Form 1099 Processing

In Form 1099 Processing, on the Advanced Printing Options dialog box, you can set the Print for Calendar Year option to Four Digit Year (the default is Two Digit Year). These advanced printing options are user-specific and your settings are remembered the next time that you access the dialog box.

2024 Social Security Wage Base

The Social Security (Old-Age, Survivors, and Disability Insurance) taxable wage base increases from $160,200 to $168,600 for 2024.

Arkansas 2024 Tax Tables Updates

The updates for Arkansas are effective January 1, 2024:

• The highest rate decreases from 4.7% to 4.4%.

• The standard deduction used in the formula increases from $2,270 to $2,340.

The new Formula Method is calculated as follows:

1. Multiply the Period Gross Pay amount by the number of pay periods per year to arrive at the annual gross pay.

2. Subtract the Standard Deduction of $2,340 to arrive at Net Taxable Income. If Net Taxable Income is below $100,001, look up the income at the $50 range (midrange of $100). For $100,001 and over, use the exact dollar figure.

3. Compute the Annual Gross Tax on the Net Taxable Income using the bracket below and then round that result.

 

4. Multiply the total number of Withholding Exemptions claimed on Form AR4EC by $29.00 to arrive at the total amount of Annual Personal Tax Credits allowed.

5. Subtract the Annual Personal Credits from the Annual Gross Tax computed to arrive at the Annual Net Tax that will be owed. 

6. Divide the Annual Net Tax by the number of Pay Periods in the year to arrive at the proper state withholding amount.  

For more information, see: https://www.dfa.arkansas.gov/images/uploads/incomeTaxOffice/whformula_2023.pdf.

California 2024 Tax Table Updates

The updates for California are effective January 1, 2024:

• The annual low income exemption threshold increases from $17,252 or $34,503 to $17,769 or $35,538, depending on the employee’s filing status, and for married employees, the number of allowances claimed.

 

• The annual standard deduction increases to $5,202 or $10,404 to $5,363 or $10,726, depending on the employee’s filing status, and for married employees, the number of allowances claimed.

• The value of state allowance increases from $154 to $158.40.

• The tax rates used in Method B continue to range from 1.1% to 14.63%. the tax brackets used will be adjusted compared to 2023.

     

 

Kentucky 2024 Tax Table Updates

The update for Kentucky is effective January 1, 2024.

The income tax rate decreases, from 4.5% to 4.0%.

The standard deduction increases, from $2,980 to $3,160.

Maine 2024 Tax Table Updates

The updates for Maine are effective January 1, 2024:

• The value of a state allowance increases from $4,700 to $5,000.

• The maximum standard deduction increases for the following statuses:

• Single: From $11,000 to $11,750

  • Married: From $24,850 to $26,350

• The standard deduction decreases according to a formula for the following statuses:

  • Single employees who earn more than $97,150 annually, up from $91,500.

  • Married employees who earn more than $194,300 annually, up from $183,050.

• The deduction reaches zero in the following scenarios

  • A single employee earns at least $172,150 annually, up from $166,500

  • A married employee earns at least $344,300 annually, up from $333,050.

• The tax brackets used in the percentage method were also adjusted.

 

For more information, see: https://www.maine.gov/revenue/sites/maine.gov.revenue/files/inline-files/24_wh_tab_instr.pdf

North Dakota 2023 Tax Table Correction

The update for North Dakota is effective immediately:

North Dakota updated its 2023 Income Tax Withholding and Instructions to correct errors contained in an earlier version. The correct supplemental withholding rate is 1.5%. The previous instructions released in May listed the rate as 1.84%. The updated withholding methods also correct a mathematical error in one of the examples.

For more information, see: https://www.tax.nd.gov/sites/www/files/documents/forms/business/it-withholding/income-tax-withholding-rates-and-instructions-booklet-2023.pdf

South Carolina 2024 Tax Table Updates

The updates for South Carolina are effective immediately:

• The value of a state allowance increases from $4,310 to $4,610.

• The maximum standard deduction increases from $6,475 to $6,925.

• The tax brackets used in the percentage method are also adjusted.

 

 

For more information, see: https://dor.sc.gov/forms-site/Forms/WH1603F_2024.pdf