Level 7

Question

Local earned income tax return in PA

Forum|Forum|2 years ago
March 18, 2024
2 replies
49 views

Hoi to all,

new client self-employed in PA when I mark on

For the first client who owes $220, I was wondering if this amount can be withdrawn automatically from the checking account provided on the FED and State return, or if the client should pay online by themselves.

Regarding the other client who is eligible for a refund, I indicated at the very bottom of the page to mail it to the client's address. Is this correct?

Thanks for your help!

ProSeries Professional

This topic has been closed for replies.

GodFather

Intuit Community Champion

I don't believe the local return can be eFiled and it seems you're aware of that. With that said, I've never tried to have an amount due electronically drawn. I assume you can provide banking information when it's paper filed filed but I've always had my clients pay by paper check and, if they had a refund, asked it be by check as well.

I updated my reply as I always intended to say "when it is paper filed". I inadvertently said when it's efiled. The Local return cannot be efiled but I wish it could be.

HOPE2Author

Level 7

@GodFather Thanks a lot.

"I checked the availability of forms, and this form is not yet ready for e-filing. You're correct.

When I reviewed my new client's 2022 return, I noticed they had net income from self-employment. I asked them if they had paid local income tax, to which he responded, 'No!' They have been living in PA for 8 years but have never paid any.

However, I do not know when this obligation to pay started."

dascpa

Level 11

You cannot e-file PA local taxes through ProSeries. It's not even an option in the e-file list. You can e-file PA NPT and PA BIRT. Either print and mail or have the client set up an account with one of the zillion local tax agencies and e-file through there.

HOPE2Author

Level 7

@dascpa Thanks a lot.

To be honest am not familiar for this part.

Could please help me to understand more.

I should print this form and email to my client, and let me know how to find out the address should it go? Client should sign up or register for this form first?

All taxpayer in PA should do it? When Mark the Box on the top of the form, a credit appears. A couple both are on the form but husband's W-2 local is LMACU and wife's local is PHILA and I do not now how to explain what they should do. I aske them did you mail like this form to any address before, they responded no Please help me!

GodFather

Intuit Community Champion

The vast majority of my Pennsylvania clients live in the suburbs of Philadelphia. Keystone Collection is normally who collects the earned income tax. Here is their website which will provide a great amount of information for you: Keystone Collections Group (keystonecollects.com

The website will provide specifics on individual townships that impose an EIT along with the addresses you will need to file the form. The address depends on the tax situation...do you owe, refund, no tax due. There is a different address for each circumstance.

It's important to know, not every town in Pennsylvania imposes an EIT, so make sure you investigate if the returns you are working on have that exposure or not.

I use the form that Intuit provides, I check the box, print it, and add the respective W2's. I sign the form, have my clients sign and then mail it in. You'll need to determine if there is a refund, amount due, or if it's paid in full. The program does a nice job of populating the pertinent information but you have to make sure you populate the appropriate tax the town imposes in order for the calculations to be correct.

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