Royal ER-145 - Deriving Program Code from Tax Tables

STATE TABLE TAX CODE
IMPORTANT This is a one time only procedure Once the code for the tax table has been established and entered into the register it never
has to be repeated Please take the time to follow the example gi/en and familiar ze yourself with the method of determining the code Then
using the worksheet on page 35 fill in the appropriate amounts from your approved tax table and derive the corresponding code by simply
following the steps given
(- f tdxMl ( onsists of tax brackets Each consecutive tax bracket is assigned a tax which is exactly one cent higher than that assigned to
the previous tax bracket In our programming example (See Page 34) a sale from Oc to 14c is not taxed However n the next tax bracket a
sale from 150 to 370 is taxed 1 c Likewise in the next tax bracket a sale from 38c to 620 is taxed 20 The tax table progresses in a similar
form
The difference between the starting amounts of each consecutive tax bracket is called a breakpoint Every tax table consists of a particular
sequence of breakpoints In our programming example (See Page 34) the difference between Oc and 15C is 150 Thus 15 is the first
breakpoint Likewise the difference between 150 and 380 is 23c Thus 23 is the second breakpoint The breakpoints progress in a particular
sequence throughout the entire tax table It is this particular sequence of breakpoints that is used to determine the programming code
The sequence of breakpoints is divided into Regular and Irregular patterns All tax tables repeat a pattern of regular breakpoints after a
lower irregular breakpoint pattern To determine the breakpoint patterns it is first necessary to calculate the breakpoints This is easily done
by using the worksheet on Page 35 Simply fill in Chart A with the amounts from your approved tax table Then calculate the breakpoints as
was previously explained and fill them in on Chart B Continue to calculate the breakpoints until you have found the Regular repeat
breakpoint pattern
Please refer to our Programming Example Note the following
Breakpoints 15 23 25 25 25 30 36 34 30 Represent the Irregular pattern
Breakpoints 29 28 29 29 28 29 28 Represent the Regular repeat pattern
As a check to ensure that the Regular repeat pattern has correctly been located add up all the breakpoints of the pattern In most cases the
resulting number will be a multiple of a dollar (i e $1 00 or $2 00) or must be a number that will divide evenly into a dollar (i e 100 25c 500)
In our programming example the breakpoints 29 28 29 29 28 29 28 add up to 200