A state that hasn't repaid money it borrowed from the Federal Government to pay Unemployment benefits is a "Credit Reduction State.".Adjustments to the General Ledger are made through journal entries.Any credit reduction amounts calculated from Schedule A will go to the Form 940, page 1, Line 11.Select Next to view 9–16, then select Print to view the Form 940.Their FUTA taxable wages will be $1,750 for Kansas and $5,250 for Missouri, to total $7,000 in taxable FUTA wages.Employee 2 works in Kansas and Missouri, and earns 25% of their wages in Kansas, and 75% in Missouri in January, for a total of $10,000.Their FUTA taxable wages will be $3,500 for each state to total $7,000 in taxable FUTA wages.For example, employee 1 works in Kansas and Missouri, and earns half of their wages in each state in January, for a total of $10,000.Employees who work in multiple states have FUTA wages prorated per state on the first $7,000 of their wages.The total FUTA wages subject to credit reduction on Schedule A should match the total taxable FUTA wages on line 7.The FUTA wages subject to credit reduction are limited to $7,000 per employee.Wages paid in each state will automatically populate the Schedule A if you've set up State Unemployment Tax Act (SUTA) in the Wage/Withholding tab for each employee.The Schedule A allows the input for any of the Credit Reduction State wages.In the input screen, select the checkbox on line 1b or line 2 to make the Schedule A button appear. ![]() Go to Print Reports, Tax Reports, Select Form 940, Input Year to Process, Print.How do you fill out Form 940, Federal Unemployment Tax Act (FUTA), Schedule A in EasyACCT? How to fill out Form 940, Schedule A
0 Comments
Leave a Reply. |
AuthorWrite something about yourself. No need to be fancy, just an overview. ArchivesCategories |