Earner Premium Taxes

Earner premium tax that is calculated for each pay type, and for each employee, is stored in the New Zealand Tax History Tag Table (F75Z0010). Earner premium tax history is added to the table during the final update step of payroll processing. You can access the history records using the NZ Tax Detail row exit from the Tax History (P070920) program located on menu G07BUSP14.

When an employee has met the annual tax limit for earner premium, a 1 is added to the F75Z0010 EPLMF field. The system uses the EP tax scale information to determine the wage limit, tax rate and annual tax limit when performing calculations.

Note: To create earner premium tax history records for payrolls that were processed before the creation of the F75Z0010 table, a user with payroll authority must run the Create EP Tax History Records program (R75Z0010). After the records are created, you can verify, using the Tax Rules (P75A0004) program, that for Rule Type EP, Input Used 1, that the Level Calc field is set to A. Subsequent payroll runs will properly calculate the Earner Premium tax and verify that the Earner Premium annual tax limit has not been exceeded.

See also:

• Setting Up Employee Tax Information.

• "Setting Up Deductions, Benefits, and Accruals" in the JD Edwards EnterpriseOne Applications Human Capital Management Fundamentals Implementation Guide.