NYS Comptroller Seal


Bureau of State Payroll Services


  Date:  October 24, 2003 Bulletin No.  434

Subject New Earnings Codes for Tax Refunds Processed through PayServ
Purpose To provide information regarding new Earnings Codes used by OSC in time entry for employees who are due a tax refund.
Affected Employees Employees who are due tax refunds
Background OSC receives tax refund requests for Federal, New York State, New York City, Yonkers and Social Security/Medicare. These requests are the result of incorrect coding of employees' tax status in Job Data or Employee Tax Data.

Currently OSC reviews the written requests and, if approved, processes a voucher through the Central Accounting System. A separate refund check is then mailed to the requesting agency. 

Seven new Earnings Codes will now be used to process tax refunds through PayServ. This new process will allow agencies to view the refunds in the Payroll System. The new Earnings Codes are:

TF1 - Federal Tax Refund
TF2 - NYS Tax Refund
TF3 - NYC Tax Refund
TF4 - Yonkers Local Tax Refund
TF5 - Social Security Refund
TF6 - Medicare Refund
TF7 - Prior Year Social Security and Medicare Refund
OSC and Agency Procedures
Approved refund requests will be entered in Time Entry by OSC using the new codes.
OSC will process a separate check for the refunds. These checks will be sent to the agency where the employee is currently or most recently employed.
No deductions will be taken and there will be no direct deposit for these separate checks.
As these monies are tax refunds, they will not be charged to the agency appropriations and will not appear on any distribution reports or files.

THESE NEW EARNINGS CODES ARE FOR OSC USE ONLY. Agency use of these codes will result in erroneous refund payments to employees.

Payroll Register and Employee Paycheck The Earnings Codes TF1 - TF7 and amount will be displayed on the payroll register. The earnings description and amount will be displayed on the employee's check .
Questions Questions regarding this bulletin may be directed to the Payroll Deductions mailbox.