Employee Making Less Than 50k Has Taxed Group Term Life (GTL) deduction in Payroll (Doc ID 804753.1)

Last updated on MARCH 08, 2017

Applies to:

Oracle HRMS (US) - Version 11.0 to 11.0.3 [Release 11]
Information in this document applies to any platform.
This problem can occur on any platform.
FORM:PAYWSRQP.FMB - Run QuickPay
ConcurrentProgram:PAYROLL_RUN - Payroll Run
FORM:PAYUSSOE.FMB - Statement of Earnings (US)

Symptoms

-- Problem Statement:
Find that employees who have no benefits base, and make less than $50K per year are being taxed for their employer paid Group Term Life insurance (GTL)


EXPECTED BEHAVIOR
Expect that if the employee makes less than $50K per year the Group Term Life (GTL) imputed income would not be taxable.

-- Steps To Reproduce:
The issue can be reproduced at will with the following steps:

Submit a  QuickPay or run Payroll for an employee who makes less than $50K per year Review Statement of Earnings (SOE) to see taxes withheld.


Cause

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