The Federal Tax Table allows you to define the current tax factors that are used to calculate Federal Income Tax payable by employees. The Federal Tax Tables are global records accessed by all payrolls so changes to these entries will affect all payrolls. Federal Tax Tables are entered as sets based on an effective date. Multiple sets of Federal Tax Tables by effective dates allows payrolls under different calendar years to be run at the same. The pay period ending date from the payroll calendar per payroll is used to determine which set of Federal Tax Tables are active per payroll run. The selected effective date and tax parameters are displayed in the log of the Payroll Processing run.
The information required can be found in the current edition of the Federal Government publication:
Machine computation of Income Tax Deductions, Canada Pension Plan Contributions and Unemployment Insurance Premiums,
or, for US payrolls only, in the current local IRS publication:
Employer Tax Guide - Circular E (or a similarly titled reference).
Refer to the Other Tax Tables when using the Canadian Option 2 income tax calculation.
Effective Date
Valid date when tax table become effective
Canadian:
Tax Table Step $$$$$$$$
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9 numeric
Factor 1
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9 numeric. Enter the 'R' field from the tax tables.
Factor 2
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9 numeric. Enter the 'K' field from the tax tables.
US:
From C$$$$$$$$
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Enter M or S for a Married or Single table entry followed by the table level amount.
Basic Tax
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9 numeric. Enter the Basic tax amount for this level.
Percentage
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9 numeric. Enter the tax percentage for this level.