This activity refers to the data and constants required to carry out the Income Tax (ISLR) calculation in accordance with the applicable legislation.

The following constants have been entered in the Payroll Constants table (T511K) to be used for the Income Tax (ISLR) deduction rate calculation.

• Once-only deduction value in Tax Units (VETSR).
• Personal reduction rate in Tax Units (VETPR).
• Family-related reduction rate in Tax Units (VETFR).
• Minimum net income in Tax Units for tax return (VETMN).
• Maximum tax deduction rate applicable to the employee (VETMP).
• Penalty rate the company applies to the employee for not submitting the AR-I tax return form (VETPP).

In addition, the following has also been entered in the Payroll constants table (T511P):

• Value in Bolivar currency of the Tax Unit UT (VETUT).

You maintain the constants entered in the above tables in the following IMG activity:

Payroll Accounting à Income Tax (ISLR) à Update constants for the Income Tax (ISLR) processing