Key Features Updates Supported Authorities Resources
Key Features
The current release includes several new features which significantly enhance the functionality of the Equus Platform.
Domestic Grossup Rates and Outputs: United States
Added a Cost Estimate calculation option to use supplemental rates to compute tax grossup for domestic relocation within the United States. This feature also introduces the ability to output federal, social, and state tax grossup separately.
Prior to v.24.5, all cost estimates for U.S. domestic relocations were calculated using ordinary rates and calculated tax grossup for the three jurisdictions aggregated into one value using the Host Country Tax Grossup Tax Estimator Output. This feature introduces two new tax positions to the Host Tax Estimator and three new Tax Estimator Outputs.
New Tax Positions:
Select Tax Grossup Rates: choose between Ordinary and Supplemental. When Supplemental is selected, the calculated “with” and “without” state taxes are displayed on the Federal Actual and Hypo Details Report, respectively. The Ordinary option is the default behavior and the calculated “with” and “without” state taxes continue to display on the State Actual and Hypo Details Report.
Select Tax Grossup Display: choose between Combined and Separate. The Combined option aggregates the calculated tax grossup for federal, employee social, and state tax. This option is currently the default behavior. The combined tax value uses the Host Country Tax Grossup Tax Estimator Output. The Separate option uses the three new Tax Estimator Outputs listed below to show each value on the output screen and report. To adopt the Separate option, you must add the three new Tax Estimator Outputs to the Cost Estimate Template of your domestic relocation policy.
New Tax Estimator Outputs:
Added three Tax Estimator Outputs to be used when the Select Tax Grossup Display tax position is set to Separate. The values for the federal, employee social, and state tax grossup will be shown separately on the Cost Estimate Review and Report tab as well as the Cost Estimate Year 1-6 Report.
Host Country National Income Tax Grossup - Use with Grossup Only Option
Host Country Employee Social Tax Grossup - Use with Grossup Only Option
Host Country Subauthority Income Tax Grossup - Use with Grossup Only Option
New Country: Guyana
Added support for this authority, bringing the total number of supported countries to 155.
Situated on the northeastern coast of South America, Guyana uses the Guyanese Dollar (GYD). Income from employment is subject to a two-bracket progressive tax table with a top rate of 40%. Tax relief is provided by a personal deduction. Employees and employers contribute 5.6% and 8.4%, respectively, to social security.
Enhanced Automatic Social Tax Calculation: Germany
The Automatic option of the Calculate Social Tax feature utilizes the availability of a social security agreement between the home and host country to determine which country's social contributions to calculate in a Cost Estimate. In general, if an agreement is available, the Automatic logic assumes an “all or nothing” approach where all home contributions are calculated and all host contributions are assumed not to be required. Many agreements do not cover all social contributions required for employees and employers.
An enhanced calculation is now available for five assignment lanes impacting Germany, where only contributions covered by an agreement calculate in the home country and exempt in the host country. Contributions that are not covered by agreements will calculate in the host country and in the home country if Tax Resident is set to Yes.
Look for the new Enhance Automatic Social Tax? tax position in the Germany Tax Estimator and select Yes to use the enhanced feature. This tax position defaults to No.
These five lanes inbound to/outbound from Germany are added in this release: China, India, Japan, Turkey, and the United States. More key countries and assignment lanes will be added in future releases based on demand.
Updates
Updates include calculation and rate changes to reflect current tax law resulting from inflation adjustments, legislative changes, and review of supported authorities. Effective dates indicate when the changes enter into force. Amounts are annual unless stated otherwise.
Argentina
Income Tax
Reverted to the following 2023 tax law after Income Tax Law 27725 (enacted in September 2023 to be effective on January 1, 2024) was repealed, effective July 1, 2024:
From a five- to a nine-tiered table with a top rate of 35%. The threshold for the top rate increased by ARS 23.35 million to ARS 36.45 million.
From one standard deduction of ARS 28.1 million to these deductions, if eligible:
Earned income at ARS 19.5 million.
Basic at ARS 3.1 million.
Spouse at ARS 2.8 million.
Dependent at ARS 1.5 million per dependent.
Social security contributions.
Employee voluntary pension up to ARS 195,800.
Social Security
Increased the employee wage ceiling by ARS 14.2 million to ARS 33.4 million, effective September 1, 2024.
China
Social Security
Made the following changes for the following urban centers, effective July 1, 2024 (no changes for the fourth supported urban center, Guangzhou):
Beijing
Increased the following:
Wage ceiling by CNY 16,704 to CNY 423,396.
Employer medical insurance contribution rate by 0.8% to 9.8%.
Shanghai
Increased the wage ceiling by CNY 4,464 to CNY 443,052.
Shenzhen
Increased employer contribution rates:
Pension by 1% to 16%.
Medical insurance by 0.2% to 5.2%.
Unemployment insurance by 0.1% to 0.8%.
Occupational injury by 0.06% to 0.2%.
Decreased the employee unemployment insurance contribution rate by 0.1% to 0.2%.
France
Payroll Tax
Corrected the Automatic behavior of the Add Payroll Tax for Qualified Employers? tax position to operate independently of the Add Payroll Tax? tax position. Previously, both tax positions had to be set to Automatic for the logic to utilize applicable social security agreements to determine whether Qualified Employer Payroll Tax should be calculated.
Gibraltar
Social Security
Increased the employee and employer wage ceilings by GIP 962 to GIP 20,202 and GIP 737 to GIP 15,470, respectively, effective July 1, 2024.
India
Income Tax
Increased the following, effective April 1, 2024:
Thresholds for the 5% and 10% brackets of the simplified regime by INR 100,000 to INR 700,000 and INR 1 million, respectively.
Standard deduction by INR 25,000 to INR 75,000.
Ireland
Social Security
Increased the employee and employer contribution rates by 0.10% each to 4.10% and 11.15%, respectively, effective October 1, 2024.
Jersey
Social Security
Corrected the contribution rates and wage ceilings by making the following changes:
Employee:
Decreased social security rate by 0.80% to 5.20%.
Updated health rate to 0.80% with a wage ceiling of GBP 65,400.
Employer:
Decreased social security rate by 3.7% to 2.80%.
Updated health rate to 1.20% with a wage ceiling of GBP 65,400.
Added additional social security rate of 2.50% with a wage ceiling of GBP 298,200.
Previously, the contribution calculation combined rates and wage ceilings for the social security and health components, and did not include the additional social security component, resulting in a possible tax understatement.
Kosovo
Income Tax
Removed the 4% bracket, effective August 23, 2024. As a result, the nontaxable threshold increased from EUR 900 to EUR 3,000.
Luxembourg
Income Tax
Decreased the general tax credit maximum amount and phaseout rate by EUR 96 to EUR 600 and 0.24% to 1.5%, respectively, effective January 1, 2024.
Mexico
Income Tax
Updated the employment subsidy credit to calculate at the fixed amount of MXN 4,684 for income up to MXN 108,972, effective May 1, 2024. Previously, the maximum credit of MXN 4,884 was subject to phaseout and fully phased out at MXN 88,588.
Netherlands
Social Security
Corrected the general and employment credits to reduce actual social tax for outbound nonresident employees. Previously, the general credit was incorrectly calculated when assignment income was below the phaseout threshold, resulting in an understatement of tax costs. Additionally, the employment credit was not calculated below the phaseout threshold, resulting in an overstatement of tax costs. The maximum amounts for the general and employment credits are 2,514 and 4,137, respectively, and the amounts are fully phased out at approximately EUR 80,000.
Pakistan
Social Security
Increased the wage ceiling by PKR 60,000 to PKR 444,000, effective July 1, 2024.
Portugal
Income Tax
Decreased the following, effective January 1, 2024:
Two highest tax bracket thresholds. The threshold for the top 48% bracket decreased by EUR 1,199 to EUR 80,000.
Rates for the first six brackets for income up to EUR 39,791. The sixth bracket rate decreased by 1.5% to 35.5%.
Switzerland
Income Tax
Corrected the following, introduced in 24.4:
Vaud & Zurich
Tax costs when Use Withholding Table? is set to Yes - Dual Income. Previously, the federal tax component was doubled, resulting in an overstatement of tax costs.
Zurich
Communal tax calculation when Use Withholding Table? is set to No. Previously, the communal tax was omitted, resulting in a tax understatement.
Withholding table by removing the church tax component. Previously, calculated withholding tax may have been overstated by about 1%.
United States
California
Income Tax
Increased the following for all filing status based on CPI changes, effective January 1, 2024:
Bracket thresholds. The threshold for the 12.3% top bracket increased by USD 23,042 to USD 721,313 for single employees. An additional 1% tax is imposed on income over USD 1 million.
Standard deductions and exemption credits.
Phaseout threshold for itemized deductions and exemption credits.
Iowa
Income Tax
Corrected the calculation to use federal taxable income. Previously, the state taxable income was decreased by federal tax paid, resulting in a possible understatement of tax costs.
South Carolina
Income Tax
Decreased the top rate by 0.2% to 6.2%, effective January 1, 2024.
Zimbabwe
Income and Social Security
Changed the estimator currency to the US Dollar. Tax values now utilize the tax bracket thresholds and social wage ceiling in USD as published by the Zimbabwe Revenue Authority, effective January 1, 2024.
If the country currency selected for Zimbabwe is ZIG, cost estimates will require a ZIG to USD exchange rate to continue to operate. We plan to add the new official national currency, Zimbabwe Gold (ZWG), to the Equus Platform in v.24.6.
Social Security Agreements
Added the social security agreement between Gibraltar and the United Kingdom with a duration of 24 months, effective June 1, 2024.
Supported Authorities
Search “supported authorities” and "supported subauthorities" in the help center for a full list of our 225 supported authorities including:
155 Countries
50 American States and the District of Columbia
10 Canadian Provinces
9 Swiss Cantons
Resources
Help Center articles updated this release: