Payroll Withholding Software

Tax Tables and Tax Table software

07/04/2008Tax Table software, components and data for computing payroll withholding amounts.

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Frequently Asked Questions

This page contains answers to common questions handled by our support staff, along with some tips and tricks that we have found useful and presented here as questions.

General

Subscriptions

Updates

Cost

Programming



General

1. Do you handle reciprocity?

Yes. Calls to the TaxNamesForZip method returns the proper taxes to be withheld or employer-paid. Reciprocity agreements are taken into account when TaxControls generates this list.

2. Do you cover all the states?

Yes. We cover all states which have income tax withholding, as well as Puerto Rico and the U.S. Virgin Islands.

For local taxes, the basic subscription includes all states except Ohio and Pennsylvania (which are covered by generic city and school district formulas). Because these states carry an excessive number of local taxes, they require much more overhead to monitor and update. Since most customers do not require this level of detail for these two states, we offer them as an add-on product. Most customers will only need the generic local tables for Ohio and Pennsylvania, which are included in the base subscription.

For customers who would like just a few specific local tables for either of these states, they may be added and maintained manually by the customer. This options derives from the new TaxControls "Custom Tax" feature, which gives you the ability to add custom tax formulas which augment or modify the subscription tax files. This feature could be used to include a handful of local taxes for Pennsylvania or Ohio, without the addional cost of the "Extended Local Subscription".

3. What does your product do that others don't?

TaxControls software handles 'multiversioned' tables at year-end, which means that you can install the new year's tables before January 1, without having to worrying about "jumping the gun" with the new formulas. The software automatically chooses the correct tax version based on pay date.

We also offer the ability to "suggest" applicable taxes for withholding, based on ZIP code. This allows you to offer easier setup of new employees in your payroll appication.

With TaxControls, the developer can now include custom tax tables with the application. This gives you complete control over the tables--you can provide additional withholding formulas, or override those from the Tax Update subscription file. These custom tables are not overwritten by new subscription data, and have all the same properties and methods as the "standard" tables included with subscriptions.

4. How long have you been in business?

Since 1996. We are financially solid, with very little debt and a diverse base of customers. Also, for extra security for your company, we offer language in our contract allowing you source escrow service if you desire.

5. What's the difference between the 'evaluation' software and the licensed software?

It's the same software, with one change--you are able to unlock newly released tax tables. With the evaluation version, you can only work with previously unlocked tables.

Subscriptions

6. When a subscription expires, does the software stop working?

No. The software will continue to work as before. However, it will not be able to unlock newly released tax tables. Any table than was unlocked while the subscription was valid will still be unlocked after expiration.

7. What if I download new data without a subscription?

If you don't have a subscription, you will not be able to unlock new tax table files. If download a new table anyway, you will most likely cause your application software to stop working.

Updates

8. Can I put the tax tables on my web site so my customers can download their updates?

Yes, as long as your restrict access to your customers only.

9. How do I know when the new year's changes are finished, so I can send out the update to my customers?

Unfortunately, there is no way to be certain. Some state legislatures delay decisions on new rates until late December or even January. There is no way to predict when or if changes will occur. You must decide on your own deadline for distribution, then possibly issue an update in January if major changes occur after your deadline.

10. What happens if I use a multiversion tax table with an older version of the ActiveX Dll?

The software may appear to work correctly, but will have no control over which version of the tax gets selected or computed.

11. Do my customers have to wait until January 1 before installing the new year's tables?

No. We issue 'multiversioned' tables during December (and sometimes May or June), which allow both new and old formulas to be calculated. The software chooses the correct formula version based on the pay date. Just make sure you're using the latest version of the software, and set the 'PayDate' property to the payroll check date.

12. How often are tables updated?

Tables can be updated throughout the year, with the majority of changes occuring in December through January. We usually get a dozen or fewer changes during the remaining months. When a change occurs, we notify you by email describing the update. If it is a tax which does not affect you (or your customers), you may choose to ignore the update.

Cost

13. How much does it cost?

A one-year subscription is $4995 (or $1375/quarter or $500/month). This entitles you to royalty-free use of the software and data on all company- or customer-owned PC's. There is a one-time fee of $199 for the required ActiveX, .NET or Java component.

A separate "Level 2" subscription is available which includes all the specific Ohio and Pennsylvania local taxes. These local tables involve thousands of jurisdictions, and much higher overhead for monitoring and updating. Call us at 832-476-8477 for more information on this option.

14. Can I pay monthly/quarterly?

Monthly payments for a base subscription are $500. Quarterly payments are $1375.

Programming

15. What are the 'taxtypes'?

There are five types:

  • 'F' - Federal taxes
  • 'S' - State taxes
  • 'L' - Local taxes
  • 'O' - Other taxes (mostly unemployment and disability)
  • 'P' - Private formulas, used internally (e.g., for computing taxable income)
16. My TaxControls component is taking too long to do the calculations. What's wrong?

The only real bottleneck which is likely to slow down your component is loading the tables from the file. Once you've created a TaxControls component and loaded the data, you should take care to leave that object "alive". Any property or method which needs the table in order to execute will cause the table to be loaded (such as "TaxAmount", "Version", "Taxes", "Refresh", etc.)

We recommend that you use the "TaxAmount" method rather than the "ComputeTax" method unless absolutely necessary. The "ComputeTax" method loads the tax table from the file on each call, and is intended for environments which require a single function call for calculations.

17. I'm using Visual Foxpro, ASP, ..., rather than Visual Basic. How do I load and work with the TaxControls software?

Here's a sample using Foxpro:

oTaxControl = createobject('taxcontrols.ctax') oTaxControl.DataFilename = 'us.tax' oTaxControl.Earnings = 5000.00 oTaxControl.SelectedTax = 'FIT' ? oTaxControl.TaxAmount

Here's some ASP code:

<% Dim ct ct = GetObject("taxcontrols.ctax") ct.DataFilename = "us.tax" ct.Earnings = 5000 ct.SelectedTax = "FIT" response.write "Federal tax: " & ct.TaxAmount %>

18. How can I get a list of all available taxes?

Here's a sample in Visual Basic:

Sub ListTaxes Dim ct as New CTaxControl Dim otax as tax ct.DataFilename = "c:\us.tax" For each otax in ct.Taxes ' skip over 'hidden' taxes: If otax.TaxType <%gt; "P" then Debug.print otax.Name & ", " & otax.TaxType End If Next End Sub

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