Income from other source in SAP HCM

Hi,

Sometime you will see unexpected Income Tax calculation for few employees bu standard SAP system. Reason can be different_

one of the reason behind this is income maintained in IT-584 under ” Unspecified income” head. System will deduct flat 30% tax on this income even if the income is less then 2.5 lac rs.

Ex: A sample case the shown below where total income is 58230 ans system has calculated 103 as income tax, the Q is how?

In this case user has maintained 7000 rs. in IT584 under “Unspecified income” head, and even income is 58230 system has calculated tax as 2100 ( 30% of 7000 )

Tax = 2100

Tax credit = 2000

total tax = 2100 – 2000 = 100

Tax payable = 103 ( Adding edu cess and she cess )

Thanks,

Gaurav Sharma