You must reissue the check with the correct work state, work local or work province taxes. If the employee cashed the original check (with taxes issued to the wrong state, local or province), the net amount of the check you reissue must exactly match the original check.

Void the check with the following selections:

• Clear the Retain this check as new check box. Note: If Retain this check as new is Not cleared and you are going to correct the state in the time detail, you will need to delete any automatic pays to have them recalculate and pro-rate over jobs correctly after changing time entries.
• Select the Use original accounting date check box.
• Select the Use original check date check box.
  Note: Refer to How do I void a Payroll check or direct deposit? for additional information.

Enter the time and verify the correct work state retrieves for each time entry:

1. From the Tasks menu, select Enter Checks.
2. Click List, select a time entry view, and then click OK.
3. Click List, select the employee, enter the same period end date as on the original check, and then press the TAB key twice.
4. Enter the time worked for this period.
   Note: If you do not have a State or Local column in your time entry view, click Detail to verify the state or local. If the wrong work state retrieves again, change it to the correct state on this detail screen and click Accept. Refer to How are the Work State and Work Local retrieved during time entry in Payroll? to determine why retrieval is incorrect.

Process the check, make corrections if needed, and issue as a manual check:

1. Click Process, select the Calculation frequencies that apply and click OK.
2. Click Check Info to verify that the check amount matches the original check.
   Note: If the check amount is different than the original check, this may be because the state taxes and rates are not the same. Refer to article How do I correct a payroll check with incorrect earnings when I have already paid the employee? for further guidance regarding the proper work flow for adjusting the net pay of the check appropriately.
3. Click Process, select the Calculation frequencies that apply and click OK.
4. Click Check Info, and verify that the Check Amount box has the correct amount, and then click OK.
5. Click Manual, and type the original check number and check date.
6. Click OK, click Accept Check, and then click Finish.
7. From the Tasks menu, select Post Checks.

Note: You can manually adjust the employee's next payroll check in Enter Checks with these same steps to either deduct or reimburse the employee for the difference in the state taxes he may have over or underpaid on the correction check. However, do not issue negative time entries for the incorrect state, as taxable and subject to may be incorrect. Sage 300 Construction and Real Estate does not recommend the use of negative time entries.