Additional tax option in Employee set up not calculating

  • 1
  • Question
  • Updated 8 months ago
  • Answered
I've got an employee that wants to pay additional tax and I've put the additional tax percentage in as required but it isn't calculating in the pay run. Any ideas as to where I've gone wrong? 
Photo of Meryl Bryan

Meryl Bryan

  • 72 Points

Posted 8 months ago

  • 1
Photo of jennifer byrne

jennifer byrne

  • 230 Points 100 badge 2x thumb
Go into employees centre, click on the employee, then click on payroll and compensation, then taxes and you will see a box for extra tax, just put an amount in there and Reckon will take out extra every pay run. If it is a percentage not sure. That person may just have to nominate an amount
Photo of Reckon FAQs

Reckon FAQs, Employee

  • 10,138 Points 10k badge 2x thumb
Welcome to the Reckon Community, Meryl.

The operation of the Extra Tax field is configured according to ATO instructions.  When a percentage is entered, Reckon One will compare it to the selected Tax Scale and use the higher rate.  

You should only opt for a lower tax rate on a written instruction from the ATO, and then select the Tax Scale Voluntary/Flat rate.

Otherwise, only an Amount entered in the Extra Tax field will be processed.  

Hope this helps.