Is there a way to withhold school district tax and residence city tax for an employee?
Is there a way to withhold school district tax and residence city tax for an employee?
From Sage Desktop - Help - Sage Support - Knowledgebase and type in Setup Local Tax in the search box. Lots of articles to help you. Basically you have to setup the tax rate, add both tax id's to a tax group, add the tax group to the Employee's Setup, and if you use Aatrix, link the local tax to Aatrix for W-2's. We have a local tax called KC that is 1% resident tax that is linked to the tax group which is local tax group called KC. KC tax group is setup on the employees that live in KC on their Entry Info under Residence Local and Work Local. We had to link KC inside Aatrix from PR - Tasks - Federal efile and Reporting and choose Link Aatrix Tax codes. The Aatrix step was a long time ago and only had to do that the first time. I think Knowledgebase has these instructions, as well. Then, just have to pay attention when an employee moves either to or away from KC.
We have setup our company with KC to remit the taxes withheld and to file W-2s with this local jurisdiction.
*Community Hub is the new name for Sage City