USC scenario

Path: Payroll documents

USC – unified social contribution.\ In the base, to calculate personal income tax, payroll elements with the USC element type are used. Separate elements for sick leave are required when using various financial accounts to record the USC amounts for sick leave and other accruals. A separate element for the additional accrual of unified social contributions is required through different calculation algorithms.

Features of adding to a payroll document and calculation:
In the calculation type, the USC calculation elements are in the type used in the calculation Always.
All elements with the USC type will always be added to the payroll document within the period of inclusion into the USC database.
The inclusion is determined by the value in the USC Base field on the element card. If the element is included in the base By Accrual Period, for each unique value of the Accrual period having document lines with the Accruals, Bonus element types and included in the USC database, a line will be created in the document for each element.

If the element is included in the base By Period Code, then for each unique Period Code value having document lines with Accrual, Bonus element types and included in the USC base, a line will be created in the document for each element.

The tax base is calculated separately for the general base and for the sick leave base. The difference in rounding, which may occur when the base is split up, is included in the element with the general base. The personal income tax base is calculated from the personal income tax amount each time a line is calculated within the Accrual period value first in the current document, then in the employee’s posted documents, depending on the type of element inclusion in the base:

• By Accrual Period - a line with the element is included in the USC line base for which the value in the Accrual Period From field equals the value of the Accrual Period From field of the element line.

• By Period Code - a line with the element is included in the USC line base for which the value in the Accrual Period From field equals the value of the Period Code field of the element line.

The base is calculated from all bases at once. The rules for inclusion in the USC base are the same as for USC elements. The difference between the USC base and the minimum wage, if it is less than zero, will be the basis for calculating the additional USC. At the end of the calculation, the tax amount is distributed among all lines included in the base. The distribution is used to generate the report. You can view the distribution by clicking the Calculation base details button in the Line menu, after placing the cursor on the line with the USC type.

Note : Please note that the algorithms for calculating an element, selecting a base, detailing the base and other parameters are carried out by element calculations settings and can be changed in accordance with legal or user requirements. In the settings of posting groups, posting groups configured through the Vendor Fund Code – Tax Authority are used for USC.

Note: If several final payroll documents are created for an employee for a period (with the Create Payroll Status Details checker enabled on the HR and Payroll Setup page), in order to correctly calculate the amount of a single contribution, payroll elements must be created automatically by the system without subsequent recalculation by the user.