Yonkers, N.Y. issues new withholding tables for August 1, 2014

Beginning with tax year 2014, the Yonkers resident personal income tax surcharge is increased from 15% to 16.75%. Effective for payrolls made on or after August 1, 2014, employers must use the revised withholding tax tables and methods to compute the amount of Yonkers resident personal income taxes to be withheld from employees.

Form IT-2104 – Employee’s Withholding Allowance Certificate. The 2014 New York State Form IT-2104 has been revised to reflect legislative changes. The new Yonkers rates in Publication NYS-50-T-Y should ensure that the proper amount of tax is withheld for 2014. However, employers should encourage employees who completed a Form IT-2104 prior to August 1, 2014, showing an additional dollar amount of Yonkers withholding on line 5, to complete a revised Form IT-2104 to prevent under-withholding.

Supplemental Wage Rates. The supplemental wage rates will be: Yonkers Resident: 1.84704% (.0184704); Yonkers Nonresident: 0.50% (.0050).

All of the tables are reproduced in the CCH Payroll Management Guide beginning at ¶7558, and are also available at http://www.tax.ny.gov/bus/wt/wtidx.htm. (Yonkers Withholding Tax Tables and Methods, NYS-50-T-Y (8/14); New York State Department of Taxation and Finance TSB-M-14(4)I, June 27, 2014.)

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