Taxes and accounting in payroll

Hi!

In payroll, it looks like state and federal taxes are deducted together. What would be the best way to account for this? I was told that I should account for state tax liability and federal tax liability separately but it doesn't seem possible with the way that payroll deductions are done. Any thoughts or ideas? 

Thanks!

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Hi @readwithme! Unfortunately, we can't offer advice on how to itemize your journal entries within your accounting software. As it's really important to get taxes right, and they can certainly be tricky, I recommend reaching out to an accountant or tax professional if you haven't already! 

 

️ Helen
Seller Community Manager

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