Tax Code Update

A validation process is performed on the existence of tax file numbers for employees. Preceda checks for any employees without a tax file number.

Prerequisites

• No prerequisites

Rules and Guidelines

• Preceda checks for any employees without a tax file number.

• For each employee without a tax field number, the employee's hire date is checked. If it is 28 days or greater prior to the current date, the employees tax record is updated to show that the employee has not claimed general exemption and will be taxed at the higher rate. They are moved to Tax Code 4 or 8 depending on their Payment Summary Type. The Tax Treatment Code will also be updated by this process.

• The following are the conditions for the Tax Code and Tax Treatment Code to be updated successfully:

  • Employee is not currently being paid.

  • Any new Tax Treatment Code generated by changing the employee's Tax Code will also be valid.

• Employees with or without a Tax File Number, but who have been hired within the last 28 days from the hire date is ignored from this process.

 

Select Run Process to begin the process.