In addition to the master information needed to identify tax deductions the employee is entitled to, infotype 0156 contains data on the taxation indicators assigned to the employee.

However, you can change the employee’s data whenever it is needed (e.g., when certain conditions occur or change after the work relationship has started)

The start date of field "Validity" (BEGDA) must always be January 1st, even if the employee was hired on a later date.

The first part of the infotype must always be handled using the manual indication of the employee’s taxation indicators.

The "Tax deduction indicator" (e.g. CNMA = no husband/wife) refers to the "Family Member Type" of the tab strip below.

The second part of the infotype allows handling tax deductions the employee is entitled to, which can be of three types:

1. Dependent Relatives: The content refers to table T5ITDS: it indicates the dependent relative, the deduction percentage the employee is entitled to and the number of family members which entitle the employee to this deduction. The field enabling flag is important: if the entry is not flagged, the deduction is stopped, although the family member number is specified.

2. Deductions from Subordinate Employment and Other Deductions: The content refers to table T5ITDR: it indicates the deductions the employee is entitled to because of his subordinate work relationship. You can also specify further deductions here. The flag enables the item in this case, as well.

3. Deductible Charges: Other charges that can be deducted for tax purposes can be managed in this section. Typically, these deductions are due to individual expenses, such as health care expenses, insurance premiums or social security supplements.

During data assignment in this info-type, the system checks that the number of family members for each deduction/family member type indicator does not exceed the one required by table T5ITDC (Definition of minimum/maximum number allowed per family member type).

The tax deduction indicator in this infotype is used by table T5ITDT for the valuation of wage type Month’s deductions.