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2921445 - Employee NPS exemption is not getting calculated in New Tax Regime

Symptom

  • NPS exemption is not getting calculated in payroll for the new Regime after applying the Budget changes 2020-21
  • Wage type /3I5 (Sec80CCD Ee) was not considering for tax exemption under Chapter VI deductions
  • Sec80CCD(1b) should be considered for tax exemption when choosing new tax regime as per Indian new tax regime. 
  • Contribution towards NPS in IT 0585 under line item “Contribution to pension scheme of Central Government” amount not taken for Chapter VI exemption
  • NPS contribution opted outside employment (IT0585) - Not considered in New tax option
  • Wagetype /3I5 - Sec80CCD Ee deduction based on IT0585 maintained in system is getting removed in Function INEXD


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Environment

  • Human Capital Management (HCM)
  • Payroll India
  • SAP R/3
  • SAP ERP Core Component
  • SAP ERP
  • SAP enhancement package for SAP ERP
  • SAP enhancement package for SAP ERP, version for SAP HANA

Product

SAP ERP Central Component all versions ; SAP ERP all versions ; SAP enhancement package for SAP ERP all versions ; SAP enhancement package for SAP ERP, version for SAP HANA all versions

Keywords

New Pension Scheme,Pension scheme, HINCALC0, INS80, INS88,IT0585, IT0587,Chapter VIA, PC00_M40_CALC_SIMU, PC00_M40_CALC,EENPS,Chapter VIA,Union Budget 2020-2021,Chapter VI,/3I1, /3I2, /3I5, /3I6, /3I9 , KBA , PY-IN , India , Problem

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