The subject of taxes may not be the most engaging, but it’s certainly one that employees need to pay attention to ensure all paperwork is complete and completed correctly.
Income taxes are withheld in 41 states in addition to federal income taxes. In New York State, the form that will need to be filled out to designate how much needs to be withheld is the IT-2104 Form.
This form may seem complicated at first glance, but that’s where we can help. In this article, we will break down what employees will need to fill out the form to make sure they are compliant with all state withholding requirements.
Your employee may get confused when it comes to all the paperwork, especially when it comes to tax documents. While both of these forms will need to be filled out, they serve different functions. The W-4 is the document for federal income tax while the IT-2104 is the form for state income tax for the state of New York.
One of the aspects of filling out tax forms that is the most anxiety-provoking is the fear that you made an error somewhere. Before you begin filling out your form, start with your worksheet first. This worksheet is designed to help guide you through all considerations you need to make when designating your withholding amount. When filled out carefully, this worksheet will help ensure you aren’t withholding too much or too little.
The IT-2104 form has different types. The one you fill out depends on a variety of factors that may apply to you and your situation. While most taxpayers will fill out the IT-2104 “Employee’s Withholding Allowance Certificate,” others may need to complete:
It’s the responsibility of the payroll department to get new employees to fill out this form and return it. Once returned, payroll will then send it to the New York State Tax Department.
If for some reason an employee does not fill out the IT-2104 form, then payroll should withhold single with zero allowances. This will result in the most amount of taxes being withheld to ensure the employer isn’t out of compliance by not withholding enough New York State Taxes.
If you're looking for more information about the purpose of the IT-2104 form and to download a copy visit our IT-2104 Form page.
Looking for more helpful information on all things payroll and HR? The Complete Payroll blog is the place to look. With hundreds of up-to-date articles at your fingertips, Complete Payroll can answer anything you need to know about tax forms and anything else. Visit us today!