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Former Member
Dec 27, 2011 at 04:45 PM

Nebraska state tax levy


Dear Friends,

I got following requirement to implement in SAP. Can anybody advise how to implement this.

State Withholding Limits

Nebraska excludes collection of a tax debt from the exemption for garnishment. The deduction for a Nebraska levy requires 100% of available earnings, less one exemption for the employee. Available earnings are considered gross earnings less any mandatory deductions the employee cannot control. That includes deductions identified in the CCPA plus court- or agency-ordered support and other wage attachments. The employee may increase the exemption amount by completing the Taxpayer Exemption form and returning it to the employer. A chart identifying the exemption amounts is included with the levy.

In the event the employer terminates while the levy is in effect, 100% of the disposable earnings must be withheld, with no exemption(s) allowed, up to the remaining adjusted balance due. Contact the DOR for the final payoff amount.

The withholding limits on creditor debt garnishment do not apply to any debt due for any state or federal tax.

The CCPA does not provide protection to the employee for the amount that may be withheld from earnings for a federal or state tax levy.

Pay period Personal exemption 1 Personal exemption 2

Daily 32.50 45.19

weekly 162.50 225.96

Bi-weekly 325.00 451.92

semi-monthly 352.08 489.58

Monthly 704.17 979.17