to wage protection and reporting. Employers are now required to appoint a Wages Protection System Responsible Person (WRP) by 1 February 2026 to oversee WPS compliance and accuracy of wage reporting.

Read more here.

Singapore IR8A Payroll Reporting Changes for YA 2026

As the 1 March 2026 IR8A deadline approaches, Singapore’s IRAS has introduced stricter data requirements, including mandatory NRIC/FIN fields, consolidated voluntary CPF reporting into IR8A, detailed income breakdowns, and mandatory simultaneous filing of Appendices 8A/8B.

Read more here.

Europe: Cyprus Releases New 2026 TD59 Allowance Form

The Cyprus Tax Department has made the TD59 “Claim for Allowances” form available for the 2026 tax year, requiring employers to distribute, collect, and retain this form from employees to support accurate monthly PAYE tax deductions.

Read more here.

Czech Republic Introduces Centralised Employer Reporting

From 1 January 2026, the Czech authorities replaced numerous separate filings with a unified monthly employer report covering taxes, social security contributions and employee data, with retroactive reporting for Jan‑Mar 2026 due by 30 June 2026.

Read more here.

Mexico has implemented minimum wage increases effective 1 January 2026 - including a roughly 13 % rise in the general daily rate and increases in the Northern Border Free Zone - which directly affect payroll calculations, social security ceilings, and employer cost structures. Employers must update payroll formulas and contracts accordingly and ensure compliance with wage‑linked legal requirements.

There are also deadlines at the end of February 2026 for employers to correct, cancel, or reissue CFDI payroll tax receipts (Mexico’s digital payroll tax invoices), which impacts year‑end payroll reporting accuracy.

Read more here.

Payroll Guide

The Complete Payroll Guide for Mexico

Read more

Payroll is all about numbers. Here are some interesting facts and stats from the global payroll space.

Cloud‑Based Payroll Adoption Surges

Cloud‑based payroll continues to dominate, with the cloud payroll software market valued at around USD 15.8 billion in 2026, projected to grow steadily (nearly 9%+ CAGR) toward ~USD 26.9 billion by 2032 as hybrid workforce models and digital payroll ecosystems expand.

Learn more here.

HR & Payroll Software Market Continues Strong Growth

The global HR payroll software market is estimated at roughly USD 31 billion in 2026, up from ~USD 28.3 billion in 2025, and on track to expand further through the late 2020s with a ~9.4 % CAGR. Cloud deployments account for over 61 % of payroll software installations worldwide, driven by demand for automation, compliance, and scalability.

Learn more here.

Payroll Outsourcing Market Growth in 2026

The global payroll outsourcing market is projected at about USD 11.4 billion in 2026 and expected to grow to nearly USD 19.8 billion by 2035 at a ~6.3 % CAGR as enterprises increasingly adopt outsourcing for accuracy, compliance and multi‑country payroll coordination. Around 60% of organizations report improved accuracy and efficiency from payroll outsourcing, with about 60% using cloud‑based solutions to streamline complex payroll processes across regions.

Learn more here.

Australian Payroll Summit 2026

The Australian Payroll Summit is the premier gathering for payroll professionals across the country. Premier payroll event hosted by the Australian Payroll Association, featuring compliance updates, fraud mitigation insights, AI use cases and operational best practices.

Learn more here.

Payroll University 2026 (formerly National Payroll Conference) - Canada

Canada’s flagship payroll learning and development event - from June 2 to 5, multi‑day sessions with thought leaders, best practices and networking for professionals at all levels. Payroll University brings together the best instructors, thought leaders and industry experts to share insights and the latest trends shaping the payroll profession.

Learn more here.

CIPP Pay Live 2026

Pay Live 2026 is a free, in‑person industry event hosted by the Chartered Institute of Payroll Professionals (CIPP) for payroll practitioners at all levels - from newcomers to experienced professionals - focused on practical learning, industry insight and professional connection.

Learn more here.

There’s a surprising amount of free high-quality resources available to payroll professionals, and new interesting reads and articles get published every month. Here’s a selection of some new publications, must-listen podcast episodes, and blogs from the global payroll industry.

Article: Crypto Payrolls -Opportunities and Compliance Considerations for Global Employers

This recent blog post explores how companies are experimenting with cryptocurrency payroll models (e.g., Bitcoin, stablecoins like USDC/EURC) as part of competitive compensation strategies for global talent. It also discusses compliance considerations employers need to keep in mind when integrating non‑fiat payroll options into their payment ecosystems.

Read it here.

Payroll Pop Quiz: February 2026 Edition

The Payroll.org February Payroll Pop Quiz provides a fun way for professionals to test and sharpen their knowledge on current payroll updates like 2026 W‑2 box codes, wage reporting thresholds, and plan deadlines. It’s a handy resource for teams or training sessions to review recent compliance changes.

Complete it here.

Report: “Mapping the Trends: The Global Employer Update 2026”

Paul Hastings launched a global employment trends report offering insights into how regulatory divergence, AI adoption, and enforcement intensity are shaping workforce compliance and payroll risk across more than 90 jurisdictions. Employers with multi‑country operations will find it especially useful for understanding macro trends that influence payroll strategy and compliance planning.

Read and subscribe to it here.

Have you recently written or read a great article or discovered another great resource we should know about? Write to us and we will include you in our next Global Payroll and Compliance News Update.