Tax Reporting Units

Use a tax reporting unit to group workers for the purpose of tax and social security calculation and reporting. A tax reporting unit is the Oracle Fusion Human Capital Management (HCM) version of the legal reporting unit in Oracle Fusion Applications.

When you create a legal entity and identify it as a PSU, the application automatically creates an LRU under that legal entity. You can convert this LRU to TRU using the Manage Legal Reporting Unit HCM Information task.

When you create a legal entity and don't identity it as a PSU, the application still automatically creates an LRU under that legal entity. However, you can't convert this LRU to TRU, instead you need to re-create this LRU under a legal entity that you identified as a PSU.