I'm here to help check if the local tax is set up in QuickBooks Online (QBO), herstinertf.
You'll need to verify the employee address and work location are correct. Local taxes will automatically be added based on those entries.
Once verified, here's how to set up local taxes:
- Select Payroll from the left navigation bar.
- Choose Employees and click the employee's name.
- Under the Employee details, click the pencil icon beside Pay.
- On the question about employee's withholding, select edit (pencil) icon.
- Go to Local Taxes and mark the local tax jurisdiction.
There are 12 states that collect local tax withholding in QBO. Feel free to read through the Local tax setup and support: Main hub link to find your state and see instructions on how to ensure the system will withhold the tax.
If you don't see the correct local tax jurisdiction, I recommend chatting our QuickBooks Online Payroll Team. They can set up the correct taxes for your location.
Let me know if you have a follow-up question by leaving a comment below. I'm always glad to help check the local tax set up in QuickBooks.
