Overview
A new "Adjustment After Tax" option has been added to the Monetary Benefit and Other Income modules. This feature allows payroll adjustments to be processed after tax computation, ensuring accurate handling of non-taxable benefits or special allowances.
Purpose
This enhancement addresses the need to apply certain adjustments without affecting taxable income. By providing a dedicated option, manual workarounds are minimized, improving both efficiency and accuracy in payroll processing.
Feature Details
New Field: "Adjustment After Tax"
Location:
Monetary Benefit form
Other Income form
Functionality:
When enabled, the adjustment amount is excluded from taxable income.
Applied after all tax computations are completed.
Suitable for reimbursements, non-taxable allowances, or special payroll adjustments.
Monetary Benefit:
Other Income:
Impact
Accuracy: Ensures correct tax computation for non-taxable entries.
Efficiency: Reduces manual intervention in payroll adjustments.
Compliance: Supports proper payroll and taxation practices.