When dividends are paid by CU*BASE, the system calculates the standard percentage to be withheld from the dividend payment and moves those funds to the designated backup withholding general ledger account.  The credit union is then responsible for sending withheld dividends to the State or Federal government.
 
The percentage and G/L account are configured in Master CU Parameter Config (OPER).  Online credit unions should contact a Client Service Representative if the designated G/L account needs to be changed.