Connecticut Tax
For Connecticut residents, you specify the employee's status.
Deltek Modification Date - 11/21/11
Enter the following field information for residents of Connecticut on the Withholding grid on the Payroll tab of the Employee Info Center:
Automatically Calculated Variables
Vision automatically computes the following variables based on the filing status of the employee.
Exemption Amount
The Exemption Amount is determined by applying the employee’s annual gross earnings (less any 401(k) and 125/Cafeteria contributions) to the table, based on the employee’s filing status. Note that Filing Status D has no exemption amount.
Credit Percentage
The credit amount is calculated using the state’s credit percentage table.
How Vision Calculates Tax
To calculate an employee's Connecticut State tax, Vision does the following:
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Multiplies the employee's gross pay per pay period by the number of pay periods in a year to determine annualized gross wages.
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Subtracts the employee's Exemption amount and annualized 401(k) and 125/Cafeteria plan contributions from the employee's annualized gross wages.
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Calculates the annual income tax using Tax Calculation Method 1.
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Determines the credit percentage based on the state's credit percentage table.
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Multiplies the annual income tax by one minus the credit percentage [Withholding amount x (1 - Credit Percentage)] to determine the net annual income tax.
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Divides the net annual income tax by the number of pay periods in a year to determine the amount to be withheld for the pay period. If the result is less than or equal to zero, no tax is withheld.