Philippines Tax Master Setup

Select the “Philippines Tax Master Setup” activity under the “Philippines Master Definition” business component.

The “Philippines Tax Master Setup” page appears.

The system displays the following

Philippines Statutory Setup Unit	Use the drop-down list box to select the Philippines statutory setup unit for which the master details has to be defined.
Currency	The currency of the Philippines.

The “Philippines Tax Master Setup” page has three tabs:

Bi-Monthly Tax Rate
Annual Tax Rate
Statutory Exemption

Bi-Monthly Tax Rate

Select the following details:

Exemption Code

Use the drop-down list box to select the code identifying the tax exemption for which the rate table is to be defined. The drop-down list box contains list of all available exemption codes.

The system displays the following in the “Access History” group box:

Effective Period

Use the drop-down list box to access the history with the effective dates.

Enter the following details in the multiline:

Salary From	The bi-monthly salary from which the rate table has to be defined.
Salary To	The bi-monthly salary until which the rate table has to be defined.
Tax Amount	The amount to be considered for Bi-monthly tax calculation when the employee’s taxable bi-monthly salary falls within the range. The amount will be considered till the lower bracket of the range. Tax will be calculated on percentage for taxable amount above the lower range.
Tax Percentage	The percentage to be considered for Bi-monthly tax calculation when the Employee’s taxable bi-monthly salary falls within the range. The amount will be considered till the lower bracket of the range. Tax will be calculated on percentage for taxable amount above the lower range.

Annual Tax Rate

The system displays the following in the “Access history” group box:

Effective Period

Use the drop-down list box to access the history with the effective dates.

Enter the following details:

Salary From	The annual salary from which the rate table has to be defined.
Salary To	The annual salary until which the rate table has to be defined.
Tax Amount	The amount to be considered for Annual Tax calculation when the employee’s taxable annual salary falls within the range. The amount will be considered till the lower bracket of the range. Tax will be calculated on percentage for taxable amount above the lower range.
Tax Percentage	The amount to be considered for annual tax calculation when the employee’s taxable annual salary falls within the range. The amount will be considered till the lower bracket of the range. Tax will be calculated on percentage for taxable amount above the lower range.

Statutory Exemption

The system displays the following in the “Access history” group box:

Effective Period

Use the drop-down list box to access the history with the effective dates.

Enter the following details:

Exemption Code	Use the drop-down list box to select the code identifying the tax exemption applicable for the employee. The drop-down list box contains list of all available exemption codes.
Exemption Amount	The amount exempted for annual tax calculation.

Enter the following details:

Modification Option

Use the drop-down list box to specify the modification option. The combo is loaded with “Select”, “Correct” and “Update”. The system by default displays “Select” on launch of the page.

Correct: The modified details are saved with the current date.
Update: The modified details are updated with the new effective date.

New Effective From

The new effective date of updated records.

Remarks

Any remarks or additional information regarding the tax master setup details.

Note: Modification Option: While modifying you can use one of the two available modification options viz., “Correct” and “Update”. If you choose the Correct option, the changes you make will come into effect in the existing record itself. If you choose the Update option, the system closes the existing version of the record and will create a new record containing the changes you make. You are to specify a new effective date which will become the effective date for the new record.

Click the “Submit” pushbutton.

The system saves the tax master setup details of Philippines statutory employees.