Employees and payroll

I can see you've been through a lot fixing this issue about PA local taxes not being withheld in QuickBooks Online Payroll, @lapoore.

Let's review your employees' profiles and make sure to select the local taxes box so QuickBooks deducts the PA Local Taxes from your employees' paychecks. To do so, follow these steps:

1. Open the Payroll menu. Then, go to Employees.
2. Locate and select your employee's name from the list.
3. Go to the Tax withholding section and click on Edit.
4. Put a checkmark for the Local taxes box.
5. Once done, click on Save.

See the photos below for reference:

For more information about handling PA Local Taxes, feel free to read this module: PA Local Services Tax (LST).

You can also learn more about how to run, print, and customize payroll reports in QuickBooks Online Payroll.

Loop me in if you need extra help with payroll or with any QuickBooks-related. I'm always here to assist you at any time of the day. Take the best care!