How does Taxation module work?

Overview

Backstage Taxation module enables you to prepare tax form IR56E, IR56B, IR56F, IR56G and IR56M to staffs, and also make use of these result in Taxation modules. The key records in this module are:

• IR56E: For Commencement of Employment
• IR56B: For Employees Still Under Employment as at 31 March
• IR56F Batch: For Cessation of Employment
• IR56G: For Employee who ceased Employment and is about to leave Hong Kong
• IR56M: For Persons Other Than Employees, e.g consultants or agents who remuneration is in excess of $25,000, or sub-contractors who remuneration is in excess of $200,000 for the year before 30 March. Please disable "Require Tax Filing?" in the staff placement profile.

Get Ready for using Taxation module

1. Inputting Company Tax information

The first step of using the Taxation Module is to input the company information in the system.

• Go to Master Data->Organization->Parent Organization(with "TOP" beside)
• Input the Tax File Number(e.g 6G1-12345678), Tax Name(the person who sign the tax form), Tax Designation(Title of the person)

2. Inputting the Staff Information

Then you need to input or update the Employees' personal information

• Go to Staff->Applicant to check the staff personal information, e.g HKID, Address, Marital Status
• Go to Staff->Placement to check the staff job information, e.g Join date, Position, and if "Require Tax Filing?" is enabled

3. Setup/Review Payroll formula

• Go to Payroll->Job Order Template and Review if the Pay types are correctly configured on whether it is taxable with proper tax category

4. Post the Payroll Batch

• Go to Payroll->Payroll Batch and create, check and post the batch from last April to March 

==>Now you can go to IR56B/IR56F Batch/IR56E/IR56G/IR56M and generate the tax form!