Tax Jurisdictions are the tax authorities your business has to answer to — the federal government, the states you operate in, and any counties or cities that collect income tax. Every employee's pay has to be assigned to the right jurisdictions so the correct taxes come out of each paycheck.
The page is a single grid of jurisdictions. Double-click a jurisdiction to open its detail dialog, which holds everything scoped to that authority in three tabs: Tax Rates, Overtime Rules, and Minimum Wage. One jurisdiction can carry many tax rates over time and several tax types.
Where to find Tax Jurisdictions
From the left sidebar choose HR & Payroll, then Tax Jurisdictions.
The jurisdictions grid
Each row is one tax authority. The columns:
| Column | What it shows |
|---|---|
| Name | The authority — e.g. "Texas," "Dallas County." |
| Level | One of Federal, State, County, or City. |
| State | The two-letter state code it belongs to. |
| ZIP / Locality | Locality identifiers — only local (county/city) jurisdictions use these. |
| Parent | The authority above it (a county's parent is its state), so jurisdictions nest correctly. |
| State Tax? / Local Tax? | Whether the jurisdiction levies state-level and/or local income tax. |
| SUI Rate % / SUTA Wage Base | The state unemployment insurance rate and the wage base it applies to. |
| Min Wage / OT Rules / Tax Rates | At-a-glance summaries of what's inside the detail dialog: the current minimum wage and how many overtime rules and tax rates are on file. |
| Status | Active or Archived. |
Use Include Inactive to show jurisdictions you've retired.
Adding and editing jurisdictions
Right-click the grid and choose to add a jurisdiction. A new row appears at the top — set its name, level, state, and parent, then save with the checkmark or Enter. Edit an existing jurisdiction by clicking into its cells, and right-click a row to Archive or Activate it.
Build jurisdictions top-down — add the state first, then its counties and cities — so each one has the right parent to nest under.
The jurisdiction detail dialog
Double-click any jurisdiction row to open its detail dialog. The dialog header shows the jurisdiction's name and level, and three tabs (each with a count) hold everything scoped to it. In each tab, right-click the grid to add or delete rows, and click a cell to edit it in place.
Tax Rates
The rates this jurisdiction charges. Each row carries a Tax Type (state income, local income, and the various local taxes that apply in some areas), a Rate % or Flat Amount, an optional Annual Cap, effective dates, and Notes. Because rates change over time, each rate has an effective period — an empty end date shows as (current) — so you keep an accurate history and payroll always uses the rate that was in force on the pay date. Right-click for Add Tax Rate / Delete Tax Rate.
Overtime Rules
The overtime rules of the rule set assigned to this jurisdiction. Each rule has a Trigger Type (daily hours, weekly hours, consecutive day, weekend, holiday), a Threshold in hours, a pay Multiplier (e.g. 1.5×), and what it Applies To. If no overtime rule set is assigned to the jurisdiction, the tab says so — assign one, or manage rule sets on the Overtime Rules page. Right-click for Add Overtime Rule / Delete Overtime Rule.
Minimum Wage
The jurisdiction's minimum wage history. Each row has an Hourly Rate, a Tipped Rate, effective dates, and Notes. Like tax rates, minimum wage rows are effective-dated so past periods stay accurate. Right-click for Add Minimum Wage Rate / Delete Minimum Wage Rate.
When you close the dialog, the grid refreshes so the summary columns (Min Wage, OT Rules, Tax Rates) reflect your changes.
How Tax Jurisdictions connect to the rest of the app
- Payroll. Employees are assigned to jurisdictions, and the rates on file determine the taxes withheld on each paycheck.
- Tax Reciprocity. When an employee lives in one jurisdiction and works in another, Tax Reciprocity rules decide how the two jurisdictions' withholdings offset each other.
- Overtime. Jurisdiction-scoped overtime rules work alongside the rule sets on the Overtime Rules page.
- Compliance. Keeping rate history accurate means payroll always applies the rate that was correct for the period being paid.
Permissions
Viewing requires HR view access; adding, editing, and archiving require the manage/update permission. Users without it see the grids read-only.
Tips & best practices
- State before locals. Add the state first so counties and cities can point to it as their parent.
- Use effective dates. When a rate or minimum wage changes, add a new dated row rather than overwriting the old one — that preserves accurate history.
- Only the jurisdictions you operate in. Keep the list to where you actually have employees and tax obligations.
Common questions
Where did the Tax Rates tab go? Tax rates moved inside each jurisdiction. Double-click the jurisdiction and use the Tax Rates tab of its detail dialog.
What are the levels? Federal, State, County, and City — matching the layers of government that can tax payroll.
A rate changed mid-year — what do I do? Open the jurisdiction, add a new rate with the new effective date. Payroll uses the rate in force on each pay date.
Why is the Overtime Rules tab empty? The jurisdiction has no overtime rule set assigned. Assign one on the jurisdiction row, or create rule sets on the Overtime Rules page first.
Related topics
- Tax Reciprocity — credit rules between resident and work jurisdictions for multi-state payroll.
- Payroll — where jurisdiction rates become withholdings.
- Overtime Rules — the rule sets jurisdictions can be assigned to.
- Pay Classifications — the work types behind each paid hour.
- Prevailing Wage & Union — certified-payroll rate schedules.