Submit Your Suggestions for Vista

The current yearend program does not present Pennsylvania local income tax correctly.  Employers told to print the total tax and wage and the two digit Tax Collection District code (TCD) where the employee's local tax was remitted.  Currently if an employee has multiple local taxes during the year, the program prints a separate local W2 copy for each local tax that the employee had, even if all those local taxes were remitted the same Tax Collection District. 

If the W2 program could read the Tax Entity Code on the Local Code set up screen and print the summary total tax and wage for each Tax Entity Code on the local W2, it would allow the correct presentation. Each Local Tax Code that should go to the same TCD would get the same two digit TCD code in the Tax Entity field.

Act 32 is the law that created the current Pennsylvania local tax withholding and reporting structure.  The following is the section that explains what the employee W2 should look like:

Employers will be required to file an individual withholding statement or integrate the

information listed below onto Form W-2 for any person employed during the entire or

any part of the prior tax year. Form W-2 or the individual withholding statement must

contain:

◦ employee’s name

◦address

◦social security number

◦amount of compensation paid to the employee

◦amount of income tax withheld

◦amount of income tax paid to the tax officer

◦2-digit code identifying Tax Collection District (TCD), as prescribed by the

department representing the tax collection district where the payments were

remitted

After reviewing with Vista Support, we will be doing manual edits on the employee local W2 data to get the 2017 W2s done correctly, but this would be a great enhancement for 2018.