payback.ie

Payments (Elements)

Taxable
The amount is added onto the Gross Pay and taxed. This applies to most kinds of payments.

Non-Taxable
The amount is added onto the Net Pay, it is not taxed. This might apply to payments such as expenses.

The Taxable/Non-Taxable setting on Elements can be viewed by clicking the 'Details' button on the top right of the elements grid. If the 'Tax' box is ticked, then the element is taxable. The 'tax' flag can be set on either the Payroll, Employee, or Company levels (depending on where the element was setup)

Deductions

Taxable
The amount is deducted from the Net Pay.

Non-Taxable
The amount is deducted from the Gross Pay. (i.e. The amount is deducted from the Gross Pay before the tax is calculated). This typically applies to deductions such as pensions.

The Taxable/Non-Taxable setting on Deductions can be viewed by clicking the 'Details' button on the top right of the deductions grid. If the 'Tax' box is ticked, then the element is taxable. The 'tax' flag can be set on either the Payroll, Employee, or Company levels (depending on where the element was setup)