As you are aware, OFM has been working diligently on the enhancement of HRMS to automate processing of Out-of-State (OOS) taxes for Oregon and Idaho. Enhancements related to OOS tax processing will go into HRMS production at 5 p.m. on Tuesday, July 9th. It is very important to note that this release is a pilot release, not a full release for all agencies at this time.
Pilot Agencies
OFM has selected 2 agencies with large quantities of Oregon and Idaho residents who will take part in the initial pilot launch. During the pilot launch, these two agencies will process payroll for their out-of-state employees for at least the next two pay periods. This approach was selected to ensure every piece of processing is exactly as intended.
Statewide Release
OFM will continue to communicate as we progress toward allowing remaining agencies to process Oregon and Idaho taxes under the new configuration in HRMS. We ask that you do not attempt to process out-of-state taxes automatically through HRMS at this time, or until you are requested to do so. This will ensure our pilot plan is successful and we are able to move to the automation of OOS taxes in the timeliest manner possible.
Processors may notice that many infotypes and reports have slight changes to their functionality beginning July 10th for the pilot go-live. The following infotypes have undergone updates to support OOS processing:
Withh. Info. US (0234)
Other Taxes US (0235)
Residence Tax Area (0207)
Unemployment State (0209)
Withholding Info W4/W5 US (0210)
Work Tax Area (0208)
Withholding Info W4/W5 US (0210)
CAT2/CAT3
In addition, changes have been made to the names of Washington counties on the Addresses (0006) infotype; the word “County” has been removed. For example, “Thurston County” has been changed to “Thurston”.
The following reports have undergone updates to support OOS processing:
Preemptive Basic Data Check Report (ZHR_RPTPYN06)
Non-Pilot agencies should ensure they are not including OOS selections when they run this report. Please continue to use the report with current functionality.
Payroll Simulation (PC00_M10_CALC_SIMU)
A new redline has been added: Tax company XXXX with tax authority XX and tax type XXX does not exist! Please check View V_T5UTI. This new redline indicates out-of-state (OOS) employees are crossing different business areas mid-period, and the gaining agency is not configured to process OOS. Please send a ticket in for assistance immediately if you are not a pilot agency and one of your employees has received this redline.
Out-of-State Tax Authority Locator Report (New) – Information on using new reports will be provided as the statewide launch takes place.
At this time, agencies not involved in the pilot must continue to use current practice for each of these infotypes and reports. If you are uncertain, please refer to the HRMS Support Hub > Payroll Procedures for detailed current state processing.
All affected procedures, as well as data definitions, coding guides, and additional resources will be published at the time of full implementation for all agencies.
OFM will host an upcoming workshop to provide agencies with more information on processing Oregon and Idaho taxes in HRMS. Please stay tuned for future communications outlining details of the full statewide implementation.
