Utah State Tax Routine (UTTX)
The Utah State Tax Special Routine Processing utilizes the following steps:
Line 1 |
Multiply the employee’s gross wages for the current payroll period by the number of payroll periods in a year to obtain their Annualized Gross Income (GI). |
Line 2 |
Multiply line 1 by the income tax rate defined as part of the Marginal Tax Rates (DEDX) page for the respective marital status. |
Line 3 |
Determine the employees’ Base Tax Allowance. |
Line 4 |
Deduct the Annual Exemption Amount from Line 1. |
Line 5 |
Multiply Line 4 by the base tax rate. |
Line 6 |
Arrive at the withholding tax by deducting Line 2 from Line 6. |
Line 7 |
Divide the amount on Line 7 by the number of payroll periods in a year to determine the employee’s Utah Withholding Tax for the pay period. |
Data Setup Considerations
The following configuration steps are required to be followed to calculate the Utah tax calculation in Advantage:
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The Tax Parameters (TAXP) setup for Utah State Tax Deductions.
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The Annual Exemption Amount is the Annual Exemption Amount.
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The Base Tax Amount is the Minimum Standard Deduction.
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The Base Tax Rate is the Rate.
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The Income tax Rate is established on the Marginal Tax Rates (DEDX) reference page.