Contents of the Manage Local Taxes Screen
Use the fields and options to configure the Manage Local Taxes screen.
Contents
Field | Description |
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Locality |
Enter a code in this user-defined field to uniquely identify this locality code. In the field to the right, enter a description of the purpose of this code. |
State |
Enter, or click to select, the state in which the locality is located. |
Philadelphia | Select this check box if this code is used to track Philadelphia, PA local tax withholding. If selected, the Create State W-2 File application will report the associated local wages and withholding in the Pennsylvania electronic W-2 file. |
Tax Paid By |
Use this drop-down list to select whether the tax is paid by the Employee or the Employer. |
Tax Type |
From the drop-down list, select the tax type code for the record. Valid options are:
Costpoint uses the value you enter here to report the locality type when creating State Magnetic Media year-end tax files. |
Jurisdiction Code |
Enter the appropriate code as required by your state:
|
Withholding Account |
Enter, or click to select, the General Ledger account number used to record the locality income tax withheld from employees' paychecks for this locality. The description of the general ledger account displays to the right. |
Accrual Account |
Enter, or click to select, the accrual account for the employer tax. This field is disabled if you select Employee in the Tax Paid By drop-down list. |
Expense Account |
Enter, or click to select, the expense account for the employer tax. This field is disabled if you select Employee in the Tax Paid By drop-down list. |
Disability Insurance Type | If the locality is used to track New Jersey State Disability, select whether the plan is a state plan or a private plan. The options in this group box become available when the State is NJ. Valid options are:
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Family Leave Insurance Type | Use this group box to designate the type of Family Leave Insurance (state or private) being tracked by the Costpoint Locality Code. Family Leave Insurance options disable if you select any other Tax Type option. Valid options are:
|
W-2 Box 14 Usage |
Use this drop-down list during the creation of W-2s. Box 14 of the W-2 has five lines to list the applicable local tax amounts. Select the line number that you want to have this local tax assigned to when creating W-2s. If this local tax is not applicable for Box 14 usage, select Not Applicable. Valid options are:
The default is Not Applicable. |
Box 14 Description | Enter a maximum of 9 alphanumeric characters to be used as Box 14 description for the selected line number in the W-2 Box 14 Usage drop-down list. |
New York W‐2 Reporting | From the drop-down list, select whether the local tax code is used to track New York City or Yonkers local tax. Valid options are:
|
Ohio Tax Collection Agency | From the drop-down list, select the Tax Collection Agency for Ohio local taxes. Valid options are:
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Include in Export Payroll Taxes | Select this check box if the tax data associated with the locality should be included in the Export Payroll Taxes process. When you select this field, the screen enables the Tax Service Code field. |
Tax Service Code | Enter the tax code which identifies the local tax in your payroll tax service system. This value is included when you export the locality’s tax amounts to the Payroll Tax Service provider. This field is only available when you select the Include in Export Payroll Taxes check box. |
Local Tax Details
Field | Description |
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Effective Date |
Enter, or click to select, the date on which this rate becomes effective. Pay periods having a pay cycle end date the same as, or later than, the Effective Date use the related tax table rates. |
Tax Based On |
From the drop-down list, select the basis for computing the withholding amount for this local tax. Valid options are:
|
Supplemental Tax Rate |
Enter the locality tax withholding percentage that is used for supplemental earnings (bonus paychecks). |
State W/H Credit Limit |
If this locality allows a credit against the locality withholding tax liability based upon state taxes withheld, enter the maximum amount (the limit) of the credit here. |
One Time Annually |
Use this field to define the frequency of the local tax as of the effective date. Select this check box if the local tax should be withheld once annually. If this check box is not selected, the local tax calculation occurs every pay period. |
Annual Ceiling Limit |
Use this field to specify the local tax's annual ceiling limit as of the effective date. When calculating the local tax, the withholding for the payroll year must not exceed the amount in this field. |
Tax Multiplier Rate |
Enter the rate to be multiplied against the calculated local tax withholding amount to derive the final withholding tax amount. This field is enabled only if the State is New York (NY) and New York W-2 Reporting option is set to Yonkers. |
Credit Amount |
If the locality allows a credit (reduction in the tax) based upon the number of credits claimed, enter the credit amount here. |
Dependent Credit Amount |
If the locality allows a credit (reduction in the tax) based upon the number of dependents, enter the credit amount here. |
Exempt Amount Married |
Enter the locality exemption allowance (used as a deduction from income) for married filing status. The locality exemption allowance is used in the computation of the amount of locality income tax withheld from each employee paycheck. |
Exempt Amount Single |
Enter the locality exemption allowance (used as a deduction from income) for single filing status. The locality exemption allowance is used in the computation of the amount of locality income tax withheld from each employee paycheck. |
Exempt Amount Other |
Enter the locality exemption allowance (used as a deduction from income) other filing status. The locality exemption allowance is used in the computation of the amount of locality income tax withheld from each employee paycheck. |
Exempt Amount Dependent | Enter the dependent exemption allowance (used as a deduction from income) for employee's dependents. The locality exemption allowance is used in the computation of the amount of locality income tax withheld from each employee paycheck. |
Exempt Amount First-Time Claimed Dependent |
Enter the first-time claimed dependent exemption amount (used as a deduction from income) for employee's first-time claimed dependents. The locality exemption allowance is used in the computation of the amount of locality income tax withheld from each employee paycheck. |
Exempt Amount Adopted Children | Enter the adopted child dependent exemption allowance (used as a deduction from income) for the employee's adopted children. The locality exemption allowance is used in the computation of the amount of locality income tax withheld from each employee paycheck. |
Weekly Ceiling Amount |
If there is a maximum amount of local tax withholding that can be withheld per weekly pay period, enter the amount here. |
Bi-weekly Ceiling Amount |
If there is a maximum amount of local tax withholding that can be withheld per bi-weekly pay period, enter the amount here. |
Semi-Monthly Ceiling Amount |
If there is a maximum amount of local tax withholding that can be withheld per semi-monthly pay period, enter the amount here. |
Monthly Ceiling Amount |
If there is a maximum amount of local tax withholding that can be withheld per monthly pay period, enter the amount here. |
Subtask
Subtask | Description |
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Tax ID / Reference Numbers / Vendor Information | Click this link to open the Tax ID/Reference Number/Vendor Information subtask for the current record. |