Global Payroll India - Income Tax Computation Sheet IND

Income Tax Computation Sheet lists out all the Heads of Income (actual and projected), Exemption Details, HRA Details, Company Leased Accommodation (CLA) Details and Previous Employment details. Also lists out the total tax payable and tax deducted for current month. Below are the steps that needs to be performed before generating IT Computation Sheet for an employee.

1. Define IT Sheet Template

Create an 'IT Computation Sheet ID' (Ex. BSL_ITCS)

Define all the earning elements which will be included in TDS calculation under 'Income' tab including their FYTDA element. Similarly define all the deduction under 'Calculation' tab, all the exemption, perquisites, deduction under Chapter VIA and previous employment details.

Navigation:-

Main Menu >> Set Up HCM >> Product Related >> Global Payroll & Absence Mgmt >> Taxes >> Define IT Sheet Template IND

2. Define Report Data 

IT Computation sheet process looks for Report Data 'GPIN_ITC_EXT'. Please look for the the ID, if present proceed to next step else create the Report Data as per below setup.

[Note:- I found this report id missing in HRMS 9.2 version]

Navigation:-

Main Menu >> Set Up HCM >> Product Related >> Global Payroll & Absence Mgmt. >> Reports >> Define Report Data

3. Run IT Computation Sheet Process

Run the Create IT Comp Sheet IND process to generate the Income Tax Computation sheet for employees processed under the Calendar Group ID. Fill in the Run Control Parameters Calendar Group ID and Template ID and click on Run button.

Navigation:-

Main Menu >> Global Payroll & Absence Mgmt. >> Taxes >> Create IT Comp Sheet IND

4. Sample Output of IT Computation Sheet.

Once the process run in step 3 is success, IT Computation sheet for employee will be generated and can be accessed under employee Self Service.

Navigation:-

Main Menu >> Self Service >> Payroll and Compensation >> View Payslips

5. Records used in template creations.

PS_GPIN_ITCS_MAIN

PS_GPIN_ITCS_TMPL

PS_GPIN_ITCS_INC 

PS_GPIN_ITCS_CALC

PS_GPIN_ITCS_EXM 

PS_GPIN_ITCS_PRQ 

PS_GPIN_ITCS_DED

PS_GPIN_ITCS_PREV

Note:- Sample template 'DEMO' delivered by peoplesoft is missing from first two record, due to which DEMO template is not visible via PIA.

State Records - PeopleSoft

Uses and Limitations :-
1. You assign variables for your Application Engine program through state records, while sections, steps, and actions pass values to subsequent program steps through state records.
2. You can have up to 200 state records associated with a particular Application Engine program.
3. Only one record can be the default state record.

Criteria to create a State Record :- 
1. It must have a process instance defined as the first field and the only key field.
2. State record name must end with _AET.
3. You can specify both work (derived) and physical (SQL table) records to be used as state records.
4. In order to implement dynamic call state record must contain fields AE_APPLID, AE_SECTION.

Meta-SQL used :- 
1. To select fields in the state record, use the %SELECT construct.
2. To reference fields in the state record, use the %BIND construct.

Net Pay Validation by Priority in Global Payroll Peoplesoft HRMS

The net pay validation (NPV) prevents a deduction from reducing net pay to zero or minimum amount that you define. if you don't use NPV, system grabs whole amount of deduction, which might leads to negative net pay. To implement this you have two options

1. Processing Sequence

2. Priority Order

Processing Sequence - it refers to sequence number in which Deduction is encountered in Section during processing as defined in section setup. It immediately determines whether the net pay is below zero or minimum amount.

Priority Order - it refers to the Priority number assigned to deduction on Arrears page of Deduction element. First all deduction is calculated in first loops and on subsequent loops, NPV formula (assigned on countries page) is  applied to check whether Net pay falls  below zero or minimum amount. In Order to implement this we need to have all the deduction in one section and that section should be of type Sub-Process. We will go in details how to setup the NPV by Priority.

Steps

1. Create an element that will determine the minimum amount below which net pay cannot fall. by default system takes zero as minimum amount.

Let's say VR_NPV_MIN_AMT

2.Create a NPV Formula FM_NPV (which will be something like below).

1 >> FM[FM_NPV]
IF AC[AC_NET] > 0 AND SY[NPV COMPLETED] = 0 THEN
    EXIT
ENDIF
IF SY[NPV COMPLETED] = 1 THEN
     2 >> FM[FM_NPV]
    EXIT
ENDIF
IF SY[CURR PRIORITY NBR] <> SY[LOW PRIORITY NBR] THEN
    EXIT
ENDIF
3 >> FM[FM_NPV]

3. Create the looping formula, which needs to be assigned to deduction in sub-process Section. This looping formula will execute the deduction to n number of times in loops each times NPV will be applied to all deduction and resolve the deduction reaches to minimum amount.

IF SY[SUB PROCESS PASS] = 1 OR ( AC[AC_NET] < 0 AND SY[GP CORR TYPE] <> 'V' ) THEN
    1 >> FM[FM NPV LOOP]
ELSE
    0 >> FM[FM NPV LOOP]
ENDIF

4. Assign NPV formula (FM_NPV) to country which you are using

Navigation :- 
Setup HRMS >> Product Related >> Global Payroll & Absence Mgmt >> System Settings >> Countries >> Country (USA) >> Net Pay Validation Formula

5. Assign minimum Net Pay Entry Type in Process List

Navigation :- 
Setup HRMS >> Product Related >> Global Payroll & Absence Mgmt >> Framework >> Processing >> Processing >> Process List >> Definition Tab ( Minimum Net Entry Type as Variable and Minimum Net Element as VR[VR_NPV_MIN_AMT]

6. Create a Section of section use as Payroll and  section type as sub-process. A new field will appear called Net Pay Validation by Priority, activate it. Add all the deduction directly or assign section in which deduction is present.

Navigation :- 
Setup HRMS >> Product Related >> Global Payroll & Absence Mgmt >> Framework >> Processing >> Processing >> Section >> Net Pay Validation by Priority (Section Type must be Sub-Process)

Also set Maximum Iteration to some higher number instead of 1 to say 50 and assign looping formula (FM[FM_NPV_LOOP]) to Formula and action as Begin for Fist row and action as End to last row (keep formula field blank for all row other than first one).

7. Activate Perform Net Pay Validation checkbox in arrear page of deduction element and assign the Priority number to element as applicable. by default 999 is assigned. Please note the higher the priority number, lower is its priority. check Deduction Arrears Allowed to collect the left amount in subsequent Pay Check.

Navigation :- 
Setup HRMS >> Product Related >> Global Payroll & Absence Mgmt >> Element >> Payroll Elements >> Deductions >> Arrears (4th tab) >> check Perform Net Pay Validation and assign Priority number.