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Overview of State Payroll (Employment) Taxes

State taxes vary from state to state. Some state taxes are paid entirely by the employee, some are paid by both employers and employees, and some are paid entirely by the employer. In most cases, an employee's work location determines which taxes apply to them.

State Income Taxes for Employees

Most, but not all, states in the US have their own rules for personal state income taxes (SIT). SIT is withheld from employee's paychecks and deposited according to the c... Learn more

State Disability Insurance Taxes

Some states also have a mandatory State Disability Insurance (SDI) tax. Employees and employers pay the tax, but employers may choose to cover the employees' contribution amount... Learn more

State Unemployment Insurance Taxes

All states have a State Unemployment Insurance (SUI) tax. Unemployment tax rates vary from state to state. In order to be taxed at the correct rate and in the correct sta... Learn more

Experience Ratings for State Tax Rates

A company's State Unemployment Insurance (SUI) and Worker's Compensation tax rates are determined in part by their experience rating (also called an experience factor), whic... Learn more

States Without Personal Income Tax

The following US states do not have personal (state) income tax. Employees who work in these states do not have income taxes withheld from wages earned in these states. ... Learn more

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