QB Issue Resolution:

Hello kyfh19,

If you are still experiencing issues with local taxes, the following information will assist with adding local taxes to your account.

You will want to have the Jurisdiction in which local taxes will need to be withheld. Having the township along with the city will help greatly.
When initially setting up an employee, we will use the work location and resident address to determine the local taxes to withold. However, this can be changed if the desired local tax is not showing.
Click Employees from the left navigation bar, select desired employee to adjust local taxes
Click the pencil (Edit) next to pay
Click the pencil (Edit) next to number 1
Scroll down to Local Taxes, Click the arrow
There will be another pencil (Edit) next to the current city listed
On this screen you will be able to override the local jurisdiction. By entering the township name (With TWP following) it will generate a wider range of localities to select from
Once this is done, run a check to make sure the proper taxes are being withheld.

If it still does not calculate properly, please indicate which local tax the employer needs with held along with the Township and Zip code. We can assist with determing the best combination to make this work.

Resolution for Issue 'entering local tax deductions' available: Yes (Solved).
Source: Intuit Community forum.

entering local tax deductions: this issue or error code is a known issue in Quickbooks Online (QBO) and/or Quickbooks. Support for this issue is available either by self-service or paid support options. Experts are available to resolve your Quickbooks issue to ensure minimal downtime and continue running your business. First try to resolve the issue yourself by looking for a resolution described below. If it is a complex issue or you are unable to solve the issue, you may contact us by clicking here or by using other support options.

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