The United States Postal Service® collects appropriate federal, state, and in some cases, local taxes directly from the pay of its employees who are subject to these deductions. Based on agreements between individual local taxing authorities and the U.S. Department of the Treasury, the Postal Service™ collects a number of city and county income taxes, occupational taxes, mental health taxes, residence taxes, local service taxes, and in some locations, more than one of these taxes.
The local taxes listed in the following table are the taxes for which there are agreements between the taxing authorities and the U.S. Department of the Treasury. Some of these taxes are automatically deducted from the salaries of Postal Service employees who work within the geographic boundaries of the specific taxing authorities. However, most of these taxes are not automatic deductions. If you are subject to any of these local taxes, you must be proactive and submit a completed PS Form 4, Employee’s City or County Withholding Certificate, to the HR Shared Service Center (HRSSC). As a Postal Service employee, you are personally responsible for ensuring correct local taxes are deducted from your pay. If you have any questions regarding your tax liability or responsibility, contact your local taxing authority.
In addition to the taxes listed in the following table, there are other local taxes for which there are no agreements between the individual local taxing authorities and the U.S. Department of the Treasury. Employees must make their own payments to these taxing authorities. The Postal Service will not collect local taxes for a taxing entity that has not established an agreement with the U.S. Department of the Treasury.
We remind all Postal Service employees that they are bound by the materials contained within the Code of Ethics, Principles of Ethical Conduct for Government Officers and Employees. This includes Principle 12, which states: “Employees shall satisfy in good faith their obligations as citizens, including all just financial obligations, especially those — such as federal, state, and local taxes — that are imposed by law.”
If you live or work in a locality that is subject to one or more of the taxes listed in the table and the correct deduction(s) is not being withheld from your pay, you can immediately complete a PS Form 4, Employee’s City or County Withholding Certificate. After completing this form, mail it to the following address:
HR Shared Services Center
PO Box 970400
Greensboro, NC 27497-0400
Direct all questions concerning these local taxes to the HRSSC by phone at 877-477-3273, option 5 (Federal Relay Service: 800-877-8339).
— Payroll, Controller, 11-19-20
