Taxable

Important: You cannot edit this field after you save the allowance.

• Yes

  If this is a paying allowance, then transactions for this allowance are included in the employee’s gross taxable pay. PayGlobal taxes employees at the allowance rate. Taxation is applied in the following order:

  • Taxation override rate

    In the Taxation override combo box, select "Yes" and complete the Taxation override rate. If the Taxation override rate is greater than 0%, then this rate is used.

  • Fixed rate of taxation

    If the Tax rate value on the employee’s Tax tab is greater than zero, then this rate is used.

  • Tax code

    PayGlobal checks the Tax code on the employee’s Tax tab to determine the correct tax rate to use.

• No

  The value of the transaction will not form part of the employee’s gross taxable pay. Examples of paying non-taxable allowances are kilometre allowance, and reimbursements.

Topic: 13216