Yes, cloud payroll systems play a crucial role in computing the final withholding taxes for businesses. They automate the calculation of income taxes withheld from employees' salaries, ensuring accuracy and compliance with tax regulations. In addition, cloud payroll platforms streamline the complex process of income tax calculation, taking into account various factors such as exemptions and deductions, and provide a reliable and efficient method for withholding the correct amount of personal income tax from employees' wages.