Contents of the Reduce Employee Number of Dependents for Indiana Screen

Use this screen to run the toolkit.

Contents

Field Description
Reduce Indiana's number of dependents based on the number of adopted children

If you run this toolkit, the number of Indiana's dependents for both state and local taxes will be reduced based on the number of adopted children. This will also populate the newly added Number of Adopted Children field in Local Taxes with the same value as the State's Number of Adopted Children if the State of the Local Tax is "IN" and its Tax Type is "County Income Tax"

For example, if employee has 3 additional dependent exemptions (Form WH-4 line 6) and 2 adopted child dependent exemptions (Form WH-4 line 7), with Phase 1, we instructed you to enter 7 as the total number of exemptions for State and Local Taxes Dependents (3 dependent exemptions plus 4 exemptions for the 2 adopted children). Because, in Phase 2, Compute Payroll will be updated to use the Number of Adopted Children value when computing for Indiana, the toolkit will reduce the number of dependents based on the number of adopted children. So, using the same example, the Number of Dependents will be updated from 7 to 3 (to remove the 4 exemption credits for the 2 adopted children). The Number of Adopted Children field in Local Taxes will then be populated with 2.

This toolkit will not reduce the number of dependents for Indiana in the Multi-State Taxes subtask of Manage Employee Taxes screen. This means you must manually remove the number of adopted child dependent exemptions from the number of dependents field and transfer it to the Actual number of adopted children field in the Multi-State Taxes subtask.

Date processed This non-editable field will be populated with the date on when the toolkit had been run.