How can i set up extra tax for any employee per pay run

Hi Leigh,

You can add extra tax for an employee's pay run by using the Adjust PAYG in the pay run creation. Let me guide you how:

To manually add tax on the pay run:

1. Click on the New pay run.
2. Select the Pay schedule, pay period ending date and pay date.
3. Click on Create pay run.
4. Select the employee name to show earnings.
5. Click on Actions and click on Adjust PAYG.
6. Enter an amount to add to the tax.
7. Click on Save.

That's it! You've manually added tax to the pay run. If you wanted to add a recurring tax deduction. You can set up a payroll inclusion per employee set up. Here's how to:

1. Click on the Payroll tab.
2. From the employee list, click on an employee name.
3. Click on Pay run inclusions.
4. Select Tax adjustments and click on Add.
5. Select if Amount (per pay run) is Fixed and enter an amount.
6. Enter Notes and select when should this tax deduction start and expire.
7. Click on Save.

Repeat the same process for the other employee's. When you create the new pay run, the tax adjustments will automatically show on the each pay run of the employee.

Check this link to learn more about How to set up pay run inclusions.

Feel free to reply to this post if you have other concerns with tax adjustments. 

Thanks  IntuitSheila

You're welcome, Leigh.

Let us know if you need more help by posting here in the Community. The team and I are here to help you. 

We have this same issue - not enough tax being taken - how do you increase permanently?

Hi there,

PAYG amount gets calculated on the gross earning, the pay schedule and employee Tax File declaration. You can still check the ATO's Tax Table for your reference as our payroll system is aligned with the ATO's PAYG Calculation.

If you want to add extra tax to employee's pay run, you can set up a pay run inclusion with a specific start date and end date. Here's how to:

1. Click on the Payroll tab.
2. Click on the employee name you wanted to set up additional tax.
3. Click on Pay Run Inclusions.
4. Click on Add next to Tax Adjustments.
5. Select the applicable Amount (per pay run) option.
6. Enter any notes f you want the employee to see them on their pay slip.
7. Choose the option for When should this pay run inclusion start? And When should this pay run inclusion expire.
8. Click on Save.

That's it! You've now set up a recurring tax adjustment on the employee's pay run.

You can check this link to learn more about setting up Pay run inclusions in QuickBooks Online Payroll. 

Post again in the Community if you have other questions. I'm around to help you.