Taxes and Deductions

Tax Links

Tax Links

EBMS uses links to connect taxes that are the same deduction, but are different rates, based on employee information. Federal Withholding Tax (FWT) is a prime example. There are two different rate tables that must be used based on an employee’s marital status. To accomplish this the rate tables are linked together using a Tax Link. All employees can have the FWT tax listed in their employee tax tab, but based on the employee’s marital status setting, the FWT tax links with either the withholding tax rate table for married employees (FWT-M) or the rate table for singles (FWT-S).

To view or edit a tax link take the following steps:

  1. Go to Labor > Taxes/Deductions. Select the appropriate tax link and click on the Links tab. Note that if the Link option is checked on the General tab, a Links tab appears.

  2. In the Tax Id column, list the tax Id rate that should be used if the Condition is TRUE. If the Condition is not true, the system will check the next line. If none of the conditions are true the system will not deduct the tax.

  3. The Condition column must contain a dBase expression that must be evaluated as TRUE for the tax rate of that line to be used. The dBase expressions used in this window are similar to the dBase expressions used within the Message tabs and Advanced Queries. Contact an EBMS consultant for information on this advanced tax feature.

Click OK to save link information.