On Fri, Oct 28, 2011 at 4:53 AM, Thomas Bullock <tbull...@nd.edu> wrote: > Chris, > > My experience is with US payroll only. That is, I don't know what European, > Australian, and other country methods of handling payroll require. > > In the US there are different types of income an individual is taxable on. > For example, interest, dividends, royalties, prizes, awards, lottery > winnings, fees company Board members are paid, reimbursement of various > expenses (moving, travel, etc.), compensation for services rendered (wages, > salaries, etc.), and so on. But most of these are not in a payroll system. > So income types would only be for compensation related types, of which there > are but a few.
And of course it's more complicated than that. In some states (Washington, for example), different types of income may be subject to different payroll taxes. Suppose you have a guy who picks apples in the orchard, drives a forklift, and helps stocking fruit at your farm stall. You likely have hourly and per-production wages to account for and these have different tax deductions..... Obviously this has to be taken care of by a tax module. We can't do it for everyone the same. > > Since I prepare tax returns for international visitors to the US, there are > different rules and forms to use. For example, there are wages or salaries. > But if some or all the earnings are exempted due to a tax treaty a taxpayer > is entitled to, then the US system at year-end issues form W-2 to report > gross wages and taxes and other deductions withheld during the year. If > there was a tax treaty, then a form 1042-S is issued to show the amount of > compensation that is excluded from taxation for the tax year. That form also > is used to report taxable living expense scholarships (which are not > considered compensation and so are not part of payroll). > > I guess my point is that whatever payroll system you develop, you also need > to categorize income paid in different manners when outputting reports to the > governments and taxpayers. I don't know enough about DB design, so I may > have missed that this issue is included in what you presented below. If not, > then some consideration for types of output should be added. > Yes, this categorizes income paid and deductions in ways that local tax modules can address these. Best Wishes, Chris Travers ------------------------------------------------------------------------------ The demand for IT networking professionals continues to grow, and the demand for specialized networking skills is growing even more rapidly. Take a complimentary Learning@Cisco Self-Assessment and learn about Cisco certifications, training, and career opportunities. http://p.sf.net/sfu/cisco-dev2dev _______________________________________________ Ledger-smb-devel mailing list Ledger-smb-devel@lists.sourceforge.net https://lists.sourceforge.net/lists/listinfo/ledger-smb-devel
