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January 9, 2024
Question

If the payroll tax eligibility changes for an employee mid month how does QB Calculate this - There is a Payroll Tax 'tick" box but it doesn't specify an effective date.

  • January 9, 2024
  • 1 reply
  • 0 views
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1 reply

Level 4
January 10, 2024

Hi toniw-penfoldpro,

 

If an employee's payroll tax configuration has been changed the changes made will apply for any future pay runs only. I would recommend also checking the Tax file declaration (TFD) set up since taxes is also calculated based on the employees TFD, pay schedule and gross earnings. Here's how:

 

  1. Under Payroll dashboard click on the employee name.
  2. Click on Tax file declaration.
  3. Verify the settings under Tax Calculation Options.

When you create your pay runs there should be taxes calculated on them. For your reference you can check this link to learn more about: Update employee tax file declaration information for STP Phase 2.

 

Feel free to post again in the Community if you have further concerns. I'll be here to help you.