Virginia Tax
For Virginia residents, you specify the employee's exemptions.
Deltek Modification Date - 12/5/07
Enter the following field information for residents of Virginia on the Withholding grid on the Payroll tab of the Employee Info Center:
Automatically Calculated Variables
Vision automatically computes the following variables.
Standard Deduction
The standard deduction is a fixed amount deduction, which is applied to all employees. Vision calculates the deduction using a table based on an annual deduction of $3,000.
Allowance
The Allowance is based on the number of exemptions in the Exemptions and Other Exemptions fields. It is determined by multiplying the number of exemptions in the Exemptions field by $930, and the number of exemptions in the Other Exemptions field by $800.
How Vision Calculates Tax
To calculate an employee's Virginia 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 Standard Deduction, Allowance, and any 401(k) and 125/Cafeteria plan contributions from the employee's annualized gross wages to determine taxable income.
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Calculates the annualized tax to be withheld by applying Tax Calculation Method 1 to the taxable income.
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Divides the annualized tax by the number of pay periods in a year to determine the amount to be withheld for the pay period.