Can someone answer this?

[Former Member]

Hi

     what is 209? is it dependent on employer or only on the state? whether it is dependent on employer or not? where do you maintain the rate for this unemployment tax? Can you tell the path?

[former_member235056 · Accepted solution]

Hi Rakesh,

Infotype 0209 is Employees' Unemployment Tax Area i.e. the state which is being input for Employee under IT0209 will be where he could file for his Unemployment Insurance claim when he turns unemployed.

IT0209 is generally same as IT0208 as employee mostly has his tax authority where he works is where he could file unemployment.

It varies from employer to employer what tax types they want to define to be reported for Unemployment.

Some just report Tax type 10 (known as tax bundling) and some report multuple other tax types along with 10 like 11, 48, 71, etc (known as tax unbundling).

The average default rates that are available from states and IRS are set-up under table T5UTX (under SE16 transaction code) in SAP system and this table is mainatined by SAP and BSI only whenever there are updates.

Employer specific rates are maintained on table V_BTXRATE (under SM30 transaction code) and also on BSI Tax Factory under Unemployment and optional tax overrides sections in Modeling part.

Hope this information helps.

Thanks,

Ameet

[Former Member]

209 is for defining the employee's unemployment state and the information stored in this IT is used for Unemployment tax/Insurance.  The relation of employer with this information is that he only pays the taxes according to the slab and rate for the given state, for each employee.  If this information is not maintained the system by default takes the information from work tax (208).

The rate and slab maintenance are done in T5UTX and BTXRATE and I have already briefed about the tables as an answer to your other thread.

BR

Upen

[Former Member]

Hi

    So then what is the connection between IT0209 and Tax type 10( employer unemployment tax) and tax type 20 employee unemployment tax.

[Former Member]

There is no Connection between them.  209 is to define the unemployment state or store the info for the same, where as tax type 10 and 20 are the parameters used to define the wage types which are to be considered for the UI with tax combos in place.  Please go through the T5UTE, M & Y tables and try to understand if stuck up shoot your question.

BR

Upen