Sage 100

Anyone deal with PR taxes for Pennsylvania? How do you handle the Local Services Tax?

Is this when you say Avalara?

Does Avalera handle payroll taxes?

Crap sorry. I don't know. I knew I was too quick to respond :) Just added a third screen to my desktop and I feel so empowered to do everything at once.

I assume you are referring to PA Act32 for local Income Tax collection and reporting. We had to treat the different School Districts as deductions - one for each District. The problem exists, however, if or when an employee changes Districts in the middle of the calendar year.

Check with Ed W also. I believe he has clients in PA.

Harold, they have that. This is some $1 a week tax that the employee has to pay. I'm trying to figure out if it's a state thing or school district thing.

I was thinking it might have to be a deduction. Thanks Harold.

Thanks too Jeff.

This sounds very much like an monthly head tax that Denver used (maybe still does). back in the 80's. We treated it as a deduction also.

Not to get off topic but one of my welcome back emails is from a customer stating ""we're moving to a payroll service"". I can't say I blame them after Sage was unable to give the customer a way to calculate withholding taxes for CT. This was partly the state's ""fault"" and partly a very vulnerable weakness of Sage where they haven't paid much attention to payroll in recent years. In return I think we may see more defections off payroll and then eventually Sage.

Denver still uses the OPT tax (a flat amount taken out of the first two payrolls for the month, just for the pleasure of working in Denver). We've handled that as a deduction in the past.

When in PA, I advised every prospect to NOT do payroll in MAS 90. PR tax laws in that state are ever-changing and impossible to keep up with. That being said, I do have a very large client who I support that uses payroll. THe school taxes are part of the local tax (normally 1%, sometimes more; city of Philadelphia is almost 8% for residents, half that for non-residents), but some localities do charge an Occupation tax, which is a one-time charge annually, at least in the districts that my clients dealt with. We handled that as a Deduction. I never heard of a weekly OPT tax, but I wouldn't rule it out; my sole experience was in the Philly metropolitan area, but I've heard that things in the western part of the state can be crazy - probably influenced by those fools in Ohio (no offense, Alan).

Thanks Ed. Sounds like a really screwed up state.

That is why i moved to florida

I thought it was for the proximity to Jelly Rolls.................

I'm sure that helped.

Didn't hurt