Income Tax Withholding Tables And Instructions For Employers Page 68

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NC-4P

Web

10-03

Deductions, Adjustments, and Tax Credits Worksheet

Additional withholding allowances may be claimed if you expect to have allowable itemized

deductions exceeding the standard deduction. Enter an estimate of the total itemized

deductions to be claimed on your federal tax return less the amount of any State income tax

included in your federal deductions . .......................................................................................................... 1.

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2. Enter

$4,400 if head of household

$3,000 if single

$3,000 if married filing separately

$6,000 if married filing jointly or qualifying widow(er) ................................................... 2.

3. Subtract line 2 from line 1, enter the result here ....................................................................................... 3.

4. Enter an estimate of your federal adjustments to income and your State deductions from

federal taxable income .............................................................................................................................. 4.

5. Add lines 3 and 4 ...................................................................................................................................... 5.

6. Enter an estimate of your income not subject to withholding (such as dividends or interest) ................... 6.

7. Enter an estimate of your State additions to federal taxable income (do not enter the

addition for state income tax or the additions for the standard deduction and personal exemption

inflation adjustment) .................................................................................................................................. 7.

8. Add lines 6 and 7....................................................................................................................................... 8.

9. Subtract line 8 from line 5.......................................................................................................................... 9.

10. Divide the amount on line 9 by $2,500 ($2,000 if you expect your income from all sources for

the year to equal or exceed the following amounts for your filing status: $60,000 - single;

$80,000 - head of household; $50,000 - married or qualifying widow(er)) and enter the result

here. Drop any fraction . ........................................................................................................................... 10.

11. If you are entitled to tax credits, for each $175 ($140 if you expect your income from all

sources for the year to equal or exceed the following amounts for your filing status: $60,000 - single;

$80,000 - head of household; $50,000 - married or qualifying widow(er) of tax credit, enter “1”

additional allowance .................................................................................................................................11.

12. Add lines 10 and 11 and enter total here . ................................................................................................ 12.

13. If you completed this worksheet on the basis of married filing jointly, enter the number from line

12 that your spouse will claim ................................................................................................................ 13.

14. Subtract line 13 from line 12 and enter the total here and on line E of the Personal Allowances

Worksheet ............................................................................................................................................... 14.

If you furnish a pension payer a Withholding Certificate for Pension or Annuity Payments that contains information which has no

reasonable basis and results in a lesser amount of tax being withheld than would have been withheld had you furnished reasonable

information, you are subject to a penalty of 50% of the amount not properly withheld.

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