FAQs

Question: How can I enter New York City taxes?

Answer: New York City uniquely levies an income tax. This is a tax on all income, not just on wages earned in the city.

Because this is an income tax, there is a different mechanism for entering it than the standard local tax.

You do NOT enter a local tax rate on the Wages > "more info" screen.

Instead, you check a box to specify that the New York City tax applies. This checkbox appears several places in the software, including:

• Client Info > Income & Expenses > Wages screen.
• On the State Taxes report. This report is found on the Forms & Reports tab > More Reports screen.

Once you check this box, the software will automatically calculate the New York City income tax.