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!!!CALIFORNIA STATE TAX CALCULATION
!!State Tax Calculation - General Set Up
Please refer to document [PR_US_Federal_Tax_Calc.doc] 'General Set Up' section for all set up requirement.
At state level, the following screens should be verified set up for each state:
!IPUTR
This screen is used to:
*view US Tax Rates by state and to enter the Overridden rates and Wage Base.
*suppress some SUTA Surcharge Calculation for some states by checking the 'Do not Calculate' toggle
!IPUTP
This screen is used to:
*view US Tax Miscellaneous Parameters by the states that are applicable for [IPRLU]
!IDGV
*This screen may optionally contain specific Override rates and Wage bases by Government Registration for each Registration from the Pay Header's group
*[IDGV] overridden amounts take precedence over the [IPUTR] overridden amounts
!IPRLU/IPRULS
*Each employee must be set up with the applicable Tax Methods
*Miscellaneous Tax Parameters must be set up by the states that need to be paid
!UPRLU
This process audits the US Tax Filing information and generates [IPRLU] Miscellaneous Tax Parameters information according to [IMCT] set up
!IPPH
*The Pay Header tab must specify the default Work Jurisdiction and Home Jurisdiction
*In the Pay Lines tab, the Jurisdiction field must specify the Work Jurisdiction of this pay line
*After Trial Calc or UPCALC, the Pay Amounts tab will contain all US Taxation amounts in summary that are used for the calculation of net pay
*The Pay Jurisdiction tab contains the default Work Jurisdiction and Home Jurisdiction
*After Trial Calc or UPCALC, the Pay Jurisdiction tab contains all US Taxation amounts by jurisdiction in detail
!!Arkansas State Tax Calculation
AR - Arkansas
On [IPUTR], there is a list of applicable taxes to be calculated for State of Arkansas:
|05-000-0000-SIT-000|Arkansas State Tax
|05-000-0000-ER_SUTA-000|Arkansas State Unemployment Tax
\\ \\
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!AR – IPRLU Set Up
The Miscellaneous Tax Parameters must be set up for the following Miscellaneous Identifiers:
%%information If these identifiers do not exist, [UPCALC] will generate the default entries for the identifiers%%
||Miscellaneous Identifiers||Description
|FILINGSTATUS| Mandatory, the valid filing statuses are:\\ \\'S'-single, 'MJ'-married filing jointly, 'H'-head of household
|LOWINCOMETAXRATES|Optional, enter 'True' or 'False'
|TEXARKANARESIDENT|Optional, enter 'True' or 'False'
|TOTALALLOWANCES|Optional, enter the total number of allowances
\\ \\
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!AR – ER SUTA Rate
ER SUTA may be bypassed on [IPUTR] with ‘Do not Calculate’ or [IPRLU] ‘SUI ER Method’ = ‘Do not Calculate’.
There are two options to set up the ER SUTA rate by state:
#IPUTR
#*Enter the SUTA ER rate that is given by the government on the Override Tax Rate field.
#*This rate is applicable for the entire company within the State of Arkansas.
#IDGV
#*If there is a specific rate given by the government for a different State Registration #, then enter the rate on [IDGV] by ‘Reg Type’; this overrides the [IPUTR] rate.
\\ \\
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!AR – Trial Calc Example
[Symmetry Set Up - AR_01.jpg]\\ \\[IPRLU Miscellaneous Tab|IPRLU#MiscellaneousTab]
|AK0001|FILINGSTATUS|= S
|AK0002 |LOWINCOMETAXRATES|= FALSE
|AK0003|TEXARKANARESIDENT|= FALSE
| | |
|PC 8046|Res SIT Earn|= 1729.97
|PC 6042|Res SIT|= 89.94
| | |
|PC 8056|Res SSP Earn|= 899.58 x 0.07
|PC 6052|Res Supp Tax|= 62.97
| | |
|PC 6703 SUI ER Contr|= 2766.66 x IPUTR 05-000-0000-ER_SUTA-000 Override Tax Rate 0.107|= 296.03
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!!California State Tax Calculation
On [IPUTR], there is a list of applicable Taxes to be calculated for State of California:
06-000-0000-SIT-000 California State Tax
06-000-0000-SSP-000 California Supplemental Tax
06-000-0000-ER_SUTA-000 California State Unemployment Tax
06-000-0000-ER_SUTA_SC-004 California Employment Training Tax
06-000-0000-SDI-000 California SDI
06-000-277593-ER_POP-000 San Francisco Payroll Expense
7.1 CA – IPRLU Set Up
- The Miscellaneous Tax Parameters must be set up for the following Miscellaneous Identifiers
FILINGSTATUS - Mandatory
- S'-single, 'M'-married, or 'H'-head of household.
REGULARALLOWANCES - Optional
ADDITIONALALLOWANCES - Optional
SUPPLEMENTAL - Optional, if this is blank, the Default Value from IPUTP will be used
- California has two Supplemental rates: one rate for Bonuses and one rate for Commissions
- if BONUS is set, the higher Supplemental rate will be used
- if COMMISSION is set, the lower Supplemental rate is used
e.g. for 2011, the lower rate of 0.066 will be used
- to calculate Supplemental Tax at higher Rate, set up as ‘BONUS’
7.2 CA – ER SUTA Rate
User may bypass ER SUTA on IPUTR with ‘Do not Calculate’ or IPRLU ‘SUI ER Method’ = ‘Do not Calculate’.
There are 2 options to set up ER SUTA Rate by State:
(1) IPUTR - enter the SUTA ER Rate that is given by the Government on the Overridden Rate field
- this rate is applicable for the entire company for State of California
(2) IDGV - if there is a specific rate given by the government for different State Registration #,
- then enter on IDGV by ‘Reg Type’, this overrides the IPUTR Rate
7.3 CA – Employee SDI
- California Employee SDI will be calculated and stored in PC with Usage 6721 – SDI Tax Deduction
- EE SDI Rate and Wage Base are provided by the government and stored on IPUTR
- user may override this Rate and Wage Base on IPUTR, the IPUTR values are applicable to the entire company
- user may enter specific overridden Rate and Wage Base on IDGV by ‘Reg Type’ = ‘US SDI Regist n’ and ‘Govt Rate Type’ = ‘US SDI EE Rate’
- User may bypass this calculation on IPUTR with ‘Do not Calculate’ or IPRLU ‘SDI EE Method’ = ‘Do not Calculate’
7.4 CA – IPPC / PC Usages
IPPC – Set up Pay Components by PC Usages
If user wants to calculate the following taxes for California, please set up IPPC for these PC Usages:
Usage Description
7140 State SUI CA-Employment Training Tax
7141 State SUI CA-San Francisco PR Expense Tax
7.5 CA – Special Taxes
- by default, the following taxes will be calculated unless IPUTR ‘Do Not Calculate’ Toggle is checked or IPRLU ‘SUI ER Method’ = ‘Do not Calculate’
IPUTR - Employer SUTA Surcharge Tax
(1) California Employment Training Tax
(2) CA-San Francisco PR Expense Tax
- if the Tax Jurisdiction is for San Francisco, then ‘CA-San Francisco PR Expense Tax’ will be calculated and stored in Pay Component with PC Usage 7141
- if Pay Component is not defined for PC Usage 7141, this tax will not be calculated
7.6 CA – UPCALC Example
Work GEO: CA 06-075-277593 San Francisco, CA
IPRLU FILINGSTATUS = S
SUPPLEMENTAL = COMMISSION
Manually calculated Taxable Income based on Element set up:
PC 1100 Regular + PC 2010 Pay In-Lieu + PC 3013 Gift Allowance (imputed income)
= 3269.24 + 1000 + 21.35 = 4290.59
Less 125, 401K, 403B, 457, Simple IRA and custom benefits:etc
PC 8046 Res SIT Earn = 2941.07 (note: same as PC 8005 FIT Earn)
PC 8056 Res SSP Earn = 893.78 (note: same as PC 8015 FSP Earn)
PC 6045 Res SIT = 189.54
PC 6047 Res Supp Tax = 58.99 (893.78 x 0.066 = 58.99 lower rate is used)
PC 6703 SUI ER Contr = 4159.83 x IPUTR 06-000-0000-ER_SUTA-000 Overridden Rate 0.004
= 16.64
PC 6340 CA-Employment Train = 4159.83 x IPUTR 06-000-0000-ER_SUTA_SC-004 Rate 0.001
= 4.16
PC 6721 SDI EE = 4159.83 x IPUTR 06-000-0000-SDI-000 Rate 0.012
= 49.92
PC 6341 CA-San Francisco Tax = 4290.59 x IPUTR 06-000-277593-ER_POP-000 Rate 0.015
= 64.36
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![Notes|Edit:Internal.Symmetry Set Up - CA]
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