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This is the amount you pay to the state government based on the income you make, as opposed to federal income tax that goes to the federal government.
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Federal Income Tax Attorney : Where Your Income Tax Money Really Goes // WRL Pie Chart : And one task that should be a top priority is obtaining a federal tax id number.. As an employee, you are surprised to see that your paycheck is well below what you might expect from the monthly salary agreed to with your employer. Irs.com is a privately owned website that is not affiliated with any government agencies. State income tax is different from the federal income tax. And if you stumbled upon this blog post, you're probably curious to know what exactly you're paying for. Failure to withhold appropriately can result in a penalty of the unpaid tax and interest.