The Occupational Privilege Tax (OPT), used by Denver, Colorado, and many of its surrounding communities, is a tax levied on employees and employers (via an employer match amount). The employee per-month fee and employer match fee vary from city to city. To learn more about a city's current rates and calculations, visit the following city websites.
Add and verify the client’s location within an OPT city.
In the Payroll Taxes tab, select
Local
.
In the
Local
window, mark the
Nexus
checkbox for both the employer and the employee tax.
note
The OPT tax is listed twice in the Colorado section of the
Taxes grid
in the Payroll Taxes tab.
Set up the employee
Select the work location in the main tab of
Setup
then
Employees
.
Process payroll checks
The OPT tax automatically calculates based on the number of hours entered in the employee's primary work location when entering payroll checks individually or in a batch.