How do I assign the W-2 local tax code?
Local Tax instructions
Download the General Instructions for Forms W-2 and W-3 from www.irs.gov. Use Search or Find to look up "local tax" in the PDF.
Assigning a W-2 local tax code to a pay code
1. Open Connect Payroll > Organization > Pay Codes.
2. Look up a pay code. .
3. Click to select the W-2/1099 tab.
4. Use the W-2 Local Tax Code menu to select the local tax code that applies to the pay code.

W-2 Local Tax Code
Government Reporting will assign the pay code amount to the local tax code.
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