Pennsylvania Payroll Tax and Registration Guide

Use this checklist to make sure you’ve covered everything required to set up your account as a Pennsylvania 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 Pennsylvania, including:

Learn more about Pennsylvania Local Taxes→

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

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

Withholding Tax Account Number

Existing Pennsylvania Employer: 

Existing employers can find their Withholding Tax Account Number on the Coupons or Employer Quarterly Reconciliation that you received from the PA Department of Revenue.

New Pennsylvania Employer: Register with the Pennsylvania Department of Revenue 

• Click here and follow the instructions to register your business 
• You will fill out an electronic version of Form PA-100

Unemployment Account Number and Tax Rate

Existing Pennsylvania Employer: 

• Existing employers can find the Unemployment Account Number on the Contribution Rate Notice (Form UC-657) or Notice of PA UC Responsibilities (UC-851) or Report for Unemployment Contribution (Form UC-2).
• Your Unemployment Tax Rate can be found with the Unemployment account number on the Forms listed above (Top right of Form UC-657). Employers generally have a rate ranging from 2.39% to 11.03% for SUTA (or 10.2238% if you work in the construction industry), with a wage base of $10,000.

New Pennsylvania Employer: Register with the Pennsylvania Department of Labor

• Click here to register your business.
• New employers generally have a rate of 3.689% for SUTA (or 10.2238% if you work in the construction industry), with a wage base of $10,000.

TPA Access

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 for the Department of Revenue and the Department of Labor.

Department of Revenue: Withholding Taxes

Because Pennsylvania requires Withholding Tax to be filed and paid electronically through myPATH, all we need to get started is your Withholding Tax ID, and either your:

• Letter ID - A 10-digit number preceded by the letter "L" that can be found in the top right corner of any correspondence received from DOR; 
• Recent Payment Amount - One of the last 5 payment amounts that have been made for the Employer Withholding Tax (W-3) account; or
• Return Line Item - The Total PA Withholding Tax (Line 2) amount from a recent Employer Withholding Tax (W-3) return.

Once you've provided us with your Withholding Tax ID, along with one of these three forms of verification, you'll receive an invitation through myPATH to grant us access.

Department of Labor: Unemployment Taxes

Pennsylvania requires mandatory online filing for Quarterly unemployment. Please complete the following instructions to add OnPay as your Third Party Administrator (TPA):

1. Go to the Department of Labor and Industry and select the UCMS logo. If you do not have login credentials, please click Register to create an account.
2. Once logged in, select Employer Profile from the list on the left side of the screen.
3. Then click Manage Representatives.
4. Click Add New Representative. 
5. To add OnPay as a representative, you will need the following information:
   • Representative Identifier: 1916014021
   • Effective date will have to be the date you are setting up the account
6. OnPay will need the following Service Functions. Each Service Function will need to be requested separately. 
   • Filing Quarterly Reports and Adjustments
   • Contribution Rate Information
   • Delinquencies Account Discrepancies

Keep in mind that OnPay will be unable to file or deposit Pennsylvania tax payments for your company until the Third-Party Access is granted. Any penalties and interest that accrue from missed tax payments will be your company’s responsibility.

Power of Attorney

You will also need to sign a power of attorney form. To do so, follow the instructions in this article.