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Local Tax
For those organizations that need to withhold local taxes from their employee’s pay, the local tax jurisdictions and corresponding rates are defined here. In addition to setting up the withholding, there are various reporting options available, including special reports when multiple local Tax codes are defined.
Code: Enter a numeric code up to 3-digits.
Description: Enter a description for the Local Tax jurisdiction.
Rate (%): Enter the percentage to be withheld from local taxable wages. If the rate is one and a half percent, enter 1.5.
Active: Enter True if this Local Tax jurisdiction may be used. If it is no longer to be used, enter False.
Note: For Maryland employees who have Maryland state taxes withheld, you need to enter the appropriate local code under setups and in the employee files. Use the following chart for the Maryland County Codes. However, under setups you cannot have a code listed twice with different descriptions, so the description should include all counties listed. However, when the local tax code setup is printed, it will limit the number of characters to print for the descriptions. Even though the software does not use the rate field for any calculations, you can enter a rate so it isn’t confusing.
Note: MD local tax is included with the State tax withholding and will appear under that column on the registers.
Code: Enter a numeric code up to 3-digits.
- Note: For PA organizations you can enter 6 digit codes and descriptions as defined by PA Act 32. These codes can be found at http://www.newpa.com/local-government/tax-information/act32#eit_psd_codes
Description: Enter a description for the Local Tax jurisdiction.
Rate (%): Enter the percentage to be withheld from local taxable wages. If the rate is one and a half percent, enter 1.5.
Active: Enter True if this Local Tax jurisdiction may be used. If it is no longer to be used, enter False.
Note: For Maryland employees who have Maryland state taxes withheld, you need to enter the appropriate local code under setups and in the employee files. Use the following chart for the Maryland County Codes. However, under setups you cannot have a code listed twice with different descriptions, so the description should include all counties listed. However, when the local tax code setup is printed, it will limit the number of characters to print for the descriptions. Even though the software does not use the rate field for any calculations, you can enter a rate so it isn’t confusing.
Note: MD local tax is included with the State tax withholding and will appear under that column on the registers.
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Code
1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 |
Counties
Worchester Talbot Anne Arundel Garrett Cecil, Washington Charles Carroll Wicomico, Queen Anne's, Baltimore City, Somerset Howard, Montgomery and Prince George Calvert, St. Mary Dorchester Caroline Baltimore Allegany Fredrick Hartford Not in use Kent |
Rate
2.25 2.40 2.81 2.65 3.20 3.03 3.04 3.20 3.20 3.17 2.62 3.20 3.20 3.05 2.96 3.06 3.15 3.20 |
NOTE: For Indiana local tax calculation, they require that local taxable wages are equal to gross wages less state deferrals and the number of state dependents. When local taxes are to be calculated, if it finds the state code IN that has a local tax code set up for an employee, it will display the question “What state do you pay local taxes in?” If the state of IN is given, it will then do the special calculation to calculate the IN local taxes.
The accepted IN county codes that must be used are as follows:
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1 ADAMS
2 ALLEN 3 BARTHOLOMEW 4 BENTON 5 BLACKFORD 6 BOONE 7 BROWN 8 CARROLL 9 CASS 10 CLARK 11 CLAY 12 CLINTON 13 CRAWFORD 14 DAVIESS 15 DEARBORN 16 DECATUR 17 DEKALB 18 DELAWARE 19 DUBOIS 20 ELKHART 21 FAYETTE 22 FLOYD 23 FOUNTAIN 24 FRANKLIN 25 FULTON 26 GIBSON 27 GRANT 28 GREENE 29 HAMILTON 30 HANCOCK 31 HARRISON |
32 HENDRICKS
33 HENRY 34 HOWARD 35 HUNTINGTON 36 JACKSON 37 JASPER 38 JAY 39 JEFFERSON 40 JENNINGS 41 JOHNSON 42 KNOX 43 KOSCIUSCO 44 LAGRANGE 45 LAKE 46 LAPORTE 47 LAWRENCE 48 MADISON 49 MARION 50 MARSHALL 51 MARTIN 52 MIAMI 53 MONROE 54 MONTGOMERY 55 MORGAN 56 NEWTON 57 NOBLE 58 OHIO 59 ORANGE 60 OWEN 61 PARKE 62 PERRY |
63 PIKE
64 PORTER 65 POSEY 66 PULASKI 67 PUTNAM 68 RANDOLPH 69 RIPLEY 70 RUSH 71 ST. JOSEPH 72 SCOTT 73 SHELBY 74 SPENCER 75 STARKE 76 STEUBEN 77 SULLIVAN 78 SWITZERLAND 79 TIPPECANOE 80 TIPTON 81 UNION 82 VANDERBURGH 83 VERMILLION 84 VIGO 85 WABASH 86 WARREN 87 WARRICK 88 WASHINGTON 89 WAYNE 90 WELLS 91 WHITE 92 WHITLEY |
