Tax Reporting Units

Tax reporting units (TRU's) represent a legal entity for tax and social insurance reporting in legislations such as the US and UK.

You can assign a TRU to a worker using the payroll region on the new hire flow. Alternatively, you can associate a TRU on the statutory deduction calculation card of the worker.

Tax Reporting Across Multiple Assignments

The application uses TRU's to group the assignments of a worker for tax and social insurance reporting.

For example, Softgear Cars operates several car dealerships in the UK. They have a single legal entity responsible for employing and paying workers across all their dealerships. Sophie works part-time at two Softgear Cars showrooms. She has two assignments to capture information for each role such as showroom location and line manager details.

Both of Sophie's assignments are associated to the same TRU. Therefore, when the weekly payroll is processed, the application consolidates her earnings from both the assignments for tax and social insurance purposes.