Where and how to create a LIT code





Description of Issue

Where/how to create a new LIT code



Context
  • Enterprise ERP

  • Payroll

  • LIT - Local Income Tax

  • Local (LIT Codes)

  • Deduction and Benefit Master



Cause

Unable to select new LIT code in Deduction and Benefit Master. Hasn't created LIT code yet.



Resolution
  1. Navigate to Payroll > Payroll Setup > Income Tax Setup > Local (LIT) Codes

  2. Select Add 

  3. Select your State Code, the enter LIT code and description, and your Tax Table Code

    1. If this is for a State Income Tax deduction you should use your State Tax Table

  4. Click Accept

  5. Navigate to Payroll > Payroll Setup > Deduction and Benefit Master

  6. Search for the LIT deduction

  7. Click Update

  8. Select new LIT code from Local Code field drop down

  9. Click Accept



Additional Information

Local Income Tax Deductions must be setup in the 5000 - 5999 deduction code range.