OREGON STATE TAX CALCULATION#
State Tax Calculation - General Set Up#
Please refer to the US Federal Tax Calculation document's 'General Set Up' section for all set up requirements.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 upIPPH #
- 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
Oklahoma State Tax Calculation#
On IPUTR, there is a list of applicable taxes to be calculated for State of Oklahoma:| 40-000-0000-SIT-000 | Oklahoma State Tax |
| 40-000-0000-ER_SUTA-000 | Oklahoma State Unemployment Tax |
OK – IPRLU Set Up#
The Miscellaneous Tax parameters must be set up for the following Miscellaneous Identifiers.| Miscellaneous Identifiers | Description |
|---|---|
| FILINGSTATUS | Mandatory 'S'-single, 'M'-married, or 'MH'-married but w/h at higher single rate. |
| TOTALALLOWANCES | Optional Enter the total number of allowances. |
OK – ER SUTA#
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 Oklahoma.
- IDGV
OK – Trial Calc Example#
Work GEO: OK 40-149-2144230 - New Cordell, Oklahoma Symmetry Set Up - OK_01.jpg| PC 8046 Res SIT Earn | = 1729.97 |
| PC 8056 Res SSP Earn | = 899.58 |
| PC 6042 Res SIT | = 74.00 |
| PC 6052 Res SIT Sup | = 49.00 |
| PC 6703 SUI ER Contr | = 2766.66 x IPUTR 40-000-0000-ER_SUTA-000 Overridden Rate 0.092 |
| = 254.53 |
Notes#
Click to create a new notes pageOregon State Tax Calculation#
On IPUTR, there is a list of applicable taxes to be calculated for State of Oregon:| 40-000-0000-SIT-000 | Oklahoma State Tax |
| 40-000-0000-ER_SUTA-000 | Oklahoma State Unemployment Tax |
| 41-000-0000-SIT-000 | Oregon State Tax |
| 41-000-0000-ER_SUTA-000 | Oregon State Unemployment Tax |
| 41-000-0000-WC-000 | Oregon Worker's Compensation |
| 41-000-0000-ER_WC-000 | Oregon Worker's Compensation - Employer |
If UPUTR is run with list of Jurisdictions, the following entries may exist: 41-000-0000-ER_TRANS-001 Canby Transit Tax 41-000-0000-ER_TRANS-002 Lane Transit Tax 41-000-0000-ER_TRANS-003 Trimet Excise Tax 41-000-0000-ER_TRANS-004 Sandy Transit Tax 41-000-0000-ER_TRANS-005 Wilsonville Transit Tax 41-000-0000-ER_TRANS-006 South Clackamas Transit Tax
On IPUTP, there is a list of applicable US Miscellaneous Tax Parameters for State of Oregon.
If these Miscellaneous Identifiers do not exist, please run UPUTR for State of Oregon to generate these.
STATE_ROUNDING - State Rounding Rule - the Default Value is always set to DEFAULT when this Identifier is first created by UPUTR - for State of Oregon, the Default Rounding Rule used by Symmetry is to ROUND the State Tax result - if user does not want to Round the State Tax, enter NO in this field
If Employer requires to calculate Transit Tax for all employees, enter YES to the applicable Transit Tax on IPUTP.
If Employer requires to calculate Transit Tax for certain employees, enter YES to the Transit Tax on IPRLU.
40.1 OR – IPRLU Set Up
1)The Miscellaneous Tax Parameters must be set up for the following Miscellaneous Identifiers, if these Identifiers do not exist, UPCALC will generate the default entries for the Identifiers
Miscellaneous Identifiers Description
FILINGSTATUS - Mandatory - 'S'-single, 'M'-married, or 'MH'-married but w/h at higher single rate. TOTALALLOWANCES - Optional, enter the total number of allowances
The user may manually enter the following optional Miscellaneous Identifiers on IPRLU:
SUP_PAID_WITH_REG - Optional, Supplemental Paid with Regular Wages SUP_PAID_WITHOUT_REG - Optional, Supplemental Paid without Regular Wages
TRANSIT_CANBY_TAX - Oregon Canby Transit Tax TRANSIT_LANE_TAX - Oregon Lane Transit Tax TRANSIT_TRIMET_EXCISE_TAX - Oregon Trimet Excise Tax TRANSIT_SANDY_TAX - Oregon Sandy Transit Tax TRANSIT_WILSONVILLE_TAX - Oregon Wilsonville Transit Tax TRANSIT_SOUTH_CLACKAMAS_TAX - Oregon South Clackamas Transit Tax
2) If the Workers Compensation Fund is to be calculated for an employee, the ‘WC Method’ in IPRLU (State tab) must be set to ‘Calc by US Taxation’ or ‘Both by IPWC and US Taxation’.
- WC Method ‘Calc by IPWC Class’ will use the rates defined by class in IPWC to calculate the Workers Compensation
- if IPRLU WC Method is not set up, then IPPGU Pay Category WC Method will be used
40.2 OR – 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 Override Tax Rate field - this rate is applicable for the entire company for State of Oregon
(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
40.3 OR – IPPC / PC Usages
IPPC – Set up Pay Components by PC Usages
If user wants to calculate the following taxes, please set up IPPC for these PC Usages: Usage Description 6058 Pre-FWT Hours - Total Hours worked, this is used for WC calculation 7006 Workers Comp Employee Tax 7007 Workers Comp Employer Tax 7480 OR-Canby Transit Tax 7481 OR- Lane Transit Tax 7482 OR-Trimet Excise Tax 7483 OR-Sandy Transit Tax 7484 OR-Wilsonville Transit Tax 7485 OR-S Clackamas Transit Tax
40.4 OR – County Tax
On May 20, 2003, Multnomah County residents (GNIS Code 41-051-1135861) passed Measure 26-48, which established a temporary three year personal income tax on County residents. The tax was effective January 1, 2003. The tax is 1.25% of Oregon taxable income after deducting an exemption ($5,000 for joint filers and $2,500 for a single filer). The Multnomah County Tax was discontinued beginning January 1, 2006. thus STE will return zero for this County Tax.
40.5 OR– Workers Comp Employee and Employer
The Oregon Employee Workers Compensation Fund is computed as a dollar amount multiplied by the number of hours worked by the employee with no limit on the amount withheld. For 2011, the dollar amount is $0.014. IPPC Pay Component must be set up for PC Usage 6058 Pre-FWT Hours for Workers Comp.
The Oregon Employer Workers Compensation tax is computed on the hours worked by employees
If the Workers Compensation Fund is to be calculated for an employee, the ‘WC Method’ in IPRLU (State tab) must be set to ‘Calc by US Taxation’ or ‘Both by IPWC and US Taxation’.
If the method is ‘Calc by US Taxation’, only the WC Fund will be calculated for the employee using the rate in IPUTR.
If the method is ‘Both by IPWC and US Taxation’, WC will be calculated using the rates defined in IPWC for Workers Compensation Class, as well as the WC fund rate defined in IPUTR. The WC amounts will be stored in separate pay components.
User may check the ‘Do Not Calculate’ Toggle on IPUTR to bypass WC Calculation if desired.
If IPRLU WC Method is not set up, then IPPGU Pay Category WC Method will be used.
Note: For Oregon Workers Compensation, if users wants to override the employee WC portion and move to the employer WC portion, then this employee WC portion becomes taxable and subject to SIT and SUTA tax. In this case, user should calculate WC via Usercalc instead of by Symmetry. In Usercalc, calculate the employee and employer WC portion and stores in pay component before US Taxation Pay point. Then include this employee WC pay component into the Elements of Pre-State Earnings (Usage 6651) and Pre-SUI Employer Earnings (Usage 6752). This approach truly reflects the Employee WC portion in the Pre-Tax Earnings pay components and will carry through the system for the use of Self-Adjust method etc.
40.6 OR – Transit Tax
Oregon has levied a transit tax upon employers doing business within certain transit areas. There are six areas which have Transit tax. The tax is upon regular and supplemental wages.
On IPUTR, there are 6 entries for Transit Tax
If Employer requires to calculate Transit Tax for all employees, enter YES to the Transit Tax on IPUTP. If Employer requires to calculate Transit Tax for certain employee, enter YES to the Transit Tax on IPRLU for each employee.
40.7 OR – UPCALC – Symmetry Result
IPRLU FILINGSTATUS = S TOTALALLOWANCES = 0 TRANSIT_SANDY_TAX = YES
PC 8046 Res SIT Earn = 2291.31 PC 8056 Res SSP Earn = 89.36 PC 6042 Res SIT = 170.44 (IPUTP STATE_ROUNDING = NO) PC 6052 Res Supp Tax = 89.36 x 0.09 = 8.04 PC 6703 SUI ER Contr = 2510.71 x IPUTR 41-000-0000-ER_SUTA-000 Override Tax Rate 0.054 = 135.58
PC 8110 RCNTY Earn = 2291.31 PC 8111 RCNTY SupEarn = 89.36 PC 6831 Res CNTY Tax = 0 (County Tax discontinued) PC 6850 Res CNTY Sup Tax = 0 (County Tax discontinued)
PC 5331 Workers Comp EE = (PC Usage 6058 Pre-FWT Hours) 80 hours x 0.014 = 1.12 PC 5332 Workers Comp ER = (PC Usage 6058 Pre-FWT Hours) 80 hours x 0.014 = 1.12
PC 5383 OR-Sandy Transit Tax = Reg 2291.31 x IPUTR 41-000-0000-ER_TRANS-004 Tax Rate 0.006 = 13.75 = Sup 89.36 x IPUTR 41-000-0000-ER_TRANS-004 Tax Rate 0.006 = 0.54 = 13.75 + 0.54 = 14.29
40.8 OR – UPCALC – Vertex Result
For Vertex Calculation, user must set up IPRLU State Tab Vtx. Alt Tax Method = ‘01’ in order to re-calculate State Tax using the Federal Tax based on State parameters. Also the State Tab Vtx # of Exemption 1 should = 1 in order to for Vertex to apply the ‘Standard Deduction in the tax formula’ to match the Symmetry Oregon State tax result as above.
PC 8045 Work SIT Earn = 2291.31 PC 8055 Work SSP Earn = 89.36
PC 6040 Work SIT = 170.44 (Rounding = NO) PC 6042 Work SIT Sup = 89.36 x 0.09 = 8.04
PC 6703 SUI ER Contr = 2510.71 x SUI ER Tax Rate 0.054 = 135.58
PC 8100 WCNTY Earn = 2291.31 PC 8101 WCNTY SupEarn = 89.36 PC 6811 WCNTY Sup Tax = 0 (County Tax discontinued)
40.9 OR – Manual Calculation
Oregon Manual Tax Calculation from:
http://www.oregon.gov/DOR/BUS/payroll_updates.shtml http://www.oregon.gov/DOR/forms/business/withholding_formulas_150-206-436_2011.pdf
Using the formula from Annual wages of $50,000 or higher
Annual Wages 2291.31 x 26 = 59574.06 Federal Tax: 403.06 x 26 = 10479.56 Since Wages <= $125.000, use PHASE OUT = 5950.00 BASE Wages 59574.06 – 5950.00 = 53624.06
Symmetry Calculation:
BASE Wages = 53624.06 Standard deduction $1980 for Single = 1980 (note: Vertex user must set up Vtx Exemption 1 = 1, Otherwise the Standard deduction will not be applied) 53624.06 – 1980 = 51644.06
Annual Tax Calculation: WH = 481 + (BASE – 7750) x 0.09 – (179 x allowance) WH = 481 + (51644.06– 7750) x 0.09 – (179 x 0) WH = 481 + 3950.47 – 0 WH = 4431.47
State Tax for the period WH = 4431.47 / 26 = 170.44
