District of Columbia Payroll Tax and Registration Guide

Use this checklist to make sure you’ve covered everything required to set up your account as a DC employer so OnPay can accurately file and pay taxes on your behalf: 

OnPay handles the filing of all state and local taxes for businesses in DC, including:

If you are an existing employer who has previously run payroll in the District of Columbia, you likely already have the IDs and online accounts needed for OnPay to process your tax filings. 

If you are a new employer in DC, you will need to register your business with the DC Office of Tax and Revenue and DC Department of Employment Services. This must be completed for OnPay to be able to file and pay your DC taxes.

Withholding Tax Account Number

Existing DC Employer: 

You can find your Withholding Tax Account Number on notices received from the DC Office of Tax and Revenue. If you cannot locate this document or account number, please call the District of Columbia Office of Tax and Revenue at (202) 727-4829 to request it. 

New DC Employer: Register with the DC Office of Tax and Revenue 

• Register with the DC Office of Tax and Revenue by completing Form FR-500 online.
• Make sure you have the required information listed in New Business Registration
• Under MyTax.DC.gov, click the link FR-500 New Business Registration to begin 
• The online registration process can take 1-2 days. Once completed you will be notified of your tax deposit schedule. 

Unemployment Account Number and Tax Rate

Existing DC Employer: 

• You can find your Unemployment Account Number on the annual Tax Rate Notice received from the DC Department of Employment Services. It can also be found on your Quarterly Contribution and Wage Report (Form DOES-UC30). 
• Your Unemployment Tax Rate can also be found on the annual Tax Rate Notice in box 2. New employers generally have a rate of 2.7% for SUTA with a wage base of $9,000.

New DC Employer: Register with the DC Department of Employment Services (DOES)

• Go to the DOES website to register your business.
• You'll receive your account number and tax rate instantly once you have completed the online registration.

Administrative Funding Tax Rate

All DC Employers: 

• The Administrative Funding Tax Rate for DC is currently a fixed rate of 0.2%. It can also be found on your annual Tax Rate Notice in box 3. 

Paid Family Leave Employer Contribution Tax Rate

All DC Employers: 

• The DC PFL program’s contribution rate as of 2019 is 0.62% of each employee’s wages. Annually, DC sends each employer a contribution rate notice that will need to be updated in OnPay.

In order for OnPay to be able to make tax payments on your behalf, you will need to add OnPay as your third party agent, as well as grant power of attorney.

To authorize OnPay as a Third Party Agent:

1. Download and complete the DOES Power of Attorney form found at the bottom of this page. A few details you’ll need to include:
   
   • Your business information in the top section of the Power of Attorney form
   • Name and Address of the TPA Appointed: OnPay Inc 1230 Peachtree St NE Suite 1250 Atlanta, GA 30309
   • Power of Attorney effective beginning (today’s date) and will expire on 12/31/2032 (you can cancel the Power of Attorney at any time in the future)
   • Owner/operator will need to sign in the Signature of Taxpayer(s) section
2. Log into the DC DOES website. If you need to create an account, click Register for a new account
3. Click Account Maintenance
4. Click Select Agent Assignment
5. Click add agent
6. Enter OnPay’s Agent ID: DC3W1F, and click Search
7. Go to "Agent Information" to upload the completed POA form
8. Select and assign TPA roles, then save changes
9. Your business will be added to OnPay’s DOES account so we can file and pay taxes on behalf of your business.

Power of Attorney form with instructions→

You'll find a pre-signed Power of Attorney form with instructions for filling it out and returning it to us.