thread Re: Employee Tax Jurisdiction Change in Staff & Payroll

Employee Tax Jurisdiction Change

watersoundescap — Sun, 21 Sep 2025 06:06:25 GMT

We have 2 employees that recently moved out of state and are working remote. We need to change their workplace location so that their taxes are withheld correctly.

I am being told this is not possible? Is there any work around if an employee works remote and moves? Can I deactivate the current employee and add them as a "new" employee with their new state?

Re: Employee Tax Jurisdiction Change

Donnie-M — Thu, 27 Mar 2025 11:38:17 GMT

@watersoundescap I haven’t had to do this myself yet, but if it were me, here’s what I’d try:

✅ Deactivate the employee tied to the old state
✅ Re-add them as a new employee, using their new address and assigning them to the correct work location (make sure the new location/state is added under Payroll > Settings > Work Locations first)

It should keep prior payroll records intact while generating separate year-end forms (like W-2s) for each state—since it essentially treats it as two employment periods. I’d definitely keep an eye on it, especially around tax time, just to make sure things split cleanly.

Hope that helps.

#RemotePayrollMoves #TaxSplitLogic #HatOrBust

Re: Employee Tax Jurisdiction Change

hbconley — Wed, 14 May 2025 22:31:01 GMT

Thank you for posting this. I was told the same thing. This is craziness to me. People move all the time.