Arizona Voluntary Withholding

Overview

Updated 09/29/2022

Employees may elect to withhold AZ taxes even if they're working in another state if they fill out the "Arizona Voluntary Withholding" form.   This feature is only applicable if the employee has filled out the Voluntary Withholding Request for Arizona Resident Employed Outside of Arizona form; this will cause AZ income tax to be withheld along with worksite income tax.   For example: if an employee lives in Arizona but works in Michigan and would like to voluntarily withhold their Arizona withholding, this process will enable them to do that.

Sections Setting up the EmployeeExtra Using the Extra option with an Employee

Sample Voluntary Withholding Request for Arizona Resident Employed Outside of Arizona form:

Setting up the EmployeeExtra

In AviontéCLASSIC, the Arizona Voluntary Withholding option is tracked in EmployeeExtra using a ChoiceCode with a SystemName of AZA4V (ChoiceCode should be "Arizona Voluntary Withholding").

1. Go to the Start Page > select Actions > select Admin Tools.
2. Double-click Config Choice.
   
   
   
3. Click the Add New button.
   
   
   
4. For Category, search for and select EmployeeExtra; press [TAB]; for Choice Code, enter "Arizona Voluntary Withholding;" enter text for a Description [Note: this description is what displays in the Employee > Extra > Category. This example, AZ WH for resident is used].
   
   
   
5. Select the Sites for which the Choice Code should apply by checking the boxes next to them (in the "Shared By" frame). Click Save.
   
   
6. Select the ChoiceProperty tab.
7. Search for and select the Category EmployeeExtra; Select the desired parent Branch; check the box Apply changes to all Branches; click Go.
   
   
   
8. Find the Choice Code Arizona Voluntary Withholding; scroll to the right to the SystemName column; change the value in the cell to "AZA4V" and the ValueList value to "Yes,No".
   
   
   
9. Find the ChoiceCode column and verify it matches "Arizona Voluntary Withholding."
   
   
   
10. Exit the Config Choice window and Admin Tools.
11. Restart the Application to save the changes.
    
    

Using the Extra option with an Employee

1. Select Employee from the Front Office section; search for and select an employee who matches the Arizona Voluntary Withholding criteria; select the Extra option.
   
   
   
2. In Category: Misc, find the item "AZ WH for resident" and set the value to Yes.
   
   
   
3. The Tax tab and percentage should be in a fixed amount, and the Filing Status should be "AZ No State A4."
4. Add a fixed percent. This comes from the employee who filled out the AZ form.
   
   
   
5. Add additional withholding if applicable.
6. Repeat for all affected employees.
7. Run Payroll.