Introduce Charge calculation of Type %Interest

Description

I think we should be able to create a Saving Charge with Charge calculation %Interest especially for the case of Withholding Tax. In most countries a certain percentage of a client's Interest is calculated and debit in His/Her Savings Account.
The withholding Tax is calculated on monthly gross interest on that person's savings and posted periodically based on the MFI's Setting. If possible it will be better if this Withholding Tax is also reflected in the Savings Transaction summary or table just like Interest posting.
This can either be treated as a charge or like we treat interest but

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Vishwas Babu A J
June 18, 2014, 5:29 AM

So, adding a new Charge time type "Interest Posting" and allowing to specify charges as percentage of amount (interest amount in this case) would work? Assuming that the tax deduction happens during the interest posting

Can you please confirm and prioritize this requirement?

This probably has dependency on the tasks related to linking charges to the related transaction that is working on (as recalculating interest etc would require reversals of the interest posting)

Ashok Auty
June 18, 2014, 5:52 AM

I am linking charges with payment type where in I am allowing only deposit and withdrawal charges to link. So I don't see any dependency with my task.

As you suggested, adding a new Charge time type "Interest Posting" should work. Yes, the recalculating interest etc would require reversals of the interest posting.

Any thoughts on refactoring/redesigning the charges implementation after considering all new changes?

Vishwas Babu A J
June 18, 2014, 5:59 AM

I meant the changes you were working on to link parent and child transactions (for withdrawals and deposits with their charges) We would extend the same for all charges to make reversals easier

Ashok Auty
June 18, 2014, 6:42 AM

Sorry I thought it's payment type linking. yes extending parent id for interest posting transactions and charges should handle transaction reversal.

DaynaH
February 18, 2016, 6:55 PM

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Reporter

Lajeo Gloria

Implementation Priority

Should

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