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Payroll State Tax Checkup

Tax Paperwork
(Unsplash/Kelly Sikkema)

In BlueSky, state tax withholding is based on the home address. Therefore, Payroll is asking all employees to check their home address in BlueSky to make sure it reflects the state from which the employee is providing services for DePaul. If the state from which services are being performed is not correctly reflected in BlueSky, please contact Payroll for assistance on changing your state tax withholding.

Below is additional information regarding state tax withholding.

Residents of Iowa, Kentucky, Michigan or Wisconsin

As these states have reciprocal tax agreements with the State of Illinois, residents of these states will be taxed, for state purposes, according to their resident state’s rules regardless of whether employment services are performed in Illinois or their state of residence. If you are a resident of a reciprocal state, please reach out to the Payroll Team at payroll@depaul.edu or (312) 362-8692 to ensure you have the proper state tax documentation on file.

Residents of states other than Illinois/reciprocal states

Residents of these states will be taxed, for state purposes, based on the location where employment services are performed. For example, if an employee lives in Indiana (not a reciprocal state) and commutes to campus to work, since services are performed in Illinois, state income taxes for Illinois will be withheld. Conversely, if an employee lives in Indiana and performs services from their residence in Indiana, state income taxes for Indiana will be withheld. If you are a resident of a state other than Illinois/reciprocal state, please reach out to the Payroll Team at payroll@depaul.edu or (312) 362-8692 to ensure the correct state taxes are being withheld.