Excess deducted income tax returning to employee through payroll

[Former Member]

Dear Experts,

My client wants to return excess deducted income tax to employees through payroll which was deducted for any reasons.

Is there any way to process it through payroll ?

Eg : In the month of Dec, payroll admin finds that the tax liability for an employee is 90K and tax deducted at the end of Dec is 1 Lakh.

Excess deducted 10K, Payroll admin wants to return it to employee and it should get reflected in /460 wage type.

Regards,

Chandra

[sikindar_a]

we cannot directly link the refund amount with /460 Income tax

What we can do is we can overwrite the income tax manually (check the documentation of INCTX , MVT0 , MVT1,MVT2) so that we can overwrite the income tax

Since we have decreased the income tax , process the amount through another wage type as earnings to the employee

But before that why the amount has been caluculated excess for the employee can u please investigate that

[Former Member]

Just an addition to Sikinder, Also note that refund can be done for the amount which is remaining tax liability for the employee in that financial year. If you will make refund of more than the remaining tax liability, if will not get adjusted in remaining period of FY and will leads to inconsistency.