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ryancocco
Level 1

All of a sudden my payroll is not deducting any taxes

 
1 Comment 1
IamjuViel
QuickBooks Team

All of a sudden my payroll is not deducting any taxes

Hello, @ryancocco.

 

When taxes are not deducting correctly, you’ll have to revisit your employees’ profiles if they are set up correctly. Also, listed below are the factors to consider in calculating taxes in QuickBooks calculates the federal withholding.

  • Taxable wages
  • Number of allowances/dependents
  • Pay frequency
  • Filing status

Let's first make sure that your QuickBooks software and payroll tax table is updated to the latest release version. Once verified, we can now review your employee's profile. Here’s how:

  1. Go to the Employees menu.
  2. Choose Employee Center.
  3. Double-click the employee’s name, one at a time.
  4. Select Payroll Info on the left.
  5. Please make sure the Pay Frequency is correct.
  6. Click the Taxes button.
  7. In the Federal tab, review the Filing Status and Allowances fields. Make the necessary corrections.
  8. Hit OK.
  9. Click OK again.

If the unexpected behavior only affects the most recent payroll checks, QuickBooks Desktop has an auto-calculation feature that carries over the underpaid taxes for the next payroll run. Meanwhile, you can try manually calculating one of the employee's paychecks to see if it matches QuickBooks. To help figure out the exact withholding amount, please go through the IRS Publication 15.

 

Keep me posted if you have other questions. I'm always here to help.

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