Tax Deducation

Question

Hi
my clients wants to deducted month TDS amount, and that amount should be deducted from the Income tax.
For exp. Employee has 10000Rs. yearly income tax, so he has to pay 10000/12= 833.33Rs as income tax per months, now if i give that he has paid 800Rs income tax for the month of April, so reaming amount that is 9200 should be paid with in 11 months,
now i am giving 800Rs in IT 0014, As voluntary tax,  the 800 Rs amount is display in the salary slip but in FORM 16 Rs.9600 does not display it shows Rs 800 as income tax.
any body tell what is logic behind for this income tax calculation,
and how can i display balance income tax amount in the salary slip and FORM 16
Thanks & Regards,
urvashi

Answer 1

Hi Urvashi,
Pl see under Cumlation ids of payslip.
Create a Cumlation grp named ZATX and in that add the wagetype /460  RT and then Under
MS +
SpliTs D
DSPLIT*
This should bring the tax to ur payslip.
Next go to RT table and check the value of /460.
For Volunatry tax there are 3 wagetype MVT0,MVT1,MVT2.
Voluntary Tax
An employee can choose to pay certain amount of tax, which is not based on any other component. The Voluntary tax deduction Rule (INVT) calculates this Voluntary Tax. The system provides you with three options for voluntary tax deduction:
¡        Deduction of an additional tax amount in a period without changing the annual tax deduction amount. The value of Income Tax Wage Type (/460), calculated for the period by Payroll Function India Income Tax computations (INTAX), is increased by this additional amount. This additional tax that is deducted in a particular period is adjusted in the following payroll periods. You have been provided with the model wage type Voluntary Tax (MVT0) for this purpose.
¡        Deduction of a fixed tax amount in a period without changing the annual tax deduction amount. The value of Income Tax Wage Type (/460), calculated for the period by Payroll Function India Income Tax computations (INTAX), is replaced by this fixed amount. Tax deduction in the following periods is adjusted accordingly. You have been provided with the model wage type Voluntary Tax (MVT1) for this purpose.
¡        Deduction of a fixed amount of voluntary tax over the annual tax liability. The Voluntary tax deduction Rule (INVT) generates the Additional Voluntary Tax Wage Type (/462) for this fixed amount. The value of Income Tax Wage Type (/460), calculated for the period by Payroll Function India Income Tax computations (INTAX), is increased by the value of Additional Voluntary Tax Wage Type (/462). This additional tax that is deducted is not adjusted in the following periods of the financial year. The total tax deducted in the year is increased by this fixed amount of voluntary tax. You have been provided with the model wage type Voluntary Tax (MVT2) for this purpose.
Have u copied INVT to ZNVT and add your wagetype inplace of the model wagetypes.
Depends on whic option u want to select, ig u want the wagetype should add on to /460 then take the option 1 MVT0 and proceed.
Let us know if this helped.
Regards,
Prabha