How to correct a payroll/paycheck error

Thank you for posting, @uwphotonut.

There are reciprocal agreements between states that would require an employer to only pay income tax to one of the two states. I'd suggest you consult your state agency to determine what income taxes you may be subject to.

Check this fix an error on my filed form or request and amendment article. Our Customer Support will help in reviewing the issue with you and start the amendment process. 

To ensure compliance with state payroll tax regulations, go to the Payroll Tax Compliance page and select your state.

Please reach out if there's anything else I can do to help. I'm always here to assist. Have a great rest of the day!

I have already jumped through those hoops.  What I need to know is HOW to fix the error in Quickbooks.  Where do I make the correcting entries and so forth and in what order so that Quickbooks will properly reflect the changes made.

That was exactly what I needed.  THANKS!!!!!

Hello there, @uwphotonut.

I'm happy to know that I was able to resolve your concern about the incorrect calculation of taxes in QuickBooks. 

Please know that the Community team and I are always here to help with any QuickBooks concern you may have. Thanks for coming to the Community, wishing you continued success.

I followed you instructions (they were great) and then waited for my account number from the FL Dept of Revenue.  I have edited the employees record so that GA withholding does not happen.  The question is how do I now add the FL unemployment withholding?  I have set up the account in Quicken, applied the tax rate but I can not find out how to add it to the employee.

I appreciate you for getting back to us and for performing the steps provided by my colleague, @uwphotonut.

QuickBooks Desktop Payroll will only handle one state withholding and one state unemployment. If your employees work in Florida, you'll have to enter FL in the State Worked. However, QBDT does not support if the employee is subject to both GA and FL unemployment.

When an employee works in more than one state. You can refer to the four tests to determine which state’s payroll taxes the employee services are subject to Localization, Base of Operations, Place of Direction and Control, and Residence of Employee.

For more information, about the four tests, please check this article: Localization of Work Provisions. It also provides detailed examples that have been taken from state manuals.

Also, I'd recommend consulting your accountant, as well as the applicable state tax agencies. They can advise what payroll taxes the employee(s) services may be subject to.

I've added this article for reference about  Multi-State Employer Unemployment Insurance Requirements. 

Please know that I'm just a post away if you have any other questions about QuickBooks. Have a good one.

The employee works in FL only as of the first of this year.  How do I change the employees state tax from GA to FL.

Good morning, @uwphotonut. 

Thanks for following up on this thread. I'd be happy to help show you how to change your employee state taxes. 

Before going into detail, I want to ask if the employee was paid under an incorrect state? If so, you'll need to contact QuickBooks Desktop Payroll to make corrections to previous payrolls. 

If you're just needing to set up an employee is a new state, here's how:

1. Click on Employees, then Employee Center. 
2. Double-click the employee's name, then choose the Payroll info tab. 
3. Select Taxes. 
4. Go to the Federal tab and make any necessary changes. 
5. Pick the State tab, and make any necessary changes to the State Worked or State Subject to Withholding sections. 
6. To change local taxes, choose the Other tab, then click the Item Name column. 
7. Select the drop-down arrow, and go to the local tax you want to add. 
8. Pick OK to return to the Edit Employee window, then OK again. 

For more detailed instructions on how to set up an employee in a new state, please refer to this article: Change state taxes for an employee.

I look forward to speaking with you soon. Have a good rest of your day!

I did that but I STILL CAN'T ADD the FL unemployment insurance to the paycheck.  How do I do that?

ok, once you do this to pay the employee back the taxes taken out in error, does that correct the W-2 when it's issued?

Thanks for following up with the Community, uwphotonut.
 

You can add unemployment insurance to an employee's paycheck by making some changes to their profile.
 

Here's how:

1. In your top menu bar, go to Employees, then Employee Center.
2. Double-click the worker.
3. Access your Payroll Info tab, then choose Taxes.
4. Open the State screen and use your State Worker drop-down. Pick the appropriate state where you're required to pay State Unemployment Insurance. This can sometimes be different than where your employee physically works.
5. From their State Subject to Withholding section, specify the state you're required to collect and pay State Income (or Withholding) tax for the employee. If you're required to collect and/or file State Withholding tax in more than one state, I'd recommend considering to use QuickBooks Online Payroll.
6. You may see a prompt to set up new taxes. If so, you'll need to Set up your new state taxes.

I've also included a detailed resource about working with unemployment insurance which may come in handy moving forward: Update your State Unemployment Insurance (SUI) rate
 

Please don't hesitate to send a reply if there's any additional questions. Have an awesome day!