Updated February 10, 2021
This article will cover:
- What information OnPay needs from you
- What state and local taxes and filings OnPay handles for Indiana employers
- Where you can find the tax account numbers needed
- How to authorize OnPay as a Third Party Administrator in Indiana
- Paying employees in other states?
Why is this important?
For employers who pay employees in Indiana, use this guide to learn what’s required to start running payroll while keeping compliant with state payroll tax regulations. Without this information, OnPay will be unable to file or deposit any Indiana tax payments for your company. Any penalties and interest that accrue from missed tax payments will be your company’s responsibility.
What information OnPay needs from you
Use this checklist to make sure you’ve covered everything required to set up your account as a Indiana employer so OnPay can accurately file and pay taxes on your behalf:
✔ |
To do: |
What is this? |
Make sure your business is registered with the Indiana Department of Revenue |
Allows your business to file and pay taxes in Indiana |
|
Make sure your business is registered with the Indiana Department of Workforce Development |
Allows your business to pay required unemployment insurance in Indiana |
|
Provide OnPay with your Indiana Tax ID |
The employer identification number issued by the Indiana Department of Revenue |
|
Provide OnPay with your Indiana Unemployment ID |
A 6-digit number unique to your account with the Indiana Department of Workforce Development |
|
Provide OnPay with your Indiana Unemployment (SUI) Rate |
A tax rate you receive annually from the Indiana Department of Workforce Development |
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Authorize OnPay as a Third Party Administrator |
For OnPay to be able to file and pay taxes on behalf of your business, you will need to submit a Power of Attorney form. |
What state and local taxes and filings OnPay handles for Indiana employers
OnPay handles the filing of all state and local taxes for businesses in Indiana, including:
Withholding |
||
Form ID |
Form Name |
Frequency |
Form WH-1 |
Withholding Tax Voucher |
Monthly |
Form WH-3 |
Annual Withholding Tax Form |
Annual |
State W-2 |
Wage and Tax Statement |
Annual |
Unemployment |
||
UC-1 |
Quarterly Contribution Report |
Quarterly |
UC-5A |
Quarterly Wage and Employment Report |
Quarterly |
UC-5B |
Quarterly Payroll Report - Continuation Sheet |
Quarterly |
Other Forms |
||
New Hire Report |
New Hire Report |
As required |
Where you can find the tax account numbers needed
If you are an existing employer who has previously run payroll in Indiana, you likely already have the IDs and online accounts needed for OnPay to process your tax filings.
If you are a new employer in Indiana, you will need to register your business with the Indiana Department of Revenue and Indiana Department of Workforce Development. This must be completed for OnPay to be able to file and pay your Indiana taxes.
Indiana Tax ID Number
Existing Indiana Employer:
- You can find your Indiana Tax ID number on notices received from the Indiana Department of Revenue.
- If you cannot locate this number, please call the agency at (317)-233-4016.
New Indiana Employer: Register with the Indiana Department of Revenue
- Register online with the Indiana Department of Revenue on INBiz.
- You will receive your Tax ID within a few hours of completing the online registration.
Unemployment Account Number and Tax Rate
Existing Indiana Employer:
- You can find your SUTA Account Number and Tax Rate by logging into your Indiana Uplink account, or on any previously filed quarterly contribution and payroll report.
- Your Unemployment Tax Rate can also be found on the annual Merit Rate Notice mailed to you by the Department of Workforce Development.
- If you cannot find these numbers, contact the agency at (800) 891-6499.
New Indiana Employer: Register with the Indiana Department of Workforce Development
- Register online with the Indiana Department of Workforce Development.
- You'll receive your account number and tax rate instantly once you have completed the online registration.
- Unemployment tax rates are determined annually on June 30th, and apply to the following calendar year. Most new employers are assessed a rate of 2.5% for the first four calendar years that they operate in Indiana. Note: Governmental entities, construction companies, and successor employers have different new employer rates. The state's unemployment wage base is $9,500.
- The new employer rate for governmental entities, not electing to be reimbursing as discussed in Section II, is 1.6%.
- New successor employers will inherit the rate of their predecessor. So a new successor employer rate can range from 0.50% to 7.4% under the current rate schedules.
- If you are unsure about your rate, contact the UI agency at (800) 891-6499.
- Monday-Friday: 8:00 AM to 4:30 PM Eastern
How to authorize OnPay as a Third Party Administrator in Indiana
OnPay works with government entities on your behalf, reporting new hires to state labor departments, calculating tax rates, and filing financial reports. To do this effectively, you will need to add OnPay as your third party agent.
Indiana Department of Revenue
- Grant OnPay with Third-party access to your IN Withholding account:
- Create an INTIME account.
- Once the account has been created please respond directly to this message so that we can send an access request.
- If an account is already created please approve our access request.
- If you do not see an access request please respond directly to this message to request a new access request be sent.
- If your business is registered to a sole proprietor we will need the owner's last name and SSN to request access.
Department of Workforce Development
- Login to your Uplink ESS account and click Manage Users on the home page.
- At the bottom of the next page, there is a section labeled "External Account Authorizations (Agents)."
- Click Add Agent on the right.
- To add OnPay as an agent, search our Agent ID 114911.
- You should now see “OnPay Tax Disbursement LLC” available to choose. Click Next.
- You will need to assign OnPay the Authorization Level of Administrator.
- Check the box under “Important Information” to confirm, and then click Next.
Power of attorney
You'll also need to grant OnPay Power of Attorney respond to tax notices your behalf, by following the instructions in this article.
Paying employees in other states?
If you operate in multiple states or just have employees working from home across a state line, it's important to file the correct state forms for those workers. See what forms we file in the states where you pay employees.
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