HR Glossary

What is State Tax?

US state-level income tax imposed on employee wages that varies by state, ranging from 0% in nine states with no income tax to 13.3% in California, and is withheld from paychecks alongside federal tax.

Why it matters in hiring

State Tax comes up whenever teams compare candidates, set policy or report on people data. Getting the definition right keeps decisions consistent, which is the same reason springhire scores every applicant against the same criteria rather than on impression.

Related terms starting with S

• Sozialversicherung - Social Insurance (Germany)
• Spot Bonus
• Standing Orders
• State Minimum Wage
• Statutory Compliance
• Stipend
• Stock Appreciation Rights (SAR)
• Stock Options

Part of the springhire HR glossary, 1,150+ HR, payroll and recruiting terms defined. Free, no signup.