state income tax withholding

[Guest Mike Kimball]

today on benefitslink there was a link to a CIGNA website that summarized state income tax withholding rules. I found it very useful. We do business in just about every state. Does anyone know of other sources or links to "official" information about the withholding rules for the various states?

[Guest greymann]

The Investment Company Institute (ICI) in Washington D.C. publishes a survey on state withholding, which is available to its members. I don't know if they would provide it to you (for a fee) if you are not an ICI member, but it can't hurt to ask.

On another matter, does your company feel legally obligated to withhold at the various state rates, or this an additional service that you are able to provide? And, how much involvement does your company have in each of these states? Thanks for your response.

[Guest Bill]

I am currently working on establishing procedures and tax accounts with all of the states to do withholding. We are concerned that we should be doing it in the states where we have bank offices but are also finding more clients asking for this service lately. I too am looking for other sources, CIGNA's material is really good but I don't agree with their entire list of mandatory states. Like Mike, I would appreciate any other input also.

[Guest Mike Kimball]

Currently, we aren't doing anything for state withholding, which we realize is a potential problem, hence the request for info from people. We are servicing plans in about 30 states currently, but will probably have all 50 before long. Some of the participants are receiving cash distribution, but so far none of the plan sponsors have asked us the question about withholding. I'm trying to formulate the procedures to comply.