I understand how important it is to change the tax rate on your end and get it resolved @11Casey11,

However, I'd like to ensure that your concern is properly addressed and provided with the right support. So, I suggest contacting our QuickBooks Online (QBO) Payroll Support Experts. They have the perfect tool for assistance. They can also run a screen-sharing session to check what's causing this and help you further.  

Follow these steps on how to contact support: 

1. On your QBO account, select Help (?).
2. Click the Search tab to get started:
3. Select Contact Us.
4. Enter the topic of your concern.
5. Click Continue.
6. Choose either Chat, Appointment, or Callback.

Also, make sure to have any local tax form from your agency stating the rate for reference.

I'll also include this link where you can search for guide articles to help you manage your QBO Payroll: QBO Payroll Help Articles.

Let us know if you need further assistance with managing your payroll taxes. The Community always has your back. Have a great day.

is anyone finding a solution to this issue that actually works??? i am tired of wasting time on support calls who cannot actually help me! this is a nightmare. my employees taxes are a mess because nobody can even tell me what local rate is actually being applied to them let alone correct it. desktop was so easy use and this online payroll makes it impossible to adjust anything.

Years later and they still can't grasp the concept of PA PSD codes.  They still won't correct my W2's for 2023 as they insist it's only a 2 digit code that's needed, not a 6 digit code.  I'm furious and even more so now seeing that it has been an ongoing issue for YEARS.