Schedular Deduction Tax Infotype (0198) Subtype 02 

Definition

This infotype record is read by the payroll to effect the CP38 deductions for the month

Use

In certain circumstances, the Inland Revenue Board (IRB) can require employers to recover tax owed by employees through deductions from monthly wages by issuing the Form CP38 to employers. Employers must then deduct CP38 and STD amounts from employees' remuneration.

Structure

·        Enter the effective period for CP38 deductions.

·        Employee information:

¡        Income tax number issued by the Inland Revenue Board (IRB)

¡        Income tax office to which the employee's tax will be remitted

¡        If the employer is contributing tax on behalf of the employee, select the Tax paid by empr indicator.

Integration

To fulfill the conditions for a CP38 deduction, you must also create an Addl. tax deduction infotype (0199) record.