Colorado Payroll Tax for 2023


As we enter the 4th quarter I want to ask about a change in payroll taxes for the state of Colorado that will be effective Jan 1,2023. Colorado is adding a new payroll tax for the FAMLI Leave Act. The tax will apply to both employees and the employer and the rate is suggested to be split between the two but the employer has the option to pay some or all of the employees share. My question, will the Businessworks payroll module for Colorado be updated to handle this new tax or will I have to create my own deductions to handle the recording of this new tax? 

I know it's early to ask this question but for someone who processes Colorado payroll this issue is already on my mind. a lot. Thank you.