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Former Member
Apr 10, 2013 at 04:51 AM

IT 0581 Maintenance for tax Calulation


Dear Experts,

I am new to SAP HCM- Payroll. I have a new requirement from my Client.

The Client does not maintain IT0581 and the HRA amount is paid out of SAP system as HRA reimbursement and the same is maintained in IT0015. Now for Tax calculations/ exemptions, they want to maintain the IT0581 in the system.

The Actual House rent Paid to employee will be treated as House Rent allowance, and the whole value paid on account of HRA will be Taxable as per the income tax act and this is to be maintained in IT0581.

Please let me know what configurations are needed, and what records need to be maintained in which tables.