Process Quarterly Taxes

Review Payroll Summary

Print the payroll summary report to verify amounts throughout the process.

NAVIGATION: REPORTS menu > Check Registers > Check Register - Detailed

1. Enter the Year Begin date (i.e., 01/01/20XX)
2. Enter the beginning date and ending date for the quarter in the next 2 fields (Start Date and End Date)
3. Place a check in the Grand Total Page Only.
   1. NOTE: The box for Print Tax Liability Summary should already be checked.
4. Preview or print the report (see Report Preview, Print and Save Options)

Process 941 Form

Setup

1. If you have not used the 941 process before, go to SETTINGS menu > Payroll Settings.
2. Open the 941 Information tab
3. Complete all of information fields
4. Select your Deposit Frequency: Monthly, Quarterly, or Semiweekly
5. Click SAVE
6. Close the Payroll Settings view

941 Report

This report may be run for any date range: the year, a quarter, a pay date, etc, for informational purposes.

NAVIGATION: REPORTS menu > 941 Processing > 941 Report

1. For Quarterly tax reporting, enter the first day of the quarter as the Start Date and the last day of the quarter as the End Date.
2. Preview or print the report (see Report Preview, Print and Save Options)
3. Review the report
4. The last page of the report is the grand total page.
5. If a HIRE ACT section is included on the report, there are employees still enrolled in the Hire Act. This Act is no longer available. These employees' SS benefits will need corrected.  Please call the Horizon Help Desk for assistance.

Pull 941 Information

NAVIGATION: REPORTS menu > 941 Processing > Pull 941 Information

1. Enter or select the End Date of the quarter you are processing.
2. Press PULL at the top of the view
3. Press OK when complete

View and Edit 941 Information

NAVIGATION: REPORTS menu > 941 Processing > View/Edit 941 Information

1. Enter or select the Quarter Ending date.
   1. This is the last day of the reporting quarter: such as 3/31/2022.
   2. Press TAB to open the pulled information
2. GENERAL INFORMATION:  Review and correct any incorrect information.
   1. Incorrect information may also need updated at System > Company Information or at Settings > Payroll Settings > 941 Information.
3. WAGE INFORMATION:  Normally this information should not be altered. It should match the information on the 941 Report printed in Step 1.
4. ADJUSTMENTS:  Enter any Adjusting amounts for Sick Pay, Group-Term Life, and COBRA.
   1. The "Total Deposits" amount will default to the deposits that should have been made.  Make sure this amount agrees with your actual deposits made for the quarter.  If not, you should change the amount here.  
   2. If an adjustment is to be made to the Fraction of Cents, place a check in the Fraction Override box and enter the appropriate amount.
      1. NOTE:  There are no Federal guidelines as to the limit you are allowed to have on the “fraction of cents” line on form 941.  Using the Horizon 941 process will cause your fractional adjustment to be zero in 1 of 2 circumstances:
         1. Your Fraction of Cents adjustment is $2.00 or more
         2. Changing the Wage Information amounts or Total Deposits causes the Fraction of Cents adjustment to recalculates as $2.00 or more
      2. If you feel the fractional adjustment should be an amount other than zero, check the Fraction Override box and enter the amount.  Make sure to press TAB twice until the Balance Due or Over Payment recalculates.
      3. Do not remove the Fraction Override check. This may cause the Fraction of Cents to recalculate.
      4. Press SAVE when done.
5. Also select an Overpayment Action, when applicable, as either "Apply to Next Return" or "Send a Refund."  If there is no overpayment, "Undefined" or "N/A" should be selected.
6. LIABILITY DETAILS:  This tab will show the totals for each check date recorded in the quarter.
   1. NOTE:  Corrections may be made to this information.  When complete, the "Total Liability" shown on the right must match the "Total Tax After Adjustment" on the Adjustment tab.  Generally,  you should not need to make changes on this tab unless you entered Adjustments in the previous step.
7. Make sure to press APPLY if it is highlighted when you are done with this section.

Print 941 Quarterly Form

NAVIGATION: REPORTS menu > 941 Processing > Print 941 Quarterly Form

1. Enter or select the Quarter End Date
2. Preview or print the report (see Report Preview, Print and Save Options)
3. If page two, Part 5 of the form displays "941 NOT BALANCED - INVALID FORM" in the signature box, then your "Total Liability" on the Liability Details tab in the View/Edit 941 Information program does not match the "Total Tax After Adjustment" on the Adjustments tab.  
4. Correct the amounts in the View/Edit 941 Information program (go to Reports > 941 Processing > View/Edit 941 Information)
5. Reprint the form.  Amounts cannot be corrected on the form.

Process PA Unemployment

Review State Unemployment Report

NAVIGATION: REPORTS menu > Unemployment Reports > State Unemployment

1. Enter the appropriate date range for the quarter (Start Date and End Date)
2. Enter the State Code, i.e., PA
3. Select the PAUC Deduction Code from the drop down list
4. Preview or print the report (see Report Preview, Print and Save Options)

Review State Benefit Week Report

NAVIGATION: REPORTS menu > Unemployment Reports > State Benefit Week

1. Enter the appropriate date range for the quarter (Start Date and End Date)
2. Enter the State Code, i.e., PA
3. Select the PAUC Deduction Code from the drop down list
4. Press CALCULATE BENEFIT WEEKS
   1. Pay date range: for the starting and ending pay date, enter a date two weeks before the start of the quarter as the beginning date and two weeks after the end of the quarter as the ending date
   2. Time card date range: enter the first and last day of the quarter for the beginning and ending dates
   3. Press CALCULATE
5. Preview or print the report (see Report Preview, Print and Save Options)
   
   NOTE:  The current PA UC rules states that a credit week is any calendar week from Sunday thru Saturday in which the employee earned $116 or more.

Create UC Magnetic Media File

 Do not open the electronic file generated in this step.  If you open in Excel, the data may be change resulting in the file being rejected.  If you need to open the file, open with NotePad.

NAVIGATION: MAINTAIN menu > State Taxes

1. Open the State browse.
   1. There should be two records for each state, a M (Married) and a S (Single), select and review them.  
   2. The S (Single) record should have the 7 digit UC ID Number entered in.  When entered here, the number will automatically pull into the Unemployment Export.  
   3. Enter your company's UC Max and UC Percentage here also as well as your State ID.
   4. Verify that this is your correct UC Account Number with no hyphen, no R or M indicators.  Do not drop the leading zero, if applicable.

NAVIGATION: UTILITIES menu > Payroll Exports > Unemployment Export

1. Enter your State Code, i.e., PA
2. Select your Deduction Code for PA UC
3. Enter or select the beginning of the quarter as the Start Date
4. Enter or select the end of the quarter as the End Date
5. Tab or click into the U.I Account # field.
   1. Your UC account number will automatically populate.  
   2. It should not contain a hyphen or letters.
   3. Correct if needed in the State Tax Table under the S (Single) account.
6. Select a File Type of PA Comma Separated (for internet upload)
7. Enter the File Path: this is the location where the file will be saved. EXAMPLE:  C:\HZTEMP
8. Press TAB or ENTER to move to the File Name field; the correct File Name using your U.I. Account # will be inserted.  Do not alter this file name.
9. Enter the name of the person creating the file as the Contact, their Title, Contact Phone and Extension if applicable.
   1. All caps, no periods, hyphens, etc.
10. Press CREATE FILE on the Quick Links bar
11. Send the file per your State's instructions
12. For Pennsylvania go to www.uctax.pa.gov
    1. Remember to run the UCMS File checker before uploading to look for any errors.  Get the latest version at: http://www.portal.state.pa.us/portal/server.pt/community/uc_management_system/18222
    2. Verify that your file has been processed. Login at www.paucemployers.state.pa.us two business days after submission of the file to verify that the tax and/or wage data submitted has been processed and is posted to the employer's UC account. If the data is not posted, contact the Office of Unemployment Tax Services (UCTS) e-Government Unit at 1-866-403-6163, option 1, or in the Harrisburg area at 1-717-787-7679, option 1.

See Also Read the PA UC File 

Process Local Service Tax

Review LST Reports

Use this report to report taxes by paper or by typing amounts on the Tax Collector's Web Sites.

NAVIGATION: REPORTS menu > Deduction Reports > By Vendor Code

1. Leave Vendor Number and Name blank
2. Enter the Start and End Date for the quarter
3. In the box for Pattern Match, enter the 1st and 2nd letters for your LST Deduction Code and "??"
   1. EXAMPLE:  LS??
4. Preview or print the report (see Report Preview, Print and Save Options)

Export LST Report

Before creating the export file, especially if this is your first export of LST or if you have added new LST tax deductions this quarter:

NAVIGATION: MAINTAIN menu > Deduction/Benefit Master

1. Select the LST tax code
2. Review the settings for this code:  Mandatory should be checked, Category should be LST Tax
3. Open the Work Site Address tab and complete all fields for name, address and phone
4. Open the Work Site Setup tab and complete all fields
5. Click SAVE
6. Repeat for each LST deduction code and then do the Export

Create LST Tax Export

Use this export utility to create the file to upload your local tax information to your tax collector.

 Do not open the electronic file generated in this step.  If you open in Excel, the data may be change resulting in the file being rejected.  If you need to open the file, open with NotePad.

NAVIGATION: UTILITIES menu > Payroll Exports > LST Tax Export

1. Verify that the Company information is complete and correct
2. Changes can be made here for incorrect information but the information cannot be saved. Changes can also be made by going to Settings > Company Information. Changes made in this program can be saved. Close and reopen the Local Tax Export program to see changed information.
3. Select the Deduction Code or leave blank for all or to select a Vendor.
   1. Only Deductions Codes that have been setup in the Deduction/Benefit Master with a Category of LST Tax will be available.
   2. If a Deduction Code is selected, do not select a Vendor.
4. Select a Vendor or leave blank if a Deduction Code was selected.
   1. All LST Deduction Codes that have this vendor saved on the Deduction/Benefit Master>Accounts Payable Interface tab will be used in this export.
   2. Use this option to export all deduction codes that are reported to a particular tax collector in one file.
5. Enter the Start and End Dates for the quarter
6. Enter your contact information in the File Parameter Section
7. In File Name under "Output Information" enter a complete location file path and name to save this report to.
   1. Example: C:\hztemp\LSTtax.txt
   2. This will create the file "LSTtax.txt" on your computer's C:\ drive in the hztemp folder. You may choose any location and file name.
8. Press CREATE FILE on the Quick Links bar to process and save the file.
9. Go to your Tax Collector's Web site and upload the file from where you saved it. Select the upload format of PA Standard Format.

Local EIT Reports for Pennsylvania Local Tax

Use this report to report taxes by paper or by typing amounts on the tax collector's websites.

NAVIGATION: REPORTS menu > Deduction Reports > Local Tax Report

1. Select the Deduction Code or leave blank for all. Only Deduction Codes setup with a Category of PA Local WorkSite will be available for this report.
2. Enter the Start and End Dates for the quarter
3. You may select Employee Number or Name to sort by
4. PRINT or PREVIEW the report

Export the Local EIT Report

Use this export utility to create the file to upload your local tax information to your tax collector.

NAVIGATION: UTILITIES menu > Payroll Exports > Local Tax Export

1. Verify that the Company information is complete and correct
   1. Changes can be made here for incorrect information but the information cannot be saved. Changes can also be made by going to System > Company Information.  Changes made in this program can be saved.  
   2. Close and reopen the Local Tax Export program to see changed information.
2. Select the Deduction Code or leave blank for all or to select a Vendor.
   1. Only Deductions Codes that have been setup in the Deduction/Benefit Master with a Category of PA Local WorkSite will be available.
   2. If a Deduction Code is selected, do not select a Vendor.
3. Select a Vendor or leave blank if a Deduction Code was selected.
   1. All "PA Local WorkSite" Deduction Codes that have this vendor saved on the Deduction/Benefit Master>Accounts Payable Interface tab will be used in this export.  
   2. Use this option to export all deduction codes that are reported to a particular tax collector in one file.
4. Enter the Start and End Dates for the quarter
5. Enter your contact information in the File Parameter Section
6. In File Name under "Output Information" enter a complete location file path and name to save this report to.  Example:  C:\hztemp\Ltax.txt
   1. This will create the file "Ltax.txt" on your computer's C:\ drive in the hztemp folder.  You may choose any location and file name.
7. Click CREATE FILE on the Quick Links bar
8. Save the file
9. Go to your Tax Collector's Web site and upload the file from where you saved it.  Select the upload format of PA Standard Format.

For Local Taxes reported to other states than PA:

NAVIGATION: REPORTS menu > Deduction Reports > By Vendor Code

1. Leave Vendor Number and Name blank
2. On the right hand side, enter a check in Local Taxes Only
3. Enter the Start and End Dates for the quarter
4. Preview or print the report (see Report Preview, Print and Save Options)

Review Recurring AP Transactions

If you use the AP Wizard during Process Payroll to print deduction checks/enter electronic payments, review the recurring AP transactions.  If you do not use the AP Wizard,  skip this step. 

In the Financials Management Program:

Pull Payroll Information to Recurring

NAVIGATION: RECURRING menu > Pull Payroll Information to Recurring

1. Select the group for Quarterly Payroll and enter the beginning and ending dates for the quarter
2. Enter the voucher date, which would be the date you are printing the tax checks
3. Click PULL 
4. When the process is complete, close the Pull Payroll Information view

Review Recurring AP

NAVIGATION: RECURRING  menu > Recurring AP Edit List

1. Select the Pay Group for the account you are using to print the checks
2. Under Frequency Selections, select the Type = “Variable”, the Group = “Quarterly Payroll”, and the Next Date from and to, should be the voucher date entered above
3. PRINT or PREVIEW the list and compare the check amounts to the reports you printed for the quarter
4. If the amounts do not agree, they can be edited in Recurring Accounts Payable Entry
5. If the amounts agree, go to Activities menu > Recurring > Recurring Accounts Payable > Post Recurring AP Transactions
6. Enter the same Pay Group and Frequency selections that were used to print the edit list
7. Under date information, enter the date of the checks in the Invoice Date and Transaction Date fields.
8. Click POST on the Quick Links bar
9. This will post the vouchers that are now ready for the Check Printing Process

Print Tax Liability Checks

In the Financials Management Program:

NAVIGATION:  PROCESSING menu > Check Processing Wizard

1. Enter the Checkbook ID and Pay Group, Payment Date and Check Date. Normally these should be the same dates.  
2. If you have already selected the tax vouchers to pay, assure that your ID is checked as having vouchers to process in the Process Vouchers Already Selected by and press NEXT  
   1. NOTE:  If vouchers were not selected the window will be blank
3. Select or unselect vouchers to pay if needed
4. PREVIEW or PRINT the Pre-Check report and review
5. Click NEXT
6. Verify the starting check number and your check printer and press PRINT CHECKS.
7. Once the checks have been printed, press NEXT to move to the Verification Screen.
8. If checks did not print correctly, check any checks that did not print correctly, press CLEAR or VOID, then BACK to reprint the checks; make sure to re-verify the next check number.
9. Once all checks have printed correctly, click NEXT.
   1. If you are using ACH to pay Vendors in this check run you will be taken to the ACH printing screen.
   2. Print ACH slips the same as check printing.  
   3. Unprinted slips will not post as paid.
10. Click FINISH to post
11. Preview or print the report (see Report Preview, Print and Save Options)

12/2023

NEED MORE HELP?  Submit a ticket to the Help Desk or call (814) 535-7810 or (800) 889-3388