1.4 Define tax details

This topic describes the tax details definition.

Similar to brokerage details, the bank can define the tax details in Oracle Banking Treasury Management. You can Calculate the tax according to the maintained Tax Rules. A tax rule can be defined with the logic required to calculate tax. For every tax rule, you can define the following:

For each tax rule, define the following:

• Tax currency
• Minimum tax amount
• Maximum tax amount
• Floor amount
• Ceiling amount
• Apply a rate or a flat amount
• Basis amount, and so on

Upto six tax rules constitute a tax scheme. When a tax scheme is linked to a product, tax is calculated for deals involving the product according to the tax scheme. Oracle Banking Treasury Managements’ flexible architecture allows the tax waiver applied by default on a deal.