The Business & Employment Law Blog » Withholdings http://reddingbusinessandemploymentlawblog.com Northern California's Source for Business and Employment News Mon, 31 Oct 2011 17:17:49 +0000 http://wordpress.org/?v=2.9.2 en hourly 1 Change in CA Tax Withholding Tables Effective November 1, 2009 http://reddingbusinessandemploymentlawblog.com/2009/09/change-in-ca-tax-withholding-tables-effective-november-1-2009/ http://reddingbusinessandemploymentlawblog.com/2009/09/change-in-ca-tax-withholding-tables-effective-november-1-2009/#comments Thu, 24 Sep 2009 18:00:09 +0000 Shawn McCammon http://reddingbusinessandemploymentlawblog.com/?p=91 Employers should be aware that as of November 1, 2009, they will be required to use a new state income tax withholding table, which increases  by 10% the amount of income taxes withheld based on existing claimed exemptions by the the employee.

For example, if state income tax withholding is currently $400 a pay period on an employee’s regular wages, come November 1st , the withholding will increase to $440.

Payroll departments should be prepared to receive employee inquires and amended w-4 forms after the effective date.

This new change was part of legislation (ABX4-17) signed by the Governor to assist in accelerating tax collection due to the budget crisis at the State level (I know,  not just at the State level).

Littler has a more exhaustive posting on the topic here if you would like more information on this tax issue.

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