Where can I find the percentage of Income Tax deducted on payroll? thanks.

Hi there slcollision and welcome to the QuickBooks Community!

It's of the utmost importance to keep track of your payroll taxes, which is why it's great that you're using QuickBooks Online Payroll to do so. Viewing and understanding the source deductions and income tax that are taken out of your employee's pay can be helpful, so I want to make sure you're able to view that information. Let me point you in the right direction. 

There are several reports that you can view that break down the amount of CPP, EI, and Income Tax that was deducted from an employee's pay. To check these out, navigate to the Reports menu within QuickBooks Online. You can use the search function to locate either the Payroll Summary by Employee, Payroll Tax and Wage Summary, or the Payroll Tax Liability reports. Each of these reports can be customized to show you the amount of taxes that were deducted from within a specific date range. If you'd like, check out our article on how to Customize reports in QuickBooks Online.

The PD7A form is another fantastic place to go to look for the breakdown of income tax and source deductions that you owe. Your PD7A can be accessed by hovering over the Taxes tab on the left and selecting Payroll Tax. Choose Monthly or Quarterly forms from the Forms section, then select PD7A. You'll need to select a date range, and then you'll be able to view or print this form as needed. 

Finally, you'll find the breakdown of how much an employee was taxed by viewing the Paycheque List. Hover over the Payroll tab and choose Employees, then select Paycheque list beneath the Run payroll button. Click on the amount in the Net Pay column to view a new window with a breakdown of Pay, Employee Taxes, and Employer Taxes. 

These options all show the income tax deducted in the form of a dollar amount rather than a percentage, but the percentage will be easy to calculate once you have the amount. Check out the CRA's resource on this: Methods of calculating deductions – CPP, EI, and income tax. 

Since I know seeing this figure as a percentage rather than an amount would be handy, I want to encourage you to submit feedback on this to our product development team. You can do that by navigating to the Gear icon, then choosing Feedback. It's important that you have your say because it's suggestions from users like you that influence the new features and product improvements that are implemented. 

I'm confident you have the tools now to figure out the income tax deducted from your employee's pay as a percentage. Don't hesitate to drop me another line if you need additional support.