Tax Engine

The Tax Engine can provide federal and many state, province, local, city and county tax tables you need. You must maintain any city or county tax that the tax engine does not provide.

Tax Engine Setup Requirements and Options

Tax Engine provides federal and most state, province, local, city, and county tax tables you need. You must separately maintain any city or county tax that Tax Engine does not provide.

You must map each user defined Tax Code to a Tax Company System Tax Code within the tax authority product.

You must enter the tax company code on the Company (HR00) setup program.

During the initial installation, you must create any tax authority names and input unemployment experience ratings (custom data).

If you have multiple unemployment experience rates within the same state, you need to define multiple tax company codes. You assign the different tax company codes to separate process levels and different unemployment experience rates to each tax company code.

A tax company code on a process level overrides the tax company on the HR company.

A tax company code on an head process level overrides the tax engine company code on the dependent process level assigned to it.

All tax deductions must be linked to the proper tax authority via a tax authority for tax calculation. Tax authority

For U.S. tax jurisdictions, tax engine includes a feature called BSI TaxLocator, which automatically assigns tax deductions to employees. How Do I View and Modify Employee Tax Deductions?

Example

All of Two Rivers' divisions are in Minnesota and New Jersey.

River Bend Hospital, in Minnesota, has an unemployment experience rate different from the other Minnesota locations. Therefore, River Bend Hospital must be its own unique process level with its own unique tax company code of TR2.

The same situation is true for Two Rivers' New Jersey locations. Grove Clinic has an unemployment experience rate different from the other New Jersey locations. So, Grove Clinic remains its own unique process level with its own unique tax company code of TR3.

Tax Companies