We’re reaching out with important news regarding Pennsylvania local tax withholdings for occupational (OCC) and occupational school district (OCCSD) tax codes. We recently discovered incorrect calculations due to over-withholding for payrolls processed between December 18, 2024, and February 14, 2025.

Action may be required! Your organization has been identified as having employees impacted. To correct payroll history and issue refunds, please take the following steps:

1. Identify impacted employees by running the PA OCC and OCCSD Tax Over-Withholding 2025 and PA OCC and OCCSD Tax Over-Withholding 2024 reports from the BI Exchange in the UKG Community™ (under Learn > UKG Pro > BI Exchange). Read the Use the BI Exchange for UKG Pro^® People Analytics job aid for full details on leveraging these reports.
2. After running the reports, verify which employees require refunds and determine the refund amounts for the fourth quarter of 2024 and first quarter of 2025. Confirm the over-withholding for each impacted employee to accurately calculate the refund.
3. To process refunds for impacted employees and address remediation for Q4 2024 and Q1 2025, follow the steps listed in the PA OCC and OCCSD Tax Over-Withholding article.

For Payment Services customers: Once adjustments are completed and the Amend button is clicked, an amendment case will be created on your behalf.

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