Several of our investors live out of state. We were told that we should start withholding state taxes from their checks. How do I do that? And, how do I then pay the taxes at the end of the year? Will the program create a liability account for me? (AM)

You can enter the state withholding percentage on the Division of Interest screen for the owner. If they have multiple interests then you can fill it out on each interest. The software will automatically deduct this from the checks.

It will post these amounts to the "Backup and Tax Withholding" account you have specified in Maintain > Disbursement and JIB Options > Accounts tab. (Version 5)

It will post these amounts to the "Backup and Tax Withholding" account you have specified in Edit > Preferences > Rev Dist/JIB Posting Preferences. (Version 6)

When it is time for you to pay these you will have to do it manually. You can see the amount to pay by looking at the account that is accumulating the withholding.

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