© Copyright 2016 ADP LLC. 5800 Windward Pkwy | Alpharetta, GA 30005
Please Contact Us for More Information: 800-000-0000
Author: ADP Admin/Friday, August 31, 2018/Categories: Compliance Corner
Overview: New Jersey employers must withhold state income tax on salaries, wages and other remunerations in excess of $5,000,000 at a 15.6% rate for 2018.
Details:
New Jersey state employer withholding law provides that employers must withhold state income tax from salaries, wages and other remuneration at certain rates. The amendments require a withholding rate of 15.6% on amounts in excess of $5,000,000 for tax year 2018.
The change must be made as soon as practicable, but no later than September 1, 2018. The New Jersey Director of the Division of Taxation is authorized to do all things necessary to implement the new withholding tax rate for the 2018 tax year. The amendments provide that no additions to tax or penalty will be imposed for insufficient payment of estimated tax received before September 1, 2018.
Call to Action: Please contact your Service team with any questions.