Income Tax Solutions
Vertex Address Cleansing for Payroll On-Demand
®
Vertex Address Cleansing for Payroll
On-Demand provides the following
benefits:
• Improved accuracy for
jurisdictional assignment
• Decreased risk of
inaccurate withholding
• Ability to cleanse an address
of inaccurate data
• Conversion of a street level address
to a single Vertex GeoCode
• Conversion of a street level address
to a single PSD Code
When onboarding new employees, the identification of the correct withholding
jurisdictions can be a challenge. Oftentimes, there are several possibilities because
a five-digit zip code can exist in multiple jurisdictions. This can create incorrect
withholding for the employee, extra work for the Payroll department, and force the
HR staff to spend unnecessary time on data management.
With Vertex Address Cleansing for Payroll On-Demand, it is possible to take a street
level address, cleanse it of inaccuracies, and import a fully cleansed address complete
with a full nine-digit zip code, single PSD Code, single Vertex GeoCode, and a single
School District Code when applicable.
This allows for an unprecedented level of accuracy in tax jurisdiction assignment
during the onboarding process. Additionally, this solution can be utilized in other
areas of HR management, including the correction and cleansing of addresses for the
mailing out of W2s or 1099 statements.
How Does It Work?
• Conversion of a street level address
to a single School District Code
(where applicable)
• Simplified onboarding process
Address Cleansing for Payroll On-Demand Process
As an example of the power of this application, let’s take the following address:
900 Higland Ave
Abinton, PA 19001
This is a common type of address that an employee would provide HR during the
onboarding process. However, this information does not provide enough detail to
actually identify the proper taxing jurisdiction in order to accurately calculate payroll
withholdings.
If this address were processed through the Vertex Address Cleansing functionality, the
following results would be generated:
900 Highland Ave
Abington, PA 19001-4534
Vertex GeoCode: 390919537
PSD Code: 460101
School District Code: 46030
Vertex Address Cleansing for Payroll On-Demand
®
There are a few critical things to note - not only was Address Cleansing
for Payroll capable of identifying and returning a single Vertex GeoCode,
a PSD Code, and a School District code, but it also identified two core
issues with the address: the street name and city that were originally
misspelled were corrected. Not only is the correction of errors critical
to appropriate jurisdiction identification, it also plays a key role in
improving the accuracy of end-of-year mandatory reporting.
Why Is Jurisdiction Identification Difficult?
The biggest reason that jurisdiction assignment can be problematic
is that addresses don’t follow the same rules as jurisdictional
boundaries. For instance, addresses use a Zip Code system to
aggregate groups of addresses into specific regions for postal
delivery. However, jurisdictions can fall into multiple Zip Codes and
vice versa.
The map represents Zip Code 43512. It consists of one city and
seven townships, each with their own set of payroll withholding
rates and rules. Utilizing Address Cleansing makes it is possible
to not only correct inaccuracies, but also identify an exact taxing
jurisdiction with more granular location details.
It’s Time to Streamline the Payroll Process
Turning to automation for tax jurisdiction assignment is the simplest
way to immediately increase your payroll tax accuracy. Vertex
Address Cleansing for Payroll On-Demand eliminates the extra work
and unnecessary data management currently occupying your payroll
department, and frees them up to manage projects that are more
beneficial, more helpful to your company and your employees.
About Vertex
Founded in 1978, Vertex Inc. is the leading provider of corporate tax
software and services to automate, integrate, streamline or outsource
tax processes for companies of all sizes, from small to medium-sized
businesses to global multinationals. Vertex provides solutions for all
tax types with industry-specific solutions for retail, communications,
hospitality and leasing industries. Visit vertexinc.com.
To learn more about how Vertex Address Cleansing for
Payroll On-Demand can help you increase the accuracy
of your payroll process, contact us at 1-800-355-3500
or visit vertexinc.com.
Map of Zip Code 43512
Vertex Global Headquarters
1041 Old Cassatt Road
Berwyn, PA 19312
United States
Phone: 610.640.4200
Toll-free: 800.355.3500
Fax: 610.640.5892
Vertex Global Tax Solutions, LTD
1 Furzeground Way, Stockley Park
Uxbridge, UB11 1EZ
United Kingdom
Phone: +44 (0) 208 622 3053
Fax: +44 (0) 208 622 3200
Vertex Global Tax Solutions Brasil Ltda.
Av. Dr. Chucri Zaidan, 940
16º andar - Market Place Tower II
04583-906 - São Paulo - Brazil
Phone: +55 11 5095.3433/+55 11 5095.3442
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of Vertex, Inc. All other trademarks are used for identification purposes only and are properties of their respective owners.