

Tax Credit = $136.40 x Number of Regular Allowances Claimed on DE-4. Determine the tax credit by applying the following guidelines and subtract this amount from the result in step 7:.Subtract the standard deduction shown in the Standard Deduction Table below from the result of step 6 to determine the taxable income.Determine the additional withholding allowance for itemized deductions (AWAID) by applying the following guideline and subtract this amount from the gross annual wages:ĪWAID = $1,000 x Number of Itemized Allowances Claimed for Itemized Deductions on DE-4.

If so, no income tax is to be withheld.ġNumber of regular allowances claimed on DE-4.

The annual personal exemption credit has changed from $134.20 to $136.40.The Single, Married, and Head of Household income tax withholdings have changed.The standard deduction for Married with 2 or more allowances, and Head of Household has changed from $9,074 to $9,202.The standard deduction for Married with 0 or 1 allowance has changed from $4,537 to $4,601.The low income exemption amount for Married with 2 or more allowances, and Head of Household has changed from $30,083 to $30,534.The low income exemption amount for Married with 0 or 1 allowance has changed from $15,042 to $15,267.The income tax withholdings formula for the State of California includes the following changes: TAXES 21-15, California State Income Tax Withholding

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