ETP Date Scenarios

ETPs use the following major business rules:

1. Thresholds and rates for ETP calculations must be based on the ETP payment date, and the employee's age and residency status.
2. An ETP must be processed in a pay sequence linked to the same tax year (YTD date range) as the payment date, otherwise payment summaries will not include the ETP.

Valid Scenarios

The following ETP scenario is valid because it follows the business rules:

If ETP thresholds change during the year, then the following scenario is also valid (the second set of thresholds are used):

Invalid Scenarios

The following ETP scenarios are invalid because they do not follow the business rules:

1. ETP payment made in different tax year to ETP calculation and pay processing

   

2. ETP uses old thresholds

   

3. Incorrect ETP payment date

   

Topic: 28036