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How to Add a State Tax ID

Having your state tax ID on file allows for accurate filings and payments.

Jeffrey Mo avatar
Written by Jeffrey Mo
Updated over 9 months ago

All businesses must register with state and local tax agencies before processing their first payroll. Having employees in multiple states or a new state requires a separate registration with each state. Fingercheck will withhold payroll taxes, file tax forms, and make tax payments for you after you register and enter your state tax ID.


After registering with your state, you will receive a tax account number and tax rate via one of the following methods: online, email, or regular mail.

Please note: Tax ID numbers and unemployment tax rates must be submitted as soon as possible. Failure to do so will delay tax payments and filings and may lead to unavoidable fees.

Submit your tax ID, rate, and frequency notice

  1. Sign in to your Fingercheck account as an Administrator.

  2. Go to SETUP tab > Payroll > Tax Jurisdictions.

  3. Select the corresponding state's jurisdiction.

  4. Click Submit Notice.

  5. Attach the document that lists the tax ID with the unemployment rate or withholding deposit frequency.

  6. Complete the steps in the wizard.

  7. Click OK.

Keep a copy of all correspondence for your records. There may be additional codes or access numbers provided that may be needed at a later date.


Add a withholding tax ID

You need to add the withholding tax ID to Fingercheck so payments can be submitted and applied correctly to your account. As mentioned above, you use Submit Notice to submit a copy of your state-issued tax ID that includes your withholding tax deposit frequency.

  1. Sign in to your Fingercheck account as an Administrator.

  2. Go to SETUP tab > Payroll > Tax Jurisdictions.

  3. Locate the corresponding state unemployment and click on the Description to immediately access the tax jurisdiction details, or select the check box next to the Code, and click the Pencil icon to edit details.

  4. Enter the tax ID provided by the state in the Account Number field.

  5. Optional fields to complete:

    1. Tax ID Source: None, CorpNet, Other

    2. Legal Name.

  6. Click Save.


Add an unemployment tax ID

When adding the unemployment tax ID, you will also need to include the assigned tax rate. If this is a brand new payroll tax account the state most likely assigned your company the new employer rate.

Use the Submit Notice button to send Fingercheck a copy of your state-issued tax ID that includes your unemployment rate.

  1. Sign in to your Fingercheck account as an Administrator.

  2. Go to SETUP tab > Payroll > Tax Jurisdictions.

  3. Locate the corresponding state unemployment and click on the Description to immediately access the tax jurisdictions' details
    or select the check box next to the Code, and click the Pencil icon to edit details.

  4. Enter the tax ID provided by the state in the Account Number field.

  5. Optional fields to complete:

    1. Tax ID Source: None, CorpNet, Other

    2. Legal Name.

  6. If the rate listed for the state is different from what is entered in Fingercheck, scroll down to the Tax Code section.

  7. Click on the rate and update.

    1. Enter the rate in decimal format–for an unemployment rate of 3.2250%, the rate will need to be entered as 0.032250.

  8. Click Save.


Add Paid Family Leave or local tax ID

To add your Paid Family Leave (PFL) or local tax ID is the same process as adding your withholding tax ID.

The states listed below currently have local taxes that may require you to register for a payroll tax account and begin withholding local taxes:

  • Alabama

  • Colorado

  • Indiana (pays with state withholding - separate registration is not required.)

  • Kentucky

  • Maryland (pays with the state withholding - separate registration is not required)

  • Michigan

  • Missouri

  • New Jersey

  • New York

  • Ohio

  • Oregon

  • West Virginia

There is a growing list of states that have PFL as part of their payroll taxes. Many states are in the process of implementing a PFL program or working on passing legislation to make PFL a part of their payroll taxes.

The states listed below currently have PFL taxes:

  • Colorado

  • Connecticut

  • District of Columbia

  • Massachusetts

  • Oregon

  • Washington


State-Specific rules

Some states have assessment taxes that may require you to combine rates when entering the unemployment rate.

Georgia

  • The unemployment rate should include the Admin rate provided by the state.

Idaho

  • The unemployment rate should include the Workforce Development rate provided by the state.

Michigan

  • The unemployment rate should include the Obligation Assessment rate provided by the state.

Mississippi

  • The unemployment rate should include the Workforce Investment and Training rate provided by the state.

Montana

  • The unemployment rate should include the Admin Fund rate provided by the state.

New Jersey

  • The employer unemployment rate should include the Workforce Development/Supplemental Workforce rate provided by the state.

South Carolina

  • The unemployment rate should include the Contingency Assessment rate provided by the state.

Washington

  • L&I must be added to Fingercheck under the SETUP tab > Payroll > Worker Comp Codes.


If you need more assistance, it is available at our Service Desk, which is always located on the right side of your web page.

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