For anyone else dealing with this,
Check out note 704776.
We didnt have to do a whole lot, the above note put us on a right track.
WE got 10.23% tax rate by creating a new WT with PCL 64 = 2 and PCL 68 = 2.
The system was able to pick up the supplemental rate once hte above changes were done.
Regards,
Soumya