QuickBooks Payroll Not Calculating Taxes

QuickBooks is accounting software which does all kind of accounting work as well as maintaining payroll sheet. The payroll feature of QuickBooks helps entrepreneurs and small business organizations a lot in reducing their workload. QuickBooks Payroll feature saves a lot of time which can be used for business growth. But sometimes users face issues with QuickBooks Payroll which hinders their workflow. Here we are going to discuss the issue when QuickBooks Payroll is Not Calculating Taxes.

QuickBooks Payroll Not Calculating Taxes

Symptoms Of QuickBooks Payroll Not Calculating Taxes.

The QuickBooks Payroll shows the following error when it is not calculating taxes:

  • The tax sum shows as Zero.
  • The sum total of tax collected is incorrect.
  • The tax component is missing from paycheck
  • Even after achieving annual range, tax collection shows the amount due.

Remember, Before Resolving Issues

Before you start taking any steps to resolve QuickBooks Payroll not collecting issue, ensure below points:

  • Downloaded and installed the latest version of QuickBooks software.
  • Upgrade the tax-table before issuing a check to any employee.
  • Keeping checking the payroll reports on a regular basis.

Methods To Resolve QuickBooks Payroll Not Calculating Taxes

QuickBooks issues, however small, should be tackled as soon as possible.  Below are a few methods by which you can resolve your tax related issues:

Method 1: If The Tax Calculation Issue Is Only With One Paycheck

If only one paycheck is having tax calculation issue then you need to do the correct calculation of taxes. Follow the below steps to do it.

When you are getting zero or incorrect sum on a paycheck, then it does not mean that it is wrong. It means that the QuickBooks is working as it should be. Below we have a few examples:

  • Federal and State Income Tax are calculated as followed:
    • Agency’s wage and tax calculation table which is upgraded by the Tax Table.
    • Gathered sum totals get influenced by filing status, allowance total number.
    • Changes in pay regularity.
    • Generation of the paycheck with wages that has lesser or huge sum total than what the worker withdraws normally during a pay period.
  • When the remuneration of a worker is touched $200,000.00 for the present year, the added medical care is included in the paycheck.

Method 2: If The Paycheck Has The Wrong Tax Calculation

  • An outdated tax table version could be the possible reason for miscalculation in a specific paycheck.
  • Ensure to upgrade tax table before carrying our any of the below actions:
    • Return a paycheck during the procedure of generating one.
    • Nullify a paycheck when you have already distributed a paycheck.

Method 3: If Your Employee Details Or Time Period Details Are Incorrect, Then You Need To Follow The Below Steps:

  • Ensure the taxes setup accuracy in the member of staff profile.
  • Authentic the taxes prerequisites for payroll components applied on your worker’s paychecks.
  • Validate whether the tax components have the correct tax duties or not, from the payroll component list.

Need Any Help? Contact The QuickBooks ProAdvisors

Technical Assistance For QuickBooks Errors

If you have applied all the above methods but your tax calculation is wrong then make sure that your company file is not corrupt. In case, if you need any kind of technical assistance in resolving the Payroll related issues, dial toll-free QuickBooks Payroll Tech Support Number +1888-529-1015 where you will be assisted by reliable and highly experienced technical experts. You can also directly contact QuickBooks Chat Support. Our executives are working 24×7 to solve your issues.