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AU: No Tax Calculated For Current Year Retro Entries For Employees With Tax Variation (Doc ID 1474232.1)

Last updated on FEBRUARY 05, 2024

Applies to:

Oracle HRMS (Australia) - Version 11.5.10.2 and later
Information in this document applies to any platform.


This note provides a brief overview of

Symptoms

Problem Statement:

Where a Tax Variation with a fixed tax rate is elected - whether the user elects to apply it to bonuses or not – Oracle Payroll is effectively applying a tax rate of zero to current year retro payments.

 

Steps to Reproduce:

Example:


Tax Declaration:
               29-JUN-2012 to 12-JUL-2012, Tax variation Percentage = 20%
               13-JUL-2012 onwards ,Tax variation Percentage = 15%


Steps Followed:

  1. Run QP for 1 2012 Bi-week pay period (29-JUN-2012 to 12-JUL-2012)
  2. Add backdated OT entry in the 1 2012 Bi-week pay period
  3. Run Retro for the period 29-JUN-2012 to 13-JUL-2012
  4. Run QP for 2 2012 Bi-week pay period (13-JUL-2012 to 26-JUL-2012)


In the 2 2012 Bi-week tax deduction is calculated only for the earnings from current period and no tax deduction for the current year retro payments is calculated.

 

 

Cause

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In this Document
Symptoms
Cause
Solution
References


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