EPay Reference Guide Singapore - Excelity Global · 2018-11-23 · Excelity Global Proprietary &...

EPay Reference Guide

Singapore

Version 1.0

Excelity Global Proprietary & Confidential

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The information contained herein is subject to change without notice and is not warranted to be error-

free. If you find any errors, please report them to us in writing.

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services from third parties. Excelity and its affiliates are not responsible for and expressly disclaim all

warranties of any kind with respect to third party content, products and services. Excelity and its affiliates

will not be responsible for any loss, costs, or damages incurred due to your access to or use of third

party content, products or services.

Team Excelity.

About Excelity Global

Excelity Global is a leading provider of a broad range of services in payroll administration, benefits

administration and human resources management, with over 500+ clients across 20 countries in the

Asia-Pacific region, serviced through its offices in India, Singapore, China, Philippines and Malaysia.

We partner with organizations to solve their human capital challenges by providing tailor made

outsourcing solutions that are delivered with precision. With a committed workforce of 600 employees,

we are constantly challenging the status quo and working behind the scenes to empower the people

business of organizations across the globe.

For more information please reach out to [email protected]

Excelity Headquarters:

Excelity Global Solutions Pvt Ltd

163 Penang Road, Winelands House II,

#08-01, Singapore – 238463

Tel: +6568727668

mailto:[email protected]


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Table of Content

1 Singapore Specific - Reference .......................................................................... 4

1.1 Company Suite ......................................................................................................................... 4

1.2 Statutory Requirements and Statutory Pay Elements – Earnings and Deductions ......... 7

1.3 Employee Master...................................................................................................................... 9

1.4 Pay Element Mapping ............................................................................................................ 16

1.5 Reports .................................................................................................................................... 21

2 Year End ............................................................................................................... 27

3 Singapore – Income Tax .................................................................................... 37

3.1 Personal Income Tax Rates .................................................................................................. 37

3.2 Personal Tax for Singapore Residents ................................................................................ 38

3.3 Personal Tax for Singapore Non-Residents........................................................................ 39

3.4 Filing Personal Income Tax Returns .................................................................................... 39


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1 Singapore Specific - Reference

1.1 Company Suite

The database in EPay is grouped in different suites for easier and efficient data management. The

“Company Suite” has a company specific data that is essential during payroll processing.

The following is the access path:

Company Suite > Legal Entity

A “Legal Entity” is an individual or an organization that can enter into any legal contracts or agreements.

The screen enables the user to enter the mandatory information related to the Legal Entities within the

company, such as its name and location.

The following is the description of each field:

Field Name Description

Entity Code A unique code used to identify the new Legal

Entity.

Entity Name The name of the Legal Entity.

Database Status It defines the current status of the database for

the new company.


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Select any one of the following:

• T - Transition

• O - Operating

• X - Terminated

If T - Transition is selected, the Consider Input

field is enabled.

If O - Operating and X - Terminated are

selected, the Consider Input field is disabled.

Consider Input The following can be checked only if T –

Transition is selected in the Database Status field

• Recurring

• Non-Recurring

• Adjustment

Corporation Name The Corporation Name “U_20032” must be

entered.

Corporation Logo Path This field gives the information on where the

Corporation Logo is stored on the server to

access the same for all the reports.

Office Address1 This field provides the address of the Legal

Entity.

Office Address2 This field provides the additional address of the

Legal Entity.

Office Address3 This field provides the additional address of the

Legal Entity.

State This field provides the state name of the Legal

Entity

Postal Code This field provides the post office code for the

Legal Entity.

Fax The fax number of the Legal Entity being created.

Client Business This field specifies the Business of this legal

entity.

Inactive Date Specifies the date form which the company is

inactive from Excelity Global

VCSN (Voluntary CPF Submission No) This field provides the VCSN Number


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Organization ID This field provides the organization ID

Client Since Date Specifies the date from which the company is

associated with Excelity Global.

Corporation Code The Corporation Code “20032” must be entered.

City This field specifies city’s name of the Legal Entity.

Country Specifies Country name of the Legal Entity

Contact Name Specifies the Name of the contact person of the

Legal Entity.

Phone This field specifies the contact number of the

Legal Entity.

CPF Sector

Select any one from the following:

• OTH - Others

• PVT - Private

• PUB - Public

• GOV- Government

CNS (CPF Submission No) This field provides the CPF Submission Number

Organization Id type Select any one from the following:

• A - ASGD IRAS Assgd Tax

• I – ITR IRAS Assfd Inco

• U – Others

• 7 – Registrar of Business

• 8 – Registrar of Company

UEN ( Unique Entity Number ) This field provides the UEN Number


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1.2 Statutory Requirements and Statutory Pay Elements – Earnings

and Deductions

In EPay , the pay components of an employee’s salary are termed as Pay Elements and the process

of linking related data in a database is termed as mapping.

The Pay Suite section in EPay enables the user to define and map the different Pay Elements used

during the various stages of payroll processing. A Pay Element can be an earning, or a deduction made

to the salary of an employee.

Any pay elements that impacts statutory computations, such as CPF, CDAC, SINDA etc have to be

mapped under wage code using respective wage types.

Also, the pay elements which forms part of Year-end forms (IR8A) needs to be mapped using wage

code under respective wage types


Pay Suite > Assign Pay Elements/Attendance Types to Wage Code

The following is the description of each field:

Effective Date: Specifies the effective date of Pay element mapping to wage code

Element Type: Specifies the pay element

Seq.No: Specifies the sequence of the pay element.

Element: Specifies the pay element code for which the pay element is mapped

Add / Deduct: Specifies to add or deduct the pay element


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Amount considered: Specifies Arrear amount / Actual amount / Paid amount

Prorate: specifies whether the pay element to be considered or not to consider for proration.

Category Base Wage Code Output Pay

Element (If Any)

Remark

Central Provident Fund

Provident Fund CPF_AW- Additional Wage

CPFEE Borne by Employer

Central Provident Fund

Provident Fund CPF_OW- Ordinary Wage

CPFER Borne by Employer

Mosque Big

Every working Muslim employee regardless foreign worker or Permanent residents are to contribute to the community. If the employee is Indian Muslim both the donation SIDAC and MBMF should be deducted.

MB_TW- MB Total Wage

MBFD Borne by Employee

Mendaki

Every working Muslim employee regardless foreign worker or Permanent residents are to contribute to the community. If the employee is Indian Muslim both the donation SIDAC and MBMF should be deducted.

MF_TW_MF MFFD Borne by Employee

Chinese Development Assistance

Applicable only for Local Employees with the Race Chinese.

CDAC_TW – Total Wage

CDAC Borne by Employee

Spore Indian Development Association

This deduction will be done for the Indian employee who are working in Singapore as the permanent residence.

SINDA _TW –Total Wages

SINDA Borne by Employee

Eurasian Community Fund

This deduction is done for Eurasians who are SG citizens

ECF_TW- Total Wages

ECF Borne by Employee

SDL- Skill Development Levy

This deduction is applicable for all employees in SG

SDL_TW-Total Wages

SDL Borne by Employee

VCPF – Voluntry CPF

CPF_AW- Additional Wage

VCPF EE/ ER Borne by both Employee & Employer


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1.3 Employee Master

EPay allows employee master creation by capturing related fields of employees in Singapore


Human Resource Suite > Maintain Employee > Personal > Job Status > Dates > Singapore

Specific > Bank Details > Client Specifics > other documents.

The following are four tabs in the employee master page:

1. Personal: This screen provides all the personal information about the employee. It enables

the user to create/modify/view personal details of an employee. The screenshot is as shown

below:

In the above screenshot, the field “Residential Status” specifies the residential status of an

employee. Select the required value from the drop-down. Below are the few standard values

• SC – Singapore Citizen

• SPR – Singapore Permanent Resident

• FOR – Foreigner

• MC – Malaysian Citizen

• NR – Non Resident

• PR – Malaysian Permanent Resident


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2. Job Status: This screen enables the user to enter details pertaining to employee’s job status

as per HR records. The screenshot is as shown below:

3. Dates: It enables user to maintain dates about an employee, such as Date of Joining, Date of

Birth, Resignation Date, and so on. The screenshot is as shown below:


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4. Singapore Specific: This tab enables the user to maintain the Singapore specific information

related to the employee. The screenshot is as shown below:

Field Name Description Format of input information

Effective Date

The date from which the

employee record will be

effective in EPay System.

[Effective date for new joiner will

be updated in “Dates” tab.]

DD/MM/YYYY

Employee Id Type

It specifies the employee Id

Select one of the following from

the options:

• NRIC - (For Singapore

Citizen and Permanent

resident)

• FIN / WP – (For

Foreigner)


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SPR Start Date

It specifies the employee’s

Effective start date of

Permanent Resident status for

CPF computation

DD/MM/YYYY

SPR CPF Rate

It specifies the CPF Rate


the drop-down:

• GG – Fully Gratutated

• FG – ER - Full and EE –

Graduated

• FF – ER – Full and EE –

Full (SC)

Issue Date

This field specifies the

Foreigner work permit issue

date

DD/MM/YYYY

Expiry Date

Foreigner work permit expiry

date

DD/MM/YYYY

Cancellation Date

To stop foreigner worker levy

computation indicate

cancellation date, system

computation will be till 1 day

prior to cancellation date

DD/MM/YYYY

Staff Type Client specific – Optional

Stop Pay To Date This field specifies Stop Pay To

Date

DD/MM/YYYY

Opted for FWL

It specifies if an employee has

opted for Foreign Worker Levy


the drop-down:

• Y - Yes

• N - No

VCPF Start Date

It specifies the date from which

VCPF will be effective.

DD/MM/YYYY

Opted for CDAC It specifies if an employee has

opted for CDAC.


the drop-down:

• Y - Yes

• N - No


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Opted for SINDA It specifies if an employee has

opted for SINDA.


the drop-down:

• Y - Yes

• N - No

Opted for MENDAKI It specifies if an employee has

opted for SINDA.


the drop-down:

• Y - Yes

• N - No

Opted for ECF It specifies if an employee has

opted for ECF.


the drop-down:

• Y - Yes

• N - No

FWL Type It specifies FWL Type Select one of the following from

the drop-down:

SP – S pass

WPH – Work Permit Holder

TRN – Trainee

LOC – Letter of Consent

PEP - Personalized

Employment Pass

TEP – Training Employment

Pass

DP – Dependent Pass

FWL computation applicable

only for WPH & SPASS

Worker category It specifies the category of the

employees


the drop-down:

01- Const.Higher skilled

(MYE)

02- Const. Basic Skilled

(MYE)

03- Const.Experience Skilled

Employee Type It specifies the Employee Type Not used optional


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Stop Pay From Date It specifies the date from when

the payment should be stopped

DD/MM/YYYY

During Stop Pay Consider

Adjustment

It specifies Stop Pay Consider

Adjustment


the drop-down:

• Y - Yes

• N - No

VCPF Type It specifies the type of VCPF

EE, if only employee

contribution applicable

ER, if only employer

contribution applicable

EER, For both Employee &

Employer contribution


the drop-down:

EE - EE VCPF

ER - ER VCPF

EER - EER VCPF

NA - Not Applicable

VCPF Adjustment Operator It specifies the VCPF

adjustment type / operator


the drop-down:

A - Add

S – Subtract

R - Replace

5. Bank Details: This screen enables the following:

Field Name Description

Effective Date The date from which the new employee will

be effective in the organization.

Transaction Type This specifies the transaction type. By default

it will be SAL(Salary)

Bank Code This specifies the bank code to which the

salary of the employee.

Branch Code This field specifies lists of branches for the

bank selected. It specifies the branch to

which the salary is to be credited.


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Unicode Branch This field specifies the Unicode of the

branch.

Account Number This field specifies the employee’s account

number.

Name in Account This field specifies the name in the account.

Account Type This field specifies the type of account, for

example, savings account or current

account.

Mode of Payment This field specifies the mode of payment by

which the employee will receive the salary,

that is, through Cheque, bank transfer, or

DD.

Payable Location This specifies the location at which the salary

of an employee is paid.

Currency This field specifies the currency used for

bank transaction.

Split Type This specifies the split type of the bank. For

Split option is not used in SG currently

Swift Code

This field specifies the swift code of the bank

in Singapore. Swift code may need to

maintain, if this needs to be used in bank file,

otherwise bank code would suffice


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1.4 Pay Element Mapping

In EPay, the pay components of an employee’s salary are termed as Pay Elements and the process of

linking related data in a database is termed as mapping.

The Pay Suite section in EPay enables the user to define and map the different Pay Elements used

during the various stages of payroll processing. A Pay Element can be an earning, or a deduction made

to the salary of an employee.

Any pay elements that impacts statutory computations, such as CPF, CDAC, SINDA etc have to be

mapped under wage code using respective wage types.

Also, the pay elements which forms part of Year-end forms (IR8A) needs to be mapped using wage

code under respective wage types

Define Pay Elements

Define Pay Elements section in EPay enables the user to define and map the different Pay Elements

used during the various stages of payroll processing. A Pay Element can be an earning, or a deduction

made to the salary of an employee.


Pay suite > Define Pay Element

1. General:

Define Pay Elements – General tab

Select the applicable ‘Pay Head Code’, based on the ‘Pay Head Code’ selected:

-The ‘Pay Head Description’ field is auto populated.

-The ‘Pay Elements Codes’ grouped under the selected ‘Pay Head Code’ is listed.


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Enter the mandatory information in all the four tabs; General Tab, Process Tab, Reports Tab,

and Global Tab. The ‘General’ tab enables the user to define the ‘Effective from Date’ and

‘Effective To’ date of a ‘Pay Element’. The ‘General’ tab is displayed as default when the

‘Define Pay Elements’ screen is accessed

Note: “Effective From date” and “Input date” should be same.

2. Process :

Define Pay Elements- Process tab

The “Process” tab enables the user to define the different processes in which the Pay Element will be involved in during the payroll process, such as whether the ‘Pay Element’ will be included in payroll, whether it will be considered for unpaid leave, whether it is eligible for arrears, etc.


Pay suite > Define Pay Element > Process

Calculation Sequence: Defines the sequence in which the Pay Element will be calculated.

This is an important attribute when you have dependent pay elements (like in formulas and arrear pay

elements) The calculation sequence of dependent pay elements should be lesser than the depending

pay elements.

Include in Payroll: Defines if the ‘Pay Element’ should be included or excluded during payroll processing.

By default, all ‘Pay Elements’ are included in the Payroll processing.

Processing Type: Specifies if the Pay Element processing will be ‘Recurring’ or ‘Non-Recurring’ in nature.

If a Pay Element is ‘Recurring’, it will be processed in every Pay Cycle.


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‘Non-recurring’ Pay Elements will not be processed every month, but only during specific pay cycles.

Prorate: Specifies if the Pay Element value is prorated.

Proration is calculated if the Date of Joining (DOJ) or Date of Leaving (DOL) or Salary Change of an employee happened in a mid-date of a month.

Only for a recurring Pay Element, prorate can be ‘Yes’. Non Recurring Pay Elements won’t prorate except Attendance Category pay elements.

Considered for Unpaid Leave: Specifies if the Pay Element is to be included in the deductions for Loss of Pay.

Type of Proration: Specifies whether the Proration is based on Calendar days, fixed days or Working Days.

Note:

▪ If Proration applicable at pay element level, Prorate has to be Set to “Yes”

▪ Proration will happen basis the data maintained in employee master, i.e. Days fixed and no of work days.

Working days = Calendar days – Weekly off

Number of Working Days: If Type of Proration = ‘F-Fixed Days’ or ‘V-Working Day’ this field is enabled.

If Type of Proration = ‘V-Working Day’, this field has a drop-down list and user can select an option.

If Type of Proration = ‘F-Fixed Days’, the user can enter a number in this field.

Rounding Type: Specifies if rounding should be applied to the Pay Element value.

There are four options available:

RND – Nearest rounding. The decimal is rounded to the nearest value. (5.4 = 5 and 5.6 = 6)

PRV – Round Up. The decimal is rounded to the previous integer (5.6 = 5)

NXT – Round Down. The decimal is rounded to the next integer. (5.6 = 6. 5.4 = 5)

NA – The decimal is kept as it is and no rounding is done

Category: Defines the category of the Pay Element like General (GEN), Attendance (ATTN)

Payment: Specifies if the Pay Element should be paid to the employee or not, if the Pay Element is to

be paid to the employee select Yes, if not select No. Select Adjustment if the Pay Element is given as

an adjustment.

Split: Refers to splitting the payment of Pay Elements given to the employees

Example: If the bonus amount to be paid to an employee is SGD 200 the amount will be split over 4 months. Specifies if the Pay Element amount is considered for split. If ‘Split’ is applicable select ‘Yes’. The ‘Add Split Setup’ window opens where the split setup is defined.

Arrears Eligible: Specifies if retro calculations are applicable for the Pay Element.

If the value of this field is ‘Yes’, the retro calculates are applicable if information is available.

Value Type: Defines the value of the Pay Element. Fixed = Value provided as an input by the client.

Formula = Value obtained after calculations using formulas.

Formula Code: This field enables the user to select a formula used to calculate the Pay Element.

The drop-down list contains predefined formula codes built using the Formula Builder


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Formula Pay Element Value: This field determines if the value of the Pay Element, used in formulas during calculations, considers the actual value of the Pay Element or the paid value of the Pay Element.

Input Currency: Specifies default input currency for the Pay Element.

Rounding Value: Number to which the Pay Element should be rounded to

If the ‘Rounding Type’ is ‘NA-No Rounding’, this field is disabled. For ‘Rounding Type’ RND, PRV, NXT,

this field is enabled and a value can be selected from the drop-down list ……………………………..

Percentage: Indicate the percentage of amount to be paid against this pay element. The default value

is 100%

3. Reports

Define Pay Elements – Reports tab

The ‘Reports’ tab enables the user to enter ‘Pay Element’ information related to reports, such as whether the ‘Pay Element’ created will be displayed in the Pay slip, the Pay slip print description, etc.

In the ‘Reports’ tab of the Define Pay Elements screen:

• Enter the required information in the respective fields.

• Click ‘Save’ to save the information


Pay suite > Define Pay Element > Reports


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4. Global

Define Pay Elements – Global tab

This screen enables the user to define the Pay Element’s connection to a Statutory Element, if any, such as:

• is the Pay Element connected to a Statutory Element

• is the Pay Element connected to an any Statutory Element Output

• is the Pay Element included in any computation and re-computation of the Statutory Element

Note: The global tab changes are done by the Operations team. These are mainly related to statutory details and are available only for creation. Details once entered cannot be modified using the screen.

To add information in the ‘Global’ tab:


• Click ‘Save’ to save the information.

Note: All statutory components can be configured via this Tab

Field description (Define Pay Elements – Global tab):

Connected to Statutory Element: This field lists the Statutory Elements defined at the Company Level. The user selects the Statutory Element connected to the Pay Element being defined.

Compute Statutory Element: The user specifies if the Statutory Element needs to be computed.

If ‘Yes’ then the process of computation of the Statutory Element will take place.

Re Compute Statutory Element: In EPay the statutory elements are automatically recalculated at the end of the year, i.e. in the month of December.

Recalculation of the stat elements can also be done in any other month as defined in the GLTB_STAT_ELEMENT_DEFN table.

The system will check for the date on which the recalculation should take place in this table and recalculate accordingly.


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It is ‘No’ by default.

If ‘Re Compute Statutory Element’ = No – the statutory elements are automatically recalculated at the end of the year.

If ‘Re Compute Statutory Element’ = Yes – the system will check for the date on which the

recalculation should be done recalculate accordingly.

Connected to Statutory Element Output: Specifies if the Pay Element is connected to the output of the Statutory Element. Select the applicable Pay Element from the list.

1.5 Reports

The final output delivered to the client using the ‘Reports’ module is termed as a Report. The ‘Reports’

Module, within the application EPay, enables the user to generate files in any of the following formats:

• . txt

• . pdf

• . xls

There are basically three types of reports generated:

Standard Report: These are standard reports and the formats of these reports designed to meet all clients’ needs. The Standard Reports include general reports (Salary Register, Variance Report, Employee Pay Slip, Bank File), which will have common look & feel to all clients.

Statutory Report: The formats of these reports are specified by the statutory bodies. These reports are statutory in nature,

Customized Reports: These are company-specific reports and the formats of these reports are specified by the company.

Adhoc Reporting Tool: This is use do design and generate the required report.

Reports / Interfaces > Adhoc Reporting Tool


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Report ID: Specifies the sequence of the reports generated.

Report Name: Specifies the name of the reports generated.

File Type: Used to View or download the generated reports.

Modified date: Specifies the date of modification

Created By: Specifies the code for created by

Delete: Used to delete the reports which are not required

Design New Report:

To design the customized report Select Design New Report

Select the required header and select and drag the required fields from the dropdown. Save the report

And click on the File type to generate the report.


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Click the Excel icon to view the generated report

SG_PEs_20032

(3).xlsx

Employee Variance:

The ‘Employee Variance’ report is generated to show the difference in the Employee Pay Element values between two processing periods, i.e. a current pay period and the previous pay period. The user selects the current and previous periods for which the report is to be generated.

The user can select individual employees and Pay Elements or can select all employees and all the Pay Elements.

The ‘Employee Variance’ report can be generated for the same period for different process types.

To generate an Employee Variance report:

• Access the ‘Employee Variance’ screen.

Reports/Interfaces >> Standard Reports >> Employee Variance


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• Click ‘Submit’, the ‘View Report Request’ screen is displayed.

• Click ‘View File’ to open or save the report.

Salary Register by Reporting Level (Excel):

This report gives a detailed account of all the employees and their salary details, such as, employee name, employee ID, hire date, termination date, and details about the Pay Elements that are included in the employee’s Pay Slip or all the Pay Elements mapped to an employee. This report shows the values of salary earnings, salary deductions, gross earnings, gross reductions, and net salaries of the employees.

This screen enables the user to select the order of how the columns in the report will be displayed. For example, if the user selects the first column as Cost Centre and the second one as Employee Category, in the report generated the first column displayed after the Pay Group will be Cost Centre and second column will be Employee Category as selected by the user.

This screen also enables the user to generate the required Sub Total report depending on the different Levels selected, i.e. Level 1, 2, or 3. Based on the levels selected the Sub Totals report will be grouped and displayed.


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To generate the Salary Register By Reporting Level report:

• Access the Salary Register By Reporting Level screen.

Reports/Interfaces >> Standard Report >> Salary Register By Reporting Level (Excel)


• Click ‘Save & Generate Report’ to generate the Salary Register report. The View Report Request screen is displayed. Click “Refresh” to view the report status.

Employee Pay Slip:

The ‘Pay Slip’ is a report that is generated to display the various pay components paid to an employee along with other significant salary details. The user selects if the Pay Slip is to be generated for all employees belonging to the Pay Group or if it should be generated for a single employee.

The Pay Slip can display a message for employees based on the text typed in the Message field for e.g. ‘Remarks: Refund/Shortfall Applicable’

To generate an Employee Pay slip report:

• Access the ‘Employee Pay slip’.

Reports/Interfaces >> Standard Reports >> Employee Pay Slip


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• Click ‘Submit’ to generate a Pay slip.

• The Pay slip would be displayed in a pdf format

Pay Element Detail Report:

The ‘Pay Elements Details’ report shows the details of all the Pay Elements created, such as what are

the Pay Elements created, when were they created, the Effective From Date, Effective To Date of the different Pay Elements, the Pay Element description, Pay Element Code etc.

PayElements Report

Sample.xls


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2 Year End

Year End Process Flow:

User must generate the Year End report and provide client for their onward filing with statutory board.

User should follow the below yearend report generation process.


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Year End Process:

Enter the Active statutory year code and select the Pay Group and Submit.

Reports set up includes

Authorized signatory- Tax

Employee Tax Details

Entity Tax Details

Each time, when the data is amended for the Employee details, Authorized Signatory - Tax, Employee Tax details, Entity tax details, the Year End Data Generation must be generated again for the system to populate the data for the Yearend tax reports.

Year End > Report set Up > Authorized Signatory – Tax


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Employee Tax Details:

Year End > Report set up >Employee Tax Details

Note:

This is applicable if the Employee tax details differs from the values entered at the Entity Tax details screen.

Do not enter the Tax Borne by Employer, Tax Borne by Employer indicator, and Value of Tax Borne by Employer as these will apply to All Staff which is not realistic. Enhancements will be made to make these 3 fields non-editable at the Entity Tax Detail screen.

If one has many entries to enter for Employee Tax Details, then one can use the Excel file upload template to do so.


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Entity Tax Details:

Year End > Report set up > Entity Tax Details

Year End Data Generation:

Year End > Year End Data Generation


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Statutory Reports/ Interface:

Year End > Statutory Reports Inter face

This is use to download the following statutory reports for checking.

▪ IR8A / IRBS

▪ Appendix 8A

▪ Appendix 8B

▪ IRAs Line

▪ E-Tax

Note: Spool YTD History Tax Signal report or the Table wise IR8A report for checking

Check the values in the Year End Tax reports against the YTD History Signal report;

Reports/ Interfaces => Standard Reports. / YTD History Tax Signal Report

Key Points

• The wage code mapping must be correct, as the YTD History Signal report is dependent on the wage code mapping;

• Once the Year End Tax reports are checked, Operations staff can release the YTD report (not the YTD History Signal report) and the Yearend tax reports to client, upon Team Lead’s confirmation.

• Any changes (eg made at Crimson logic) – remember to update the EPAY data;


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IR8A / IR8S:

• The IR8A is a "Return of Employee's Remuneration." It is provided to employees by their employer and supplies the information necessary to complete the employee's income tax return.

• IR8S issued by the employer relating to employee income for the preceding year.

• Enter the relevant details and submit.

Click on the Icon to view IR8A


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▪ Appendix 8A

Click on the Icon to view Appendix 8A

▪ Appendix 8B

Click on the Icon to view Appendix 8B

APPENDIX 8B.doc


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▪ IRAS Line

This is used to generate the text file for filing via Crimson Logic.

Enter the details and submit


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Click on the icon to view the text file

U_20032_154027475

5857.zip

▪ E- Tax

This screen is used to generate the text file for filing via IRA’s website.

▪ Open/Close Tax Period

This is used for switching the year with respect to the Delta change, if any.


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Switching back to Dec 2017 if you are currently in the period of Jan 2018 (new calendar year)

Example currently in Jan 2018, YA2018 is for Year ended 31 Dec 2017

If you are currently processing Jan 2017, and wished to switch back to Dec 2016 to do the Year end processing, you can switch – via the following steps.

Year End Process => Year End Process => Open/ Close Tax Period

When you need to process Jan 2017 payroll, to use the same function to toggle back to Jan 2017.

NOTE:

▪ Check with Team Lead; for some clients, toggling between years is not applicable as there is a separate set of dataset – especially setup for production Year End tax reporting.

▪ Also note that there may be implications of switching the year with respect to the Delta change, if any.


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3 Singapore – Income Tax

Personal income tax rate in Singapore is one of the lowest in the world. In order to determine the Singapore income tax liability of an individual, you need to first determine the tax residency and amount of chargeable income and then apply the progressive resident tax rate to it. Key points of Singapore income tax for individuals include:

• Singapore follows a progressive resident tax rate starting at 0% and ending at 22% above S$320,000.

• There is no capital gain or inheritance tax.

• Individuals are taxed only on the income earned in Singapore. The income earned by individuals while working overseas is not subject to taxation barring a few exceptions.

• Tax rules differ based on the tax residency of the individual.

• Tax filing due date for individuals is April 15 of each year. Income tax is assessed based on a preceding year basis.

3.1 Personal Income Tax Rates

Individuals resident in Singapore are taxed on a progressive resident tax rate as listed below. Filing of personal tax return for tax resident is mandatory if your annual income is S$22,000 or more. Tax residents do not need to pay tax if your annual income is less than S$22,000. However, you may still need to file a tax return if you have been informed by Singapore tax authority to submit your tax return.

Chargeable Income Rate (%) Gross Tax Payable ($)

On the first 20,000

On the next 10,000

0

2

0

200

On the first 30,000

On the next 10,000

-

3.50

200

350

On the first 40,000

On the next 40,000

-

7

550

2,800

On the first 80,000

On the next 40,000

-

11.5

3,350

4,600

On the first 120,000

On the next 40,000

-

15

7,950

6,000


On the next 40,000

-

18

13,950

7,200


On the next 40,000

-

19

21,150

7,600


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On the next 40,000

-

19.5

28,750

7,800


On the next 40,000

-

20

36,550

8,000


In excess of 320,000

-

22

44,550

Note: Different income tax rules apply in Singapore depending on the tax residency status of the

individual.

3.2 Personal Tax for Singapore Residents

You are considered a tax resident if you are:

• a Singaporean

• a Singapore Permanent Resident and have established your permanent home in Singapore

• a foreigner who has stayed or worked in Singapore for 183 days or more in the tax year

Tax residents pay taxes on their chargeable income as per the resident tax rate table above. The chargeable income (i.e. income subject to taxation) for tax residents is determined as below:

Particulars Amount

Total Income ******

Less : Expenses ******

Statutory income ******

Less : Donation ******

Assessable income ******

Less : Personal Reliefs ******

Chargeable Income ******

Whereas

• Total income means

a. Gains or profits from carrying on any business, trade, profession or vocation either as a sole proprietor or partner in a partnership

b. Gains or profits from any employment c. Dividends, interests, investment income d. Rents, royalties, premiums and other profits arising from properties e. Exclude qualified income earned overseas (more details provided later in the guide).

• Expenses means


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a. qualified employment related expenses b. qualified rental related expenses

• Donations means - Donations to qualified charitable organizations

• Personal Reliefs means - Special personal reliefs such as eligible course fees, earned income relief, parent relief etc.

• Chargeable income is this adjusted income after deductions from the total income (as shown in the picture above).

3.3 Personal Tax for Singapore Non-Residents

You are considered a non-resident for tax purpose if you are a foreigner who stayed or worked in Singapore for less than 183 days in the tax year. As a non-resident, you will be taxed as below:

• Your employment income is exempted from tax if you are here on short-term employment for 60 days or less in a year. This exemption does not apply if you are a director of a company, a public entertainer or exercising a profession in Singapore. Professionals include foreign experts, foreign speakers, queen’s counsels, consultants, trainers, coaches etc.

• If you are in Singapore for 61-182 days in a year, you will be taxed on all income earned in Singapore. You may claim expenses and donations to save tax. However, you are not eligible to claim personal reliefs. Your employment income is taxed at 15% or the progressive resident tax rate (see rate table above), whichever gives rise to a higher tax amount.

• Director fees and remuneration, consultant fees and all other incomes are taxed at a range of 15% to 22%.

3.4 Filing Personal Income Tax Returns

• Filing your tax return is a yearly obligation for every eligible taxpayer. All completed forms must be submitted to Singapore tax authority by the 15th of April. You do not need to pay tax if your annual income (applicable for tax residents only) is less than S$22,000. However, you may still need to file returns if you have been informed by tax authority to submit your tax form. Even if you do not have any income in previous years, you still need to declare zero income in your tax form and submit by 15 April (paper) or 18 April (e-filing). It is compulsory for you to file tax returns if your annual income is S$22,000 or more. You can choose to file your returns online or by mail. IRAS will send you the appropriate paper tax form, upon request, the online form will be available from 1 March every year.

• For tax resident individuals – Form B1

• For self-employed – Form B

• For non-resident individuals – Form M


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Note:

You will be subject to penalties for late filing or not filing. IRAS might also take legal actions against the individual for non-filing of tax return or non-payment of the tax. After you have filed your returns, you will receive your Notice of Assessment or tax bill in May to September. The tax bill will indicate the amount of tax you have to pay. If you disagree with your tax amount, you need to inform the Singapore tax authority within 30 days from the date of your tax bill and state your reasons for objection. You need to pay the full amount of tax within 30 days of receiving your Notice of Assessment. This is regardless of whether you have informed tax authority about your objection. If your tax remains outstanding after 30 days, penalties will be imposed.

EPay Reference Guide Singapore - Excelity Global · 2018-11-23 · Excelity Global Proprietary &...

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