SAP ABAP IMG Activity PAY_IN_BON_100 (User Exit: Determine Income Tax Rate on Bonus Paid through Off Cycle)
Hierarchy
☛ SAP_HRCIN (Software Component) Sub component SAP_HRCIN of SAP_HR
   ⤷ PY-IN (Application Component) India
     ⤷ P40C (Package) HR customizing: India
IMG Activity
ID PAY_IN_BON_100 User Exit: Determine Income Tax Rate on Bonus Paid through Off Cycle  
Transaction Code     (empty) 
Created on 20010910    
Customizing Attributes PAY_IN_CLM_100   Maintain Salary Year and Period End Treatment of RAP 
Customizing Activity PAY_IN_BON_100   User Exit: Determine IncomeTax Rate on Bonus payment through Off Cycle 
Document
Document Class SIMG   Hypertext: Object Class - Class to which a document belongs.
Document Name PAY_IN_BON_100    

SAP provides function INBTD for you to determine the tax rate for Income Tax deduction on Bonus payments. As it may be the case with your organization, that you may want to override the tax rate determined by the system, SAP provides you with the User Exit EXIT_HINCALC0_008 in the enhancement HRINBTD. This User Exit enables you to determine the tax rate for Income Tax deductions on Bonus payments through an Offcycle payroll run.

In case the customer exit is not implemented or an error is returned, the SAP standard computation takes place.

WARNING

You should only carry out this step if both of the following points apply:

  • The SAP standard processes do not suit your needs
  • You are a competent ABAP/4 programmer

In this step, you can implement the user exit EXIT_HINCALC0_008 to determine Tax Rate for Income Tax deduction on Bonus Payment through Offcycle, in accordance with your requirements.

If you need to implement this user exit, you first create a project for the user exit, then assign the user exit to your project. Then you write the coding for the user exit, and finally activate the project.

For general information about user exits, refer to the Enhancements section in the Basis component documentation in the SAP library. In addition, there is detailed information about each user exit that you can access when you assign it to your project.

Example

Requirements

You must have customized the IMG steps:

  • Payroll India -> Tax -> Tax Liability on Reimbursements Allowances and Perks -> Define Tax Codes, to create your tax code for Bonus wage types
  • Payroll India -> Tax -> Tax Liability on Reimbursements Allowances and Perks -> Assign Tax Code Limits to Wage Types, to assign the Bonus wage type to the created tax code
  • Payroll India -> Reimbursements Allowances and Perks -> Calculate Eligibility for RAPs, to assign the Bonus wage type to a 'Pay Scale Grouping for Allowance'

Standard settings

Recommendation

Activities

Start by creating your project:

  1. Enter a name for your project.
  2. Choose Modification -> Create.
  3. Enter a short text for your project and choose Save.

Next assign the user exit to your project:

  1. Choose Components.
  2. Enter the name(s) of the user exits you want to implement.

Next make your coding modifications:

  1. Choose Change.
  2. Select the user exit for which you want to write code.
  3. Select the corresponding include.

The system will then prompt you to create this include, and you can continue to write your code in it.

Now activate your project:

  1. Return to the initial screen and choose Activate project.

Further notes

The input parameters passed for the customized logic are:

  • Personnel Number
  • Date of OffCycle Run
  • Tax Method (Value of first parameter for the function INBTD in the Schema)
  • Variable CUST_EXIT_VAR which determines if regular payroll results are available before the present Offcycle run.

You can use this EXIT to determine the tax rate for bonus payments considering the current period payroll results. To do this, you can import the following Parameters from Memory Id:

  • Input Table (IT)
  • F16 Table
  • Nominal Salary (from Monthly Regular Salary (/12N) wage type)
  • Regular Run (flag to specify that current payroll run is a regular payroll run)
  • temp_exit_var (flag to determine that only Income Tax Deduction at Source for Off-cycle Bonus Payment (INBTD) payroll function calls this EXIT)
  • f16_cntr2 (counter to determines WPBP split during payroll processing)

The output parameter generated is Tax Rate, to determine the tax deduction on the Bonus payment through Offcycle.

Business Attributes
ASAP Roadmap ID 204   Establish Functions and Processes 
Mandatory / Optional 2   Optional activity 
Critical / Non-Critical 2   Non-critical 
Country-Dependency I   Valid for countries specified 
Maintenance Objects
Maintenance object type C   Customizing Object 
Assigned objects
Customizing Object Object Type Transaction Code Sub-object Do not Summarize Skip Subset Dialog Box Description for multiple selections
CMOD L - Logical transport object CMOD HRINBTD User Exit: Determine IncomeTax Rate on Bonus payment through Off Cycle 
History
Last changed by/on SAP  20010910 
SAP Release Created in