Managing Taxable Hours Pairs

Taxable Hours Pairs link specific work hours to applicable tax rules, ensuring correct deductions in payroll processing. Proper configuration of these pairs helps maintain compliance with tax regulations and prevents payroll miscalculations. This guide walks you through accessing, creating, editing, and managing taxable hours pairs in XandaPay Enterprise, helping you streamline tax deductions for different work hour types.

Accessing Taxable Hours Pairs

Log in to XandaPay Enterprise.
Navigate to the Payroll menu on the left.
Expand the Tax section.
Click on Taxable Hours to view existing taxable hour pairs.

Understanding the Taxable Hours Pairs List

The displayed list includes key details:

ID – Unique identifier for the taxable hour pair.
Hours Code – The specific code assigned to the taxable hour type.
Tax – The tax rule associated with the hour type.
Country – The country where the taxable hour applies.
Active? – Indicates if the taxable hour pair is currently active.
Start Date – The date from which the taxable hour pair is effective.
End Date – The date until which the taxable hour pair remains valid.

Creating a New Taxable Hours Pair

Click the New Taxable Hours Pairs button at the top.
In the form that appears:
- Select the Hours Type from the list.
- Choose the Tax Rule Code that applies.
- Ensure the Active checkbox is checked if the taxable hour pair should be in use.
- Set the Start Date for when the taxable hour becomes applicable.
- Define an End Date if there is a cutoff for its applicability.
Click Save to create the taxable hour pair.

Editing an Existing Taxable Hours Pair

Locate the taxable hour pair in the list.
Click on the taxable hour pair to open its details.
Modify necessary fields such as:
- Tax Rule Code
- Start Date or End Date
- Active status
Click Save to apply the changes.

Deleting a Taxable Hours Pair

Open the taxable hour pair you want to remove.
Click the Delete button.
Confirm the deletion if prompted.

💡 Tip: If the taxable hour pair might be needed later, consider deactivating it instead of deleting.

Example Use Case: Regular Hours and Social Security Tax

To ensure that Regular Hours (REG) are taxed correctly:

Assign a corresponding tax rule such as SS_EMP - Social Security Employee.
Ensure that the hours type is active for applicable countries.
Set appropriate start and end dates to align with tax policy changes.

Best Practices

✔ Ensure accuracy when pairing taxable hours with tax rules.
✔ Review active taxable hours regularly to comply with regulations.
✔ Use clear codes to differentiate between taxable hour types.
✔ Check start and end dates to prevent incorrect tax calculations.

By effectively managing Taxable Hours Pairs, payroll administrators can ensure accurate tax deductions, reducing compliance risks and payroll processing errors. 🚀