(USA) Setting Up and Maintaining U.S. Employee Tax Data

Use this field to indicate whether an employee's federal withholding tax status deviates from the norm. The default is None, which means that no special status exists and that federal withholding tax should be calculated based on the employee's gross income, marital status, and withholding allowance.

• None: Select to indicate that no special status exists and that federal withholding tax should be calculated based on the employee's gross income, marital status, and withholding allowance.

• Maintain taxable gross: This option is not used with Payroll Interface.

• No taxable gross; no tax taken: Select to indicate that the employee is exempt from FWT.

• Nonresident alien: Select this option if the employee is a non-resident alien as indicated on the W-4 form.

Select the appropriate tax marital status for federal withholding taxes as indicated on the employee's completed Form W-4.

If the employee has selected "Married but withhold at single rate" on the W-4 form, you must select both the Single option and the check box marked "Check here and select Single status if married but withholding at single rate." This setting results in the employee being reported with marital status W.

Enter the number of allowances that the employee claims for FWT purposes. This number should match the number on the employee's W-4 form.

Use these fields to indicate that additional FWT taxes are to be taken. You can specify both an amount and a percentage, if appropriate, provided that your payroll system accepts this information.

Select this check box if the employee is exempt from FUT (Federal Unemployment tax).

Select to indicate no change.

Select to indicate that the employee has been notified to submit a new Form W-4.

Select to indicate that a new Form W-4 has been received.

Select this check box if a letter has been received from the Internal Revenue Service (IRS) specifying the allowances an employee is allowed to take.

Enter the maximum number of allowances possible. The value that you enter in the Withholding Allowances field cannot exceed the value that you enter in this field.

The treaty expiration date appears. The system calculates the date based on the date of entry and rules that are established on the Tax Treaty/NR Data table.

If the NRA employee filed a Form 8223, select Yes and enter the appropriate dates in the Form 8233 Effective Date and From 8233 Expiration Date fields. Form 8223 is required for all income codes except 12 (royalties) and 15 (scholarships and fellowships).

If the NRA employee filed a Form W8 for scholarship and fellowship income or royalties, select Yes and enter the appropriate dates in the Form W8 Effective Date and Form W8 Expiration Date fields.

Enter the employee's primary work state. The work state is derived from the employee's tax location on the Job Data Table.

Select to indicate whether the employee is a resident of the primary work state. If the employee does not reside in the primary work state, create an additional state entry and select the Resident option.

Not used with Payroll Interface.

Select to indicate the state of jurisdiction. If an employee has only one state (the resident state), that state will become the state of jurisdiction by default.

If an employee has two states (one resident, the other nonresident), the nonresident state will become the state of jurisdiction by default.

If an employee has multiple nonresident states and no state is indicated as the state of jurisdiction, you will get a message to select UI Jurisdiction on one record.

Select to indicate whether the employee is exempt from SUT taxes.

Select the employee's SDI status.

Specify the employee's special withholding tax status. The system calculates the withholding tax based on the value you select here and other factors.

• None: Select to indicate that no special status exists and that federal withholding tax should be calculated based on the employee's gross income, marital status, and withholding allowance.

• Maintain taxable gross: This option is not used with Payroll Interface.

• No taxable gross; no tax taken: Select to indicate that the employee is exempt from FWT.

Select to indicate the employee's marital status. Repeat for each state where the employee pays taxes.

Enter the number of allowances that the employee claims for SWT purposes. This number should match the number on the employee's state withholding allowance certificate.

For states that have their own withholding allowances form, the system displays informational text explaining where this information appears on the state form.

Use these fields to indicate an increase (or, for certain states, a decrease) in the amount of taxes to be deducted. You can specify both an amount and a percentage, if appropriate, provided that your payroll system accepts this information.

If applicable, enter any additional allowances that the employee claims for SWT purposes.

For states that have their own withholding allowances form, the system displays informational text explaining where this information appears on the state form.

Enter the percentage of federal withholding that constitutes the Arizona state withholding.

Select State/State (State Disability Plan and State Unemployment) unless instructed otherwise by your company's tax advisors.

Indicate whether the withholding adjustment amount is an Increase or Decrease amount.

Select for Indiana employees who are eligible for Advance EIC payments and who have completed the Indiana Earned Income Credit Advance Payment Certificate (state WH-5 form).

Indicate whether the withholding adjustment amount is an Increase or Decrease amount.

Used only for Mississippi. Select to enter the annual exemption amount.

Indicate the employee's status for the New Jersey Family Leave Insurance tax:

Select Exempt if the employee's earnings are exempt from the FLI tax.

Select Subject if the employee's earnings are subject to FLI tax.

Select Voluntary Plan if the company has a voluntary family leave insurance plan that covers the employee.

(E&G) This check box is visible only if Education and Government is selected on the Installation table - Products page. Select to indicate that the employee is a participant in a government pension or retirement plan of the Commonwealth of Puerto Rico.

Select this check box if a letter has been received from the state taxing authority that specifies the allowances an employee is allowed to take.

Enter the maximum number of allowances possible. The value that you enter in Withholding Allowances field cannot exceed the value that you enter in this field.

Select to indicate that the locality is a resident locality.

Select to link multiple local work taxes together when you have more than one work tax for a given locality. This entry links to another local work tax code, which is then entered on another Locality row.

Use the options in the Special Tax Status group box to indicate whether an employee's local withholding tax status deviates from the norm.

• None: Select this option if no special tax status exists.

• Maintain taxable gross: This option is not used with Payroll Interface.

• No taxable gross; no tax taken: Select to indicate that the employee is exempt from LWT. The taxable base for LWT will not reflect the pay that they receive.

Select the appropriate tax marital status for local withholding taxes.

Enter the number of allowances that the employee claims for local withholding tax purposes.

Use these fields to indicate that additional local taxes are to be taken. You can specify both an amount and a percentage, if appropriate, provided that your payroll system accepts this information.