Income Tax
The income tax is not calculated if the module finds the Income Tax Base and Income Tax Deduction budgets. If no budgets are found, the calculation is made as follows:
| • | Income Tax Base is composed by summing the revenue budgets and subtracting the deduction budgets, as long as the Income Tax field is Y (Yes) and the Ref. to Vacation and the Ref to Year-End Bonus fields are N (No); |
| • | If the Income Tax Base budget is found in the transaction, its value is considered for executing the other procedures. |
| • | The system checks whether the Alimony budget is present. If so, its value is subtracted from the Income Tax Base. |
| • | The content of the field Inc.Tax.Dep. of the Employee Registry is multiplied by the value of Deduction by Dependant (Depend.Ded.) of parameter 09 - Income Tax Table. The result is subtracted from the Income Tax Base. |
| • | Then, the Income Tax Base is submitted to the Income Tax Table (parameter 09), calculating the range and Income Tax percentage (Tax Rate n (%)). This percentage is applied to the Income Tax Base, and from the result is subtracted the value of Installment to Deduct (Deduct n) of the respective range. |
| • | The Income Tax Base on Year-End Bonus is submitted to the Income Tax Table, calculating the range and the Income Tax Percentage (Tax Rate n (%)). This percentage is applied to the Income Tax Base on Year-end Bonus, and the value of the Installment to Deduct (Deduct n) of the respective range is subtracted from the result . |
See Also
