US - Resident Vs Non Resident Tax

[former_member466848]

Hello,

We are using ADP for our payroll calculations, and have applied the most recent TUBS updates.

However, for some cities, both resident and non resident tax codes are required by ADP but SAP provides only one.

Example: State Indiana, county Grant has a tax code of IN0P. This does not specify if it is a resident / non resident tax code.

Is there a flag some where on any info type that flags a state tax record as Non Resident?

We have looked at 210 and it has "Non Resident tax calculation' flag for FED only. We need the Non resident tax flag for State.

Regards,

Venkat

[former_member466848]

We ended up using 234 to differentiate between resident and non resident indicators.

[Former Member]

Venkat,

Be sure Infotypes 207 and 208 are set correctly. Once that's done, take a look at Infotype 234, where there's a non-resident switch.

Regards,

Howard

[former_member466848]

Hello Howard,

Infotype 234 has additional withholding with the same tax code key that is used in info type 208.

234 has a 'No tax' flag and that is not what we are looking for.

We need a differentiator between Resident and Non Resident Tax codes.

Regards,

Venkat

[Former Member]

Venkat,

Try setting the u201CCertificate statusu201D field on Infotype 234 for the state where the employee doesnu2019t live to a value of 1 (Certificate of non-residence).

Regards,

Howard

[Former Member]

Venkat,

Try setting the u201CCertificate statusu201D field on Infotype 234 for the state where the employee doesnu2019t live to a value of 1 (Certificate of non-residence).

Regards,

Howard

[former_member466848]

Thanks Howard. I will check if this serves the purpose.

Thanks