Updated February 11, 2021
This article will cover:
- What information OnPay needs from you
- What state and local taxes and filings OnPay handles for Virginia employers
- Where you can find the tax account numbers needed
- How to authorize OnPay as a Third Party Administrator in Virginia
- Paying employees in other states?
Why is this important?
For employers who pay employees in Virginia, the state will require state income tax. Use this guide to learn what’s required to start running payroll while keeping compliant with state payroll tax regulations. Click on the topic below to learn more.
What information OnPay needs from you
Use this checklist to make sure you’ve covered everything required to set up your account as a Virginia employer so OnPay can accurately file and pay taxes on your behalf:
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To do: |
What is this? |
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Make sure your business is registered with the Virginia Department of Taxation |
Allows your business to file and pay taxes in Virginia |
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Make sure your business is registered with the Virginia Employment Commission |
Allows your business to pay required unemployment insurance in Virginia |
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Provide OnPay with your Virginia Tax ID |
The employer identification number issued by the Virginia Department of Taxation |
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Provide OnPay with your Virginia Unemployment ID |
A 10-digit number unique to your account with the Virginia Employment Commission |
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Provide OnPay with your Virginia Unemployment (SUI) Rate |
A tax rate you receive annually from the Virginia Employment Commission |
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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 give OnPay “Master” permissions to your account |
What state and local taxes and filings OnPay handles for Virginia employers
OnPay handles the filing of all state and local taxes for businesses in Virginia, including:
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Type of Tax |
Form ID |
Form Name |
Frequency |
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Withholding |
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Monthly |
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Quarterly |
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Annual |
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Annual |
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Unemployment |
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Quarterly |
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Quarterly |
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Other |
New Hire Report (Filing) |
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As required |
Where you can find the tax account numbers needed
If you are an existing employer who has previously run payroll in Virginia, you likely already have the IDs and online accounts needed for OnPay to process your tax filings.
If you are a new employer in Virginia, you will need to register your business with the Virginia Department of Taxation and the Virginia Employment Commission. This must be completed for OnPay to be able to file and pay your Virginia taxes.
Withholding Tax Account Number
Existing Virginia Employer:
Existing employers can find their Withholding Tax Account Number on notices received from the VA Employment Commission. If you cannot locate this document or account number, please call the Virginia Department of Taxation at (804)-367-8037 to request it.
New Virginia Employer: Register with the Virginia Department of Taxation
- You can register electronically by clicking here and selecting “Are you a new Business? Register Here.” This process will register you for both your Department of Taxation and Employment Commission IDs. If you have any questions regarding the registration, please contact the Department of Taxation at (804)-367-8037.
Unemployment Account Number and Tax Rate
Existing Virginia Employer:
- You can find your Unemployment Account Number on a tax rate notice or a quarterly contribution and wage report
- Your Unemployment Tax Rate can be found in the State Unemployment Insurance (SUI) notice that you receive from the VA Employment Commission. The employer contribution rate for SUTA can range from 0.11% - 6.21% with a wage base of $8,000.
New Virginia Employer: Register with the Virginia Employment Commission
- You can register electronically by clicking here and selecting “Are you a new Business? Register Here.” This process will register you for both your Department of Taxation and Employment Commission IDs. If you have any questions regarding the registration, please contact the Department of Taxation at (804)-367-8037.
- New employers generally have a rate of 2.5% for SUTA (6.2% for construction) with a wage base of $8,000.
How to authorize OnPay as a Third Party Administrator in Virginia
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. To do so, please follow the instructions below.
- Log in to your existing Virginia Tax account
- Select "Account"
- Go to "Manage My Account"
- Add us as your Tax Preparer for TAX. Our unique ID is "pcipayroll" and we need level of permission as "Master" for TAX (withholding).
- Add us as your Tax Preparer for VEC (unemployment). Our unique ID is "pcipayroll" and we need to be approved for the "Account Summary" and "Quarterly Report & Payment" levels of authority.
- If your business does not have unemployment tax then you may not have a VEC account.
You will also need to sign a Virginia Power of Attorney Form. Follow the instructions in this article to do so.
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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