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W-4 Form for Year 2020

Hello community,

This is our W-4 discussion blog. If you have questions about topic, you can post it here. This blog will be updated with tips, best practices and, SAP Notes related to this subject.

2760918 BSI: TaxFactory 11.0 – DDIC Changes
2763228 BSI: TaxFactory 11.0 – Function Modules Changes
2770832 BSI: TaxFactory 11.0 – General Technical Changes
2780204 BSI: TaxFactory 11.0 – Changes required for TaxFactory SaaS
2790902 BSI: TaxFactory 11.0 – Payroll Driver Changes
2845130 Prerequisite objects for SAP Note 2845128
2853402 Correction of report NOTE_2845130
2845128 TAX: W-4 Form for Year 2020 – Master Data (SAP_HR)
2850174 TAX: W-4 Form for Year 2020 – Master Data (EA-HR)
2845529 TAX: W-4 Form for Year 2020 – ABAP Webdynpro ESS and Renewal (EA-HR)
2870221 Post-implementation objects for SAP Note 2845529
2863489 Prerequisite objects for SAP Note 2855896
2855896 TAX: W-4 Form for Year 2020
2870177 TAX: W-4 2020 – Not reading infotype 0210 for periods in 2019 with checkdate in 2020
2871658 TAX: Missing field labels for ESS W-4 2020.
2872242 TAX: Exempt indicator does not change fields for W-4 for year 2020
2875533 Delimited Filing Status Description resulting in validation error in Decoupling Framework in specific situations
2876794 TAX: NWI parameter misplaced in BSI Interface for TaxFactory 10.0
2880390 W-4 ESS: Changing field property and usage of BAdI HRXSS_PER_BEGDA

IMPORTANT -> these notes contains a lot of manual steps, that must be implemented.
– There is a minimum Support Package requirement to these notes to be implemented.

Improvement for ESS ABAP WebDynpro application.

2876047 Prerequisite objects for SAP Note 2868576
2868576 – W-4 ESS – Allowing the configuration of begin date in standard ESS
2878349 – PAYSLIP: W-4 Form for 2020 – Fields enablement for PE51
2881471 – Prerequisite objects for SAP Note 2880845
2880845 – Tax Infotype Summary Report for W-4 2020

With this enhancement, users will be able to set the start date of the records created in their ESS. More information can be found in the notes.

FAQ blog:
https://blogs.sap.com/2019/12/16/w-4-employees-withholding-certificate-and-federal-income-tax-withholding-for-2020/

Regards,
Graziela

262 Comments
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  • Hello,

    Does SAP also updating W4 form for Java based webdynpro application? I understand this is updated for ABAP webdynpro application but our company is still using Java based web dynpro application.

     

    Regards,

    Nirmod

  • Hello,

     

    In note 2870071 – TAX: Filing Status customizing for W-4 for year 2020, there are new entries for marital status, 03, 04 and 08 effective 01/01/2020.

     

    For 04, being ‘Married filling jointly’, are we supposed to delimit ’02’?

    Tax Authority Filing Status Text Long Text Start Date End Date
    FED 03 Ma. Sep. Married filling separately 01.01.2020 31.12.9999
    FED 04 Ma. Joint. Married filling jointly 01.01.2020 31.12.9999
    FED 08 Widow(er) Widow(er) 01.01.2020 31.12.9999

     

    Thank you and Happy Holidays!

    Euna

  • Hi –

    I am still having a problem displaying the new W4 fields in ESS.  The component controller context node IT0210 has the new fields, but the context node IT0210 in the view V_W4 does not.  We do have enhancement code.  Commenting out that code entirely does not change the fact that the new fields do not exist in the view.

    We’ve implemented all the W4 notes.  What could we be missing?

    Thank you.

  • Hi,

     

    We have been creating a 210 effective 1/1/2020 to test ESS.  I thought if I tried to edit an existing federal 210 on 1/1/2020, the new fields would show up without the additional record.  I see that this is not the case.  I don’t see the new fields until a 2020 record is saved. Am I doing something wrong?

    Thanks

  • Does anyone know if this note is related to the SAP ESS process only?  Or do we all need to apply this note?

    2874752 – TAX: W-4 Additional Technical Improvements (SAP_HR)

  • Does anyone have this issue with SAP ESS or PA30 after applying all the W-4 changes?

    Ex: Rehire in 2020 who termed previously in 2006, IT210 for FED and MA were not delimited in 2006 upon termination (still infinite dated).  Rehire now has FED and CT for IT210.  We can create the new FED record of 1/5/2020-12/31/9999 because it auto delimits the old 2006 record and we can create the new CT record for the same dates because it’s totally new.  However, the system won’t let us delimit the old MA record from 2006.  We get the error about control record retro date (change before earliest date according to control record for py area).  We set our main PA03 control record back 3 years due to W-2C’s so it is set at 12/27/15 for a couple more periods.

    According to my payroll team, this worked before we put all these changes in for the W-4.  We do NOT use the SAP ESS process, but this is not working for PA30 either now.

    Any input/suggestions would be appreciated.

    Thanks!

    • We are having the same issue as well.  Hopefully SAP will deliver a fix for this.  You can choose delimit from PA30 and enter the appropriate date and it will delimit the record appropriately as a workaround.  You can also copy the record you are trying to delimit and enter the new begda/endda dates, then delete that record.  That is what we are doing for now. 

  • Graziella,

    We have applied all the necessary notes for the new W4 and are still experiencing problems showing the new fields on ESS, even after we have created a 1/1/2020 W4 using the SAP GUI for IT210.  I’m not sure what we are missing, but I’m guessing it must be a manual process we have neglected to correct.

    Steve F.

    • Steve, are you using the ABAP Webdynpro version or the JAVA version of the form? The changes for 2020 are only available for the ABAP version….

  • Hi Team,

    We have upgraded HRSP to 72 and then installed all the required notes for new W-4 2020. IT 0210 looks fine, filing status updated as well. BSI is currently on tub 179. However SAP payroll is not considering the with holding amount maintained in the IT 0210 & resulting in higher federal withholding taxes.

    Attached few screen shots of the same.

    The only thing that we missed is the BSI cyclic W, not really sure if thats the one causing this issue.

    Can you please help. What could be causing the issue for SAP not to consider the exemption amount maintained in the IT 0210. This is urgent appreciate all the inputs

    Thanks

    JK

    • Cyclic W was effective beginning with TUB 175, so you should apply this.

      Also if you check the marital status in the BSI log, you see it shows MS:2 which does not match your IT210 screen of MS:3 (unless this is how you have configured your table T5UTK).

      Another thing you could check is the BSI Message Viewer to see if it gives you more information about how the tax is being calculated.

      • Thanks Alicia Robinson will apply Cyclic W & verify as well. Yes the screen shot for the BSI was wrong i guess i verified again now the MS value in BSI is 3 as well which is matching with IT 0210/T5UTK.

         

        Will keep you posted

        Thanks

        Jk

      • Hi Alicia,

        I am having similar issue as JayaKrishna

        We are on BSI 11 (A-13) and have applied all the notes as you have mentioned but during testing, system ignores “Dep. Credit Amt” and just calculate tax as per default filing status (Single/0).

        I reached out to BSI and together, we did testing on TaxFactory, there it was calculating correctly, and according to their conclusion, it is SAP issue.

        Can you please advise, I will greatly appreciate it.

        • Rizwan –

          We aren’t on BSI 11 yet so not sure I can advise for this issue.  I can offer a few question that you can check:

          • What marital status code is being used?  Typically if BSI is converting this to another status the one you are using is no longer applicable.
          • Have you reviewed the BSI Message log to see what messages it has?  This would tell you if the marital status is not valid and other messages as well.

          Hope this helps to find your issues.

          • Thanks for the response Alicia,

             

            For marital status 03, when I processed payroll, BSI message was “Your request to use 3 marital status for the federal withholding tax is not all owed. This tax has been calculated using the 1 martial status“.

            But when I downloaded BSI interface and tested in Tax-Factory, it process fine

            I was working with BSI support, they were suggesting it is SAP issue,

          • Rizwan –

            Sorry I can’t help on this one.  The table looks good since MS:3 is active.  We aren’t on BSI 11 yet so not sure if there is something in those settings that could be causing you an issue.  The only thing I can suggest is to verify you have all the OSS notes needed and then check the BSI interface within the payroll log to make sure it’s doing everything correctly as well.

          • No Worries, thanks, I am suspecting our development team might have missed a step or two while implementing those Notes. SAP is releasing HRSP 76 next week, therefore, we will update those, and hopefully that will correct if any Note was not applied correctly.

            Again thanks for your time and effort,

            Regards,

            Rizwan

  • Hi,

    I was wondering with the new Federal W4 changes in place. What does this do to IT0161 IRS Limits USA? We are facing issues since we have updated the T5UTK table with the correct filing status. The letter we received states Married, which is no longer an option. What are other companies doing in this case?

  • Hello All,

     

    My client is based out of Colorado state and they are looking for 2020 withholding tax formula, but still I could see BSI has not release any formula for 2020. Could you please share if you have any information related to this.

    Thanks in advance

     

  • Hi Graziela,

    Will the new W4 fields be available for inclusion on the Remuneration Statement so the employees can confirm their choices were applied to the payment?

    Thanks,

    Stanette

     

  • Unable to save 2020 Arizona ESS form – We are currently at SAP support level 608/74 and in addition we have applied All W4 related ESS notes from Level 76. When we try to submit ESS – Arizona form, the field alternate formula is initial there  On saving form system returns an exception that “Fill in the missing fields” and then alternate formula field  is no longer on the screen.

    This is the only state that we are experiencing issue.

  • We have applied all the Notes, and have upgraded to BSI 11 (A – 13). When I test the payroll, system is calculating at single and zero (default filing status) and ignores amount in “Dep. Credit Amount”. I checked with BSI, and when we ran BSI Interface in TaxFactory, it calculates the correct tax amount. but in SAP it is just calculating at default filing status. Any idea?

  • Can someone tell me if SAP is supporting the W-4P? It is the W-4 for pensioners. Prior to the change this year, the W-4 and W-4P were pretty much the same. Now the W-4 changed but the W-4P didn’t so they are different. W-4P still has exemptions etc. How can we handle this for the different groups?

      • Thank you Alicia.

         

        I see SAP doesn’t support the W4-P, however per the US Federal Government it is a valid form and therefore we should have a solution from SAP to support this legal form. My client is pushing for a solution. I am hoping SAP will respond so I know what to tell them.

  • Hi all –

    – -Tax Factory 10 cyclic W bulletin 181 – –

    I am not seeing any difference in my FED withholding when toggling the Multiple Job Indicator checkbox. It seems to be using the first tax table regardless. I have attached a couple screenshots.

    Any help is appreciated?

     

     

  • The validity date added into the ESS screen is very good, however when we go into the screen it is not visible because it is at the bottom.  Employees do not initially think of scrolling.  Since HR / Payroll is a date driven system, why is the Validity section at the bottom instead of at the top?  It should be either before the “Personal Information” section or at least before the “W-4 Information” section.  Especially since by changing the date to a 2020 date the display in the W-4 section changes.

    Please move the Validity section up higher on the ESS form to a more logical location.

    Thanks,

    • If SAP does not do this (it actually matches/consistent with most all of their other ESS WDA apps), it is very easy to  create a custom WDA configuration and move it to where you like.

      • Thanks Chris, as an example to your custom suggestion we have customized the ESS JAVA and Web Dynpro ABAP applications to more closely match the actual W-4 form. (We modified both as we started out planning to use Web Dynpro but we decided to go with JAVA for now to match our other production applications):

        Keep in mind that this was done by our Web team (programmers) and it is not configuration:

  • H All

    we are using Symmetry and we have uploaded the new W4 -FED

    However, we are encountering an issue with the 6 states that have new W4 form like DE, CO, UT, NM the new fields are not showing it IT0210.. we did the mapping as requested by symmetry  . it’s working for FED but not for the states that are following the W4-Federal Form ( Delaware , Utah, New Mexico, Colorado…etc ).

    Will SAP be releasing new notes for States following the FED W4 format.

    This is an urgent requirement please if you can assist.

    Thank you!