Workplace The local tax applies to all employees who work in this local area. Regardless of where they live. Resident The local tax applies only to employees who live in this local tax area. Employees are considered residents if the tax group ID entered using Employees in the Residence Local item matches the tax group that includes the tax. Non-resident The local tax applies only to employees who work in this local tax area, but live outside the tax area. Employees are non-residents if the tax group ID entered using Employees in the Residence Local item doesn’t match the tax group with that tax. Comparison This checkbox appears when you select Local as the Tax level. Select Comparison when setting up local taxes. Compare rates? checkbox: When you also select this option, and enter Resident and Non-resident rates, Sage compares the employee's residence tax rate and the workplace tax rate. It uses the higher of the tax rates. If one tax must always override the other tax, even if it has the lower rate, select Comparison but don't select the Compare rates? option. Other information The Tax Level, Tax Type, and Table Type options are available for Employee and Employer taxes. If this is an Employer paid tax, select the Employer tax checkbox. When you share the tax.prx between data folders, but each folder has different rates, select the Company rates checkbox. Then you can enter the specific rate in each folder. |