State Income Tax (SIT) — Payroll Definition

State Income Tax (SIT) paystub meaning: Income tax levied by your state of residence, ranging from 0% to 13.3% depending on the state. Codes: SWT / SIT / STATE.

Income tax levied by your state of residence, ranging from 0% to 13.3% depending on the state.

State Income Tax (SIT) is tax withheld by your employer on behalf of your state government. Nine states have no income tax: Alaska, Florida, Nevada, New Hampshire, South Dakota, Tennessee, Texas, Washington, and Wyoming. The remaining 41 states and D.C. have rates ranging from about 1% to 13.3% (California). Some states use a flat rate (e.g., Illinois at 4.95%), while others use progressive brackets. Your state tax is determined by where you LIVE, not where your office is located (with some exceptions for reciprocal agreements).

Tax entries on a pay statement depend on taxable wages, current employee elections, filing status, pay frequency, jurisdiction, and current agency instructions. Compare the current-period amount with year-to-date totals and the employer-issued record before treating it as final.

When this term appears on a statement, read its label, current amount, year-to-date amount, pay-period context, and any adjacent rate or hours together. Resolve a mismatch with the original issuer or the cited authority rather than changing a record to force a preferred result.