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EPY: Tax Calculation For Employee Living In Louisiana But Working In Guam (Doc ID 2755397.1)

Last updated on JANUARY 26, 2024

Applies to:

PeopleSoft Enterprise HCM Payroll for North America - Version 9.2 and later
Information in this document applies to any platform.


Payroll Tax Calculation for Employee Living in Louisiana but Working in Guam

We just recently started an employee working in Guam. We are unsure whether the payroll taxes are calculating correctly for an employee living in Louisiana but working in Guam.  This employee believes that Louisiana withholding tax should be calculating while he's working in Guam but the system is calculating withholding for Guam.

The State Tax Reciprocity Table for Louisiana is using State Rule 4.

We have lots of employees living in Louisiana and working in Texas. Since Texas has no State income tax, those employees do see Louisiana Withholding taxes calculated on each check while they are working in Texas.  This Louisiana employee believes that Guam is handled similar to working in a State with NO State income tax and is expecting Louisiana withholding tax to be calculated.

The issue can be reproduced with the following steps:
1. State Tax Data has "LA" as the resident and "GU" as the UI Jurisdiction - Payroll for North America>Employee Pay Data USA>Tax Information>Employee Tax Data
2. Run a payroll - Payroll for North America>Payroll Processing USA>Produce Payroll>Calculate Payroll
3. Verify the results on review paycheck taxes - Payroll for North America>Processing USA>Produce Payroll>Review Paycheck




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