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Payroll locations

How granular do you get when setting up tax locations, when setting them up in states with no local taxes?

Comments

  • acl1118acl1118 ✭✭✭

    You will also need to track where you employees are physically located for multiple worksite reporting for those state which mandate such reports.

  • pfdtxpfdtx ✭✭

    This can get complicated if you have a transient workforce in many locations like the construction company I currently work for, we're in about 400 tax jurisdictions, including locals of course. We setup every project with a specific payroll tax code, including states with no personal income tax. It's not unusual for our employees in OH and PA to have 4 or 5 local taxes withheld on one paycheck. As David alluded to, the projects also include codes for sales tax. In each employees master data we have separate location codes used for different reporting requirements (e.g. Report of Organization). If your company is smaller and in very few payroll tax jurisdictions, this should be manageable, but in our case we subscribe to a 3rd party software provider which gives us regular updates for our payroll system. Hopefully you're company doesn't need to manage the local taxes, but if you do, I strongly suggest taking one of the APA Local tax courses. There are many inconsistencies across the local payroll tax landscape.

  • This is a good question, Workplace is complicated because it is used for MANY different processes.

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