===== Solidarity Levy (Tax on Tax)=====

Tax on Tax for Solidarity Levy is applicable when Solidarity Levy is paid by the employer for the employee

===== Prerequisites for Tax on Tax for Solidarity Levy ===== 

  *  (1) Activate Tax on Tax flag through Employee EDF
  *  (2) Insert Solidarity Levy Er pdcode through Employee's Payments & Deductions **//(__The Solidarity Levy Er pdcode is automatically generated by the system in the payments & deductions list__)//**

===== How to activate Tax on Tax flag through Employee EDF =====

<fc #ff0000>**//To activate the Tax on Tax flag, Sicorax HRMS Payroll requires you to insert a new EDF record. Though the new EDF record does not mean that the employee has submitted a new EDF but it's purpose is only to add a new information to the existing EDF record //**</fc>

  *  Step 1: Go to Payroll

  *  Step 2: Monthly Procedures

  *  Step 3: EDF

  *  Step 4: Filter the employee record

  *  Step 5: Add a new line/record

  *  Step 6: Insert the date for Submitted Form On

  *  Step 7: Activate Tax on Tax flag (Once the Tax on Tax flag is activated, the tax on tax factor will automatically appear in column Tax on Tax Factor)

  *  Step 8: <fc #ff0000>**//Insert all the necessary existing EDF details such as Total Exemption and activate any existing flags (if any) as per the previous EDF record //**</fc>

{{:spay:hrmsprocguide:hrms_employee_edf_tax_on_tax_flag1.png|}}

===== How to record Solidarity Levy Er pdcode through Employee's Payments&Deductions =====

  *  Step 1: Go to Payroll

  *  Step 2: Monthly Procedures

  *  Step 3: Payments&Deductions

  *  Step 4: Filter the employee record

  *  Step 5: Add a new line/record

  *  Step 6: Insert a new transaction as shown below **//(__The Solidarity Levy Er pdcode is automatically generated by the system in the payments & deductions list__)//**

{{:spay:hrmsprocguide:hrms_employee_payded_sl_er.png|}}


===== How to verify Tax on Tax/Tax Benefit calculation for Solidarity Levy =====

  *  Step 1: Perform Payroll Calculation

  *  Step 2: Click Checklist

  *  Step 3: Double-Click Solidarity Levy Calculation Slip

  *  Step 4: Click Preview

{{:spay:hrmsprocguide:spay_sl_calc_slip_tax_benefit1.png|}}


**//(__Please note that we have been provided with the Tax on Tax Benefit formula/factor by the MRA as per below__)//**

{{:spay:hrmsprocguide:mra_sl_tax_on_tax_formula.png|}}

You will also find below an illustration of the PAYE Calculation Slip showing the Tax on Tax/Tax Benefit calculation

{{:spay:hrmsprocguide:spay_paye_calc_slip_tax_benefit1.png|}}