Wagetype set for supplemental tax rate should Ignore IT 0210

[Former Member]

Wage types that are set up to tax at a supplemental rate should ignore IT0210 table stating that the Employee is exempt/reportable. The exempt/reportable code should only be used for wage types that are taxed at the W4 rate. Currently there are 1300 Employees with the exempt/reportabe status.

Can we attain the above scenario with any of the processing class change, some let me know how to handle the situation

[Former Member]

Let me get this straight.

You're saying that there is a wage type 1234 which is setup as Supplemental Payment PRCL 68 with value 2. Right?

And there are employees who have exempt/reportable indicator active on IT0210. And you want system to neglect this indicator when there is supplemental rate applied. Right?

How are you processing these payments? Off cycle or regular payroll? If it is off cycle then you can create one explicit record on IT0210 without exempt/reportable indicator and there will be supplemental taxes in payroll for that one payroll.

Please confirm so that I can look further into this.

Arti

Edited by: Arti Lohar on Oct 14, 2010 10:35 AM

[Former Member]

Hi Arti,

Thanks for your responce, The payments are processed through offcycle. those wagetypes are stock wagetypes , can you let me kow how to address this scenario.

It has to override the exempt in 210 infotype and calculate the tax for them, if tyou can let me know the steps screen shots for that it will be of great help

Thanks

[Former Member]

is some one having idea about this , let me know the solution if possible

[Former Member]

Hi,

What do you mean by Stock wagetype? Is the amount equal to stock value allocated to the employee or profits/loss from the selling the stocks?

[Former Member]

Hi,

It's not clear to me as to what exactly you mean when you say stock wage type? But here I am assuming that it is a payment wage type and you want to override exempt indicator on IT0210.

You can create one explicit record on IT0210 with date of Off cycle check with no exempt indicator and run the payment thru off cycle. You can validate the results after that.

Arti

[Former Member]

Hi Amoha,

when ever we make payments using those wagetypes the system has to calculate tax overriding the tax exemption check in the infotype 210.

@arti i will replicate this and check the pay results and will run the interface and see if its calculating the taxes, let me know appart from this if any other work around solution is available

[Former Member]

I am in the same situation. Does anyone has a solution?

Here is the law: We have to tax at supplemental rate on Stock Payments irrespective if employee has been exempt on Infotype 210.

So even though employee is marked as exempt on Infotype 210, the stock payments has to be taxed at supplemental rate.

We have a system that load these stock transaction on Infotype 15 and I cannot run off-cycle for them, it has to be in regular payroll.

Any solution?

[Former Member]

does any one have clue about this.... i am still waiting for work around