Set up fixed amount taxes

Sparkrock 365 provides the capability to set up fixed amount taxes.

To set up fixed amount taxes

  1. Choose Lightbulb that opens the Tell Me feature., enter fixed amount tax setup, and then choose the related link.

    The Fixed Amount Tax Setup page opens.

  2. For each record that you want to create, perform the following steps:

    1. In Payroll Type, specify the payroll type.
    2. In Payroll Code, specify a payroll code.
    3. In Starting Date, specify the start date for this record.
    4. In State, specify a state.
    5. If applicable, in Ending Date, specify an end date.
    6. In Frequency, specify a frequency.
    7. In Tax Amount, specify an amount.
    8. In Wage Minimum Type, specify Earnings or Hours.
    9. In Applicable Wages/Hours, specify Gross or Applicable to Local.
    10. In Minimum Wages/Hours, specify the minimum hours or dollar amount that must be surpassed before the local tax withholding is triggered.
      If the value is blank, the tax is applied without checking for a minimum wage or hours.
    11. If applicable, in Employer Tax Payroll Code and Employer Tax Amount, specify values.
      These fields provide the capability to add employer taxes. Typically, most fixed amount taxes do not have an employer tax.
    12. If applicable, in Annual Total Tax Withholding Amount, specify a threshold for the maximum withholding allowed.
      For example, if the value is $52, the local tax withholding ceases after $52 has been withheld from the employee.

Apply a local tax payroll code

After you have set up fixed amount taxes, on the Employee Local Tax Setup page, you can apply a local tax payroll code.

To apply a local tax payroll code

  1. Choose Lightbulb that opens the Tell Me feature., enter payroll employees, and then choose the related link.

    The Payroll Employees page opens.

  2. Select the employee for which you want to apply a local tax payroll code, and then on the action bar, choose Home > Local Tax Setup.

    The Employee Local Tax Setup page opens.

  3. For each record that you want to create, perform the following steps:

    1. In Type, specify a type.
    2. In State, specify a state.
    3. In Starting Date, specify a start date.
    4. If applicable, in Ending Date, specify an end date.
    5. In Payroll Type, specify the payroll type.
    6. In Payroll Code, specify the payroll code.

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