If the basic individual income tax (IIT) deduction has stopped being applied to an employee, in most cases the reason is that the old deduction application has not been closed and is "overriding" the new one. Solution: enter a new deduction application, correctly close the old one, and, if necessary, create a "Termination of deduction application" document. After that, you need to recalculate the payroll — the deduction should reappear on the pay slip.
Why the deduction stops being applied
The basic deduction (in the amount established by the Tax Code of the RK for the corresponding year) is applied to the employee's income when calculating IIT on the basis of the employee's application. In 1C:Accounting for Kazakhstan, this deduction is "linked" to the current deduction application. If two unclosed applications end up in the information base at the same time, or the old application does not have a correct end date, the program may stop applying the deduction because the documents conflict with each other.
Typical situations in which this happens:
- The employee submitted a new application (for example, when the grounds for the deduction changed), while the previous application remained unclosed.
- Personal data or the conditions for applying the deduction changed, and the application needs to be reissued.
- The application was entered retroactively or with an incorrect start/end date.
Procedure
- Enter a new deduction application for the employee. Specify the employee, the type of deduction, and the date from which the deduction should be applied.
- Close the old deduction application — it must be closed so as not to conflict with the new one. Check that the previous application has a correctly specified end date and that it does not overlap with the validity period of the new application.
- If the deduction is still not applied after this, create a "Termination of deduction application" document. This document will correctly close the old application, after which the new application should be applied correctly when calculating payroll.
- Recalculate the employee's payroll for the required period. After entering the documents, the deduction should appear on the pay slip.
How to check the result
You can check the result by recalculating the employee's payroll after entering the documents — the deduction should appear on the pay slip. Pay attention to the following:
- Open the employee's pay slip and make sure that the line with the basic deduction is present and reduces the taxable base for IIT.
- Verify the period: the deduction should be applied starting from the month in which the new application takes effect.
- Make sure that the amount of IIT to be withheld has been recalculated taking into account the restored deduction.
Step-by-step check of documents in the base
To understand which application exactly is "interfering," it is convenient to review all of the employee's applications in sequence:
- Open the list of deduction applications and filter it by the required employee.
- Check how many applications are in effect at the same time and whether there are any unclosed ones among them (without an end date).
- Compare the start and end dates of each application — the periods should not overlap.
- If a "hanging" old application is found, close it via the end date or via the "Termination of deduction application" document.
- Re-post the payroll accrual documents for the disputed period.
Typical mistakes
- A new application was entered, but the old one was not closed. Two active applications conflict, and the deduction is not applied. Always close the previous application.
- Incorrect validity date. If the start date of the new application is later than the calculation month or the end date of the old one is earlier, a "gap" or overlap of periods occurs.
- The payroll was not recalculated. Changes in applications are not reflected in already posted documents automatically — the accrual needs to be re-posted.
- The "Termination of deduction application" document was not used. In some cases, simply specifying the end date does not close the application correctly, and a separate termination document is required.
- Retroactive edits without period control. Entering documents retroactively requires careful checking of the entire chain of applications so as not to break the calculation for past months.
What to check
- Whether a new deduction application has been entered for the employee and whether its correct start date has been specified.
- Whether the old deduction application has been closed (an end date has been set or a "Termination of deduction application" document has been drawn up).
- Whether there are several simultaneously active applications with overlapping periods in the base.
- Whether the payroll has been recalculated after entering the documents.
- Whether the basic deduction is reflected on the pay slip and whether the IIT amount has decreased.
- Whether the deduction application period matches the month for which the calculation is being made.
After completing these steps, the new deduction application should be applied correctly when calculating payroll, and the basic deduction should again be reflected on the employee's pay slip. If the problem persists even after closing the old application and recalculating, you should check the correctness of the applications' validity periods themselves and re-post the accrual documents for the corresponding months.