Suppressing Withholdings in Payroll
You can suppress employee withholdings for all payroll runs or for a single payroll run.
If you suppress a withholding for all payroll runs, you can suppress the withholding for a single employee in the Employee Info Center. Alternatively, you can suppress a withholding for all employees, on a company-wide basis. To do this, select Inactivate when processing payroll for the withholding code in Payroll Withholding Setup. If this option is selected, the withholding's Active field is set to System on the Withholdings grid of the Payroll tab in the Employee Info Center. The Employee Info Center setting overrides the company-wide setting. In either case, a check mark displays in the Suppressed field on the Withholdings grid of the Employee Review tab on the Payroll Processing form.
You can suppress a withholding for a single payroll run and still continue to track the pay basis. To do this, enter a zero amount for the withholding in the Withholdings grid of the Employee Review tab of Payroll Processing.