Highlights Features Updates Recordings Resources

Click for full PDF release notes

Certain American States provide a “safe harbor” threshold such that outbound employees are generally not liable for income tax if their time spent outside the state exceeds the specified number of months. The tax engine uses the Assignment Duration value to automatically exclude actual state income tax. This automatic feature will not apply in What-if Cost Estimate (WICE) when Work-Time Split feature is utilized. The assumption is that the employee will be working in both the home and host location during the project period, hence remaining liable for home state tax.

States impacted include California, Connecticut, Delaware, Idaho, Maine, Minnesota, and New York.

The “safe harbor” feature will continue to operate for Cost Estimates created using the wizard format or as part of an Assignment Package; and for WICE if Work Time in Home is Nil.

Click for full PDF release notes

Added an indexation factor, primarily based on Consumer Price Index, to update tax bracket thresholds and other amounts, such as personal allowances and standard deductions to the estimators listed below. This enhancement will further improve accuracy and timeliness of future annual updates.

Click for full PDF release notes

Updates include calculation and rate changes to reflect current tax law resulting from inflation adjustments, legislative changes, and review of supported authorities. Effective dates indicate when the changes enter into force. Amounts are annual unless stated otherwise.

Income Tax: Corrected the household credit for each dependent to EUR 220 when the number of dependents exceeds two. Previously, the amount was EUR 450, resulting in a potential understatement of tax.

Income Tax:

Income Tax: Corrected the outbound nonresident calculation to omit the Quebec adjustment. Previously, the adjustment was calculated on Employer Paid Medical and Dental and Employee & Family Medical Emergencies Host Country, resulting in a potential overstatement of tax.

Social Security: Increased the following, effective July 1, 2022:

Social Security: Decreased the employee and employer contribution rates by 0.25% to 13.87% and 22.29%, respectively, effective June 1, 2022.

Other Employer Costs: Added a 6% payroll tax for outbound assignments when Tax Resident? is Yes and all inbound assignments.

Income Tax: Removed the dependent credit of EUR 950 minimum per dependent when income is less than EUR 95,000, effective March 1, 2022.

Social Security: Increased the wage ceiling by PKR 72,000 to PKR 300,000, retroactively effective June 1, 2022.

Income Tax: Added seven tax rate options to the Municipality input, and increased precision by expanding the rate to two decimal places. The Stockholm rate of 29.82% is used as the default. Previously, only a 30% municipal tax rate was available.

Social Security: Corrected Employer Social Tax on Hypothetical Income to output Nil when Home Country Employer Portion Social Tax is Nil. Previously, the additional national insurance contribution of 1.3% may output for 2022 and later, resulting in an understatement of tax.

Income Tax: Decreased the top bracket rate by 0.6% to 4.9% and increased the bracket thresholds, retroactively effective January 1, 2022. The new top rate applies to income above $23,600.

Income Tax: Corrected the indexing rate for 2022, which decreased the following:

Help Center articles updated this release: