West Virginia State Tax Routine (WVTX)
The West Virginia State Tax Special Routine Processing utilizes the following steps:
Line 1
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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
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Determine the employee’s Personal Exemption Amount*. |
Line 3
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Determine the Taxable Amount by subtracting Line 2 from Line 1. |
Line 4
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Using the Marginal Tax Rates (DEDX) entries for the West Virginia State Tax deduction, compute tax on the Taxable Amount (Line 3). |
Line 5
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Divide the amount on Line 4 by the number of payroll periods in a year to determine the employee’s West Virginia Withholding Tax for the pay period. |
*Determine the Personal Exemption Amount
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Take the Annual Exemption Amount on the Tax Parameters (TAXP) entry for the employee’s West Virginia State Tax deduction and Marital Status * the number of State Tax Allowances on the employee’s Employee Tax Parameter (TAX).
Data Setup Considerations
Sites will need to ensure they have implemented the following Business Process/Data Setup changes at their site prior to using the West Virginia State Tax Routine.
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Tax Parameters (TAXP) Setup for West Virginia State Tax Deductions:
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The Annual Exemption Amount field is the Personal Exemption Amount for the specified Marital Status.
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Employee Tax Parameter (TAX) enrollment (Note: this only applies to employees enrolled in a Tax Class (TAXC) that includes a West Virginia State Tax Deduction).
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The State Tax Allowance field is the State Personal Exemption count.