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Complying with State Withholding Law on Bills
California law requires 7% tax withholding on payments made to contractors not living in California but providing services in California. http://www.ftb.ca.gov/individuals/WSC/Backup_Withholding.shtml
In the bill entry/payment process, does anyone know a good way to handle this? There would need to be a checkbox or something specifying payment to non-resident contractor and a 7% tax withholding deduction on the payment amount. We would also need to run a report showing the quarterly totals for all contractors.
Netsuite Support says this is enhancement 193344 and is unsupported, unless you pay through the Netsuite payroll module. We don't have this module and wouldn't use it to pay contractors in any event.
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