Payroll Tax Reciprocity Groups

Overview:

Use the Payroll Tax Reciprocity Groups window to set up local tax jurisdiction Reciprocity Groups. Reciprocity Groups allow you to group local taxing jurisdictions that are subject to the same Reciprocity Rule, which in turn reduces the number of Reciprocity Rule records you need to manage.

For example, for Ohio, you set up 200 reciprocal localities (100 city and 100 county), which results in 39,800 Reciprocity Rules. To simplify reciprocity management, now you can set up a Reciprocity Group for each type of locality, which in turn manages each type of Reciprocity Rule. This leaves you with just 4 Reciprocity Rules to manage, instead of 39,800:

• City Reciprocity Group
  • City to City Reciprocity Rule
  • City to County Reciprocity Rule
• County Reciprocity Group
  • County to County Reciprocity Rule
  • County to City Reciprocity Rule

Benefits:

• Enables the full use of PENTA's compliance functionality.
• Allows for user maintained local tax reciprocity rules.
• Enables multiple reciprocity calculations performed on a per pay period basis.

Roles:

• Payroll Manager
• Payroll Clerk
• Controller
  
• Assistant Controller

Location:

• Payroll> Setup> Taxes> Payroll Tax Reciprocity Groups

Video: