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Payroll Tax Compliance Software to Improve Efficiency

U.S. Employee Tax Profile Solution

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U.S. Employee Tax Profile Solution

Automatically maintain employee tax profiles for Federal, State, Local and Territory taxes and remove the burden of having to detect and make profile and assignment changes in a timely manner.

Home » BSI Solutions That Fit Your Needs » TaxProfileFactory™

TaxProfileFactory™

Simplified Employee Tax Profile and Tax Assignment for Payroll

TaxProfileFactory automatically maintains employee tax profiles for Federal, State, Local and Territory taxes and removes the burden of having to detect and make profile and assignment changes in a timely manner. Utilizing the TaxLocator™, the solution creates the profiles automatically or on-demand, thereby eliminating dreaded adjustments to future paychecks, tax payments, tax filings, W-2 data and more, saving substantial time, effort, and money, while greatly improving and streamlining overall payroll processing. It also helps increase ROI by freeing staff for more productive tasks.

Employers and employees have desktop and mobile access via intuitive, flexible and secure web-based applications. TaxProfileFactory is a solution that easily integrates with cloud and on-premise HR/payroll systems. TaxProfileFactory requires no application maintenance for users and delivers high availability and data sharing for significant cost savings. BSI takes security seriously, conforms to rigid standards for protecting sensitive data, and annually undergoes SOC 2 Type 2 audits.

Determining the correct tax jurisdictions for every employee — across federal, state, county, city, and school district levels — is one of the most error-prone tasks in payroll administration. TaxProfileFactory™ from BSI removes that complexity by automatically maintaining accurate tax profiles for each employee using built-in TaxLocator™ technology. The platform identifies the right combination of federal, state, local, and territory taxes based on employee work and residence locations, then provides the appropriate authority forms for submission. Available as both cloud and on-premise deployments, TaxProfileFactory integrates with most major HR and payroll systems and is accessible from desktop and mobile devices. By automating tax assignment, organizations reduce W-2 corrections, eliminate manual research, and lower payroll preparation time and HR labor costs. The system is SOC 2 Type 2 audited annually, ensuring sensitive employee data is handled under strict security standards.

TaxProfileFactory™ reviews and customer stories

Before choosing a software solution, see how teams like yours use BSI to save hours every month, eliminate workflow surprises, and successfully manage their projects with reliable technical support.

Need help selecting a Payroll Tax Solutions Partner?

BSI’s Guide for Selecting a Payroll Tax Solution Partner offers helpful tips
and factors to keep in mind when choosing a payroll tax solution for your organization.

FAQ

What is TaxProfileFactory and how does it work?

TaxProfileFactory is a payroll tax profile management platform from BSI that automatically determines and maintains the correct tax assignments for each employee. Using built-in TaxLocator™ technology, it identifies which federal, state, local, county, city, and school district taxes apply based on each employee's work and residence locations, then keeps those profiles updated as regulations change.

What is TaxLocator and what role does it play in TaxProfileFactory?

TaxLocator is BSI's tax determination technology embedded within TaxProfileFactory. It automatically pinpoints the exact combination of federal, state, local, and territory taxes that apply to each employee, eliminating the need for payroll teams to manually research jurisdiction rules. TaxLocator can create tax profiles in bulk during onboarding or on-demand whenever an employee changes location.

How does TaxProfileFactory help reduce W-2 corrections?

Most W-2 corrections (W-2Cs) result from incorrect tax jurisdiction assignments throughout the year. TaxProfileFactory prevents these errors by automating tax profile creation and updates from the start, ensuring withholdings are calculated against the correct authorities. This reduces year-end corrections, prevents adjustments to future paychecks, and minimizes filing amendments.

Can TaxProfileFactory handle local taxes such as city, county, and school district?

Yes. TaxProfileFactory automatically determines local, county, city, and school district taxes in addition to federal, state, and territory levels. This is particularly valuable for organizations with employees in jurisdictions like Pennsylvania, Ohio, or Indiana, where local tax rules vary significantly across municipalities.

Is TaxProfileFactory available as a cloud or on-premise solution?

TaxProfileFactory is offered in both cloud (SaaS) and on-premise deployment models, allowing organizations to choose the option that best fits their IT infrastructure and compliance requirements. The web-based application is accessible from desktop and mobile devices, and integrations are available for most major HR and payroll systems.

How is employee data protected in TaxProfileFactory?

TaxProfileFactory undergoes annual SOC 2 Type 2 audits, ensuring data handling, access controls, and security operations meet strict industry standards. Sensitive employee tax information is protected under enterprise-grade security protocols, with high-availability infrastructure designed to safeguard data integrity and confidentiality.

Complementary Products and Services

Check out BSI solutions and services to solve payroll tax compliance issues.

Payroll Tax Compliance Software to Improve Efficiency

Manage payroll tax processes and to maintain compliance with Federal, State, Local and Territory regulations.

U.S. Employee Tax Profile Solution

Automatically maintain employee tax profiles for Federal, State, Local and Territory taxes and remove the burden of having to detect and make profile and assignment changes in a timely manner.

U.S. Payroll Tax Software Solutions

Streamline and enhance your payroll tax processes and virtually eliminates the burden associated with employer and employee tax calculations.

Canada Payroll Tax Software Solution

Save time and improve productivity through TaxFactory Canada’s scalable, innovative technology that integrates with internal Payroll and Deferred Income systems.