Bookkeeper does not have all the tax rates for all localities. However, it is possible to do a calculation of your local taxes manually and then deduct the local tax as a dollar amount from the payroll check.

To have a specified withholding amount for any of these accounts in the Employee tab, the amounts will be calculated. You can view and/or override these amounts by clicking on the More Detail button on the stub.

  1. Click on Account.
  2. Select the "Chart of Accounts" option.
  3. Enter a name, such as "state local tax" or "local tax" or any other identifier in the Name field.
  4. Place a check next to the Main checkbox.
  5. Select a Group, for example "Current Liability".
  6. Set the type to be "Payroll check deduction".
  7. Click the Add button.

When you generate a paycheck, click the More Detail button. This newly created account will appear. Simply check the box next to the account and add the amount necessary for the deduction from this paycheck. You can also specify these deductions in the Employee -> Deductions screen.