Skip to main content

Equus Tax Engine v.25.4 released 31 July 2025

Key Features Features Updates Supported Authorities Resources Click for full PDF release notes Key Features The current release includes several new features which significantly enhance the functi

Updated over 2 weeks ago

Key Features Features Updates Supported Authorities Resources

Key Features

The current release includes several new features which significantly enhance the functionality of the Equus Platform.

Domestic Cost Estimates: United States

Added support for the calculation of equalized cost estimates between two American states. A domestic cost estimate provides federal income and social taxes, along with home and host state income taxes. Where double taxation occurs, a credit is taken in the home state for taxes paid in the host state on assignment income.

New United States Tax Position

A new tax position, US Assignment Type, was added to designate cost estimates from the United States as either International or Domestic. This tax position defaults to International.

To calculate a domestic cost estimate:

  • United States must be the home and host tax estimator.

  • US Assignment Type must be set to Domestic on the United States home tax estimator.

  • Tax Calculation Method must be Equalization.

New Tax Position Set

The US Domestic Cost Estimate Tax Position Set is included with Equus Platform v.25.4. This tax position aids in configuring domestic cost estimates by hiding and locking any tax positions that will be ignored as part of the cost estimate.

Features

The current release includes several new features which significantly enhance the functionality of the Equus Platform.

Enhanced Automatic Social Security

Social Security

Added the following agreements. Look for the new Enhance Automatic Social Tax? tax position in the home tax estimators and select Yes to utilize the feature:

  • France – Japan

  • Germany – Brazil

  • Germany – Canada

  • Germany – France

  • India – Japan

Germany

Social Security

Added a new tax position, Opt Out of Unemployment Contribution?. Select Yes or Yes - Actual Only to opt out of calculating unemployment contributions.

Italy

Income Tax

Added a new tax position, Notional Wage for Income Tax?. Select Yes and enter a notional wage to be used in the income tax calculation. This tax position defaults to No.

Japan

Social Security

Added the following tax positions:

  • Calculate Nursing Care? defaults to Yes to include Nursing Care contributions in social calculations; set to No for individuals under 40 to exclude.

  • Custom contribution rate entry to support employer-specific rates, defaulting to current legislative values:

    • Health Insurance Rate Override – Employee

    • Health Insurance Rate Override – Employer

    • Nursing Care Rate Override – Employee

    • Nursing Care Rate Override – Employer

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

Social Security

Increased the employee wage ceiling by ARS 6.4 million to ARS 43.4 million, effective June 1, 2025.

Australia

Social Security

Increased the Medicare levy surcharge thresholds, effective July 1, 2025. The threshold for the top 1.5% flat rate increased by AUD 11,000 to AUD 151,000.

Bosnia & Herzegovina

Social Security

Decreased the employer pension and health contribution rates by 3.5% to 2.5% and by 2% to 2%, respectively, effective July 1, 2025.

Chile

Increased the following, effective July 1, 2025:

Income Tax

  • Tax Unit (UTM) to CLP 68,923, which increased the tax bracket thresholds. The threshold for the 40% top bracket increased by CLP 6.4 million to CLP 256.4 million.

  • Development Unit (UF) to CLP 39,270, which increased the deduction cap for employee voluntary pension contribution for outbound employees by CLP 605,448 to CLP 23.6 million.

Social Security

  • The updated Development Unit also increased the following:

  • Employment insurance wage ceiling by CLP 1.6 million to CLP 62.1 million.

  • Other contributions wage ceiling by CLP 1.1 million to CLP 41.4 million.

  • Employer disability & life contribution rate by 0.23% to 1.78%, effective April 1, 2025.

China

Corrected the following:

Income Tax

  • Preferential bonus treatment to apply the lower tax rate for bonus amounts equal to the upper limit of the monthly tax brackets. The previous calculation automatically applied the higher rate when the bonus amount equaled the upper limit of the bracket, resulting in an overstatement of tax.

  • Hypothetical tax calculation by applying the dependent deduction for outbound employees regardless of tax residency. The previous calculation did not apply the deduction when Tax Resident? is set to No, resulting in a potential overstatement of tax.

Social Security

  • Automatic calculation to exempt tax only when a social agreement applies. Previously, inbound assignments less than 6 months were always exempted.

Colombia

Income Tax

Corrected the tax calculation by adding the following, effective January 1, 2023:

  • Earned income deductions cap of COP 66.7 million for aggregated social security contributions and basic and dependent deductions.

  • Deduction for the first dependent of single or married inbound nonresident employees.

  • Additional deduction for resident employees of COP 3.6 million per each of up to four dependents.

Social Security

Updated the Pension Solidarity contribution rates and thresholds. The top rate increased by 1% to 3% for income over COP 342 million, effective July 1, 2025.

El Salvador

Income Tax

Increased the 0% bracket threshold by USD 2,536 to USD 6,600, effective May 8, 2025.

France

Income Tax

Corrected the following line items to be nontaxable:

  • Previously only exempt when the inpatriate concession applied:

    • Departure/Destination Services

    • Education Transportation Costs

    • Family Correspondence Courses Host Country

    • Home Country Storage

    • Housing Carrying Charges Home Country

    • Pre Assignment/Pre Repatriation Visit

    • Shipment of Pets

    • Employee Home, R&R and Rotational Leave (or exempt when business expense assumption applies)

    • En Route Meals (or exempt when business expense assumption applies)

    • Family Home Leave (or exempt when business expense assumption applies)

  • Previously only exempt for temporary inbounds: Primary or Secondary School Costs Host Country

Germany

Income Tax

  • For private health insurance deductions:

  • Corrected the supplemental deduction to deduct contributions to the private plan that exceed the maximum public plan contributions, capped at EUR 1,900. Previously, the full deduction was granted when Contributes to Private Health Insurance? was Yes or Yes - Actual Only, resulting in a potential understatement of tax costs.

  • Enhanced report visibility by displaying on the Calculation Detail Report.

  • Enhanced the calculation and income detail reports to display the calculated Special Inbound Rate when applicable.

Gibraltar

Social Security

Increased the employee and employer wage ceilings by GIP 1,010 to GIP 21,212 and GIP 774 to GIP 16,244, respectively, effective July 1, 2025.

Israel

Income Tax

Corrected the credit point calculation based on filing status and number of dependents.

Japan

Income Tax

Corrected the tax calculation by adding a JPY 480,000 personal allowance bracket for income between JPY 23.5 million and JPY 24 million, effective January 1, 2025.

Jordan

Social Security

Increased the wage ceiling by JOD 672 to JOD 44,016, effective January 1, 2025.

Luxembourg

Income Tax & Social Security

Corrected the following for the expatriate concession:

  • Allowable Social Tax Deduction by limiting it to the percentage of non-exempt income.

  • Hypo calculation by applying the Simplified Regime when the tax calculation method is Grossup Only.

  • Social wage base by excluding the expatriate concession adjustment.

Social Security

Increased the wage ceiling by EUR 3,957 to EUR 162,224, effective May 1, 2025.

Malaysia

Income Tax & Social Security

Corrected the inbound two-month exemption to encompass all assignment income. Previously, only base compensation was exempted.

Pakistan

Income Tax

  • Decreased the following, effective July 1, 2025:

    • Bottom three bracket rates. The 35% top rate continues to apply to income over PKR 4.1 million.

    • Surcharge tax rate by 1% to 9%.

  • Corrected the tax calculation by adding a 10% surcharge applied to standard income tax liability when annual taxable income exceeds PKR 10 million, effective July 1, 2024.

Papua New Guinea

Income Tax

Corrected the nonresident tax calculation by removing the 22% bottom bracket from the nonresident table, effective January 1, 2025. Income up to PGK 33,000 is now nontaxable.

Philippines

Social Security

Made the following changes to the Housing Development Mutual Fund (HDMF) contributions when Calculate Social Taxes? is Automatic:

  • Inbounds: Neither employee nor employer contributes to the fund.

  • Outbounds: Employer does not contribute when the employee is on assignment.

Saudi Arabia

Social Security

Increased the General Organization Social Insurance rates by 0.50% to 10.25%, effective July 1, 2025.

Slovakia

Income Tax

Increased the minimum monthly subsistence amount by EUR 10 to EUR 284, effective July 1, 2025, which increased the following:

  • Threshold for the 25% top bracket by EUR 1,793 to EUR 50,234.

  • Maximum personal and spousal allowances by EUR 213 to EUR 5,967.

Slovenia

Social Security

Added Long Term Care contribution at 1% for employee and employer, effective July 1, 2025.

United States

Kansas

Income Tax

Corrected the Head of Household personal exemption amount by decreasing it by USD 6,840 to USD 11,480, effective January 1, 2024.

Maryland

Income Tax

Made the following changes for all filing status, effective January 1, 2025:

  • Added two new tax brackets. The new 6.5% top bracket is applicable to income over USD 1 million for single employees.

  • Increased the minimum and maximum standard deduction amounts. The maximum amount increased by USD 1,100 to USD 3,350 for single employees.

  • Increased the supplemental rate by 0.75% to 6.5%.

Ohio

Income Tax

Decreased the top bracket rate by 0.375% to 3.125%, effective January 1, 2025.

Virginia

Income Tax

Increased the standard deduction for all filing status, effective January 1, 2025. The deduction increased by USD 250 to USD 8,750 for single employees.

Uruguay

Social Security

Corrected the employer social calculation by adding a job training contribution of 0.1%.

Venezuela

Income Tax

Increased the tax unit (all amounts shown in millions) by VES 34 to VES 43, effective June 2, 2025, which increased the following:

  • Tax bracket thresholds. The threshold for the 34% top bracket increased by VES 204,000 to VES 258,000.

  • Standard deduction by VES 26,316 to VES 33,282

Recommended Tax Positions

Added defaults for the following new tax positions

Tax Estimator

Location

Tax Input Name

Long Term

Permanent

Short Term

Germany

Home

Home Work

Host

Opt Out of Unemployment Contribution?

No

No

No

Italy

Home

Notional Wage for Income Tax?

No

No

No

Japan

Home

Host

Health Insurance Rate Override - Employee

0

0

0

Japan

Home

Host

Health Insurance Rate Override - Employer

0

0

0

Japan

Home

Host

Nursing Care Rate Override - Employee

0

0

0

Japan

Home

Host

Nursing Care Rate Override - Employer

0

0

0

Japan

Home

Host

Calculate Nursing Care?

Yes

Yes

Yes

United States

Home

US Assignment Type

International

International

International

Supported Authorities

Search “supported authorities” and "supported subauthorities" in the help center for a full list of our 226 supported authorities including:

  • 155 Countries

  • 50 American States and the District of Columbia

  • 10 Canadian Provinces

  • 10 Swiss Cantons

Resources

Help Center articles updated this release:


Did this answer your question?