Oracle HRMS captures travel expense - related information to meet the tax reporting requirements. The employer can process these expenses directly from payroll or upload the information from third party systems.
Note: If you process the travel expenses through a third party system, you can upload the information into the available predefined elements with help from the payroll implementation team.
Create the necessary legal employers and local units.
Create elements for your travel expenses in the Element window, with the primary classification as Direct Payments and with the following input values:
Pay Value
Legal Employer
Employment Type
Tax Category
You must select the Termination as Final Close for all elements that you create.
See: Defining an Element
Note: You can also use the predefined elements for travel expenses. See: Predefined Elements
Set up the balances using the following balance categories:
Daily Allowance Domestic
Daily Allowance Foreign
Half Day Allowance
Meal Compensation
Tax Free Mileage Allowance
Tax Free Mileage Allowance Km
Other Tax Free Expense
You can use these balance categories to identify the reporting groups to which the balances belong.
Add the balance dimension PER_LE_EMPLTYPE_TAXCAT_YTD to the balances you create.
Link the elements to your payroll.
Link the elements to the employee's assignment.