Report entities
Note: You do not perform any set up for report entities in Payroll,
but Payroll uses report entities when creating tax deductions.
A report entity is the process level or company to which the distribution process level on an employee's time record reports for tax reporting purposes.
The distribution process level is the process level assigned to a time record. If you do not assign a process level to a time record, the process level defaults from the employee record.
The Payroll determines the report entity as follows.
| If the distribution process level is | The report entity is |
|---|---|
| An independent process level | the same as the distribution process level. |
| A dependent process level in a tax reporting group with an independent head process level | the head process level of the tax reporting group. |
| A dependent process level under the company | the company. |