Tennessee payroll tax and registration guide

Updated September 25, 2023

This article will cover:

• What information OnPay needs from you
• What state and local taxes and filings OnPay handles for Tennessee employers
• Where you can find the tax account numbers needed
• Paying employees in other states?

Why is this important?

The following information requests and registration instructions are required before you can use a payroll provider to run payroll. This is in compliance with state payroll tax regulations. Without this information, OnPay is unable to file or deposit any tax payments for your company, and will not be responsible for any resulting penalties or interest. Note: If this isn't the only state where you have employees, there will be a separate guide like this one for each state where you hire and pay workers. 

Let Middesk handle your state tax registrations (and more)

If you'd like help, our partner Middesk makes hiring employees and staying compliant with every state agency simple and easy.

• Register with every state agency to get the tax IDs you need within minutes
• Stay compliant as you grow by managing agency mail and notices in your dashboard
• Manage your government accounts in one place on Middesk's intuitive platform
• Foreign Qualify with the Secretary of State to create payroll tax accounts 

Learn more about Middesk→

What information OnPay needs from you

What state and local taxes and filings OnPay handles for Tennessee employers

Where you can find the tax account numbers needed

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

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

Employer Account Number and Tax Rate

Existing Tennessee Employer: 

• You can find your Employer Account Number on the annual Tax Rate Notice received from the Tennessee Department of Labor and Workforce Development. It can also be found on any previously submitted quarterly wage report.
• Your Unemployment Tax Rate can be found in Box H of the Notice of Premium Rate you receive annually.
• The UI tax rate for most Tennessee employers is between 0.01% and 10.0%, with a $7,000 wage base
• If you cannot find these numbers, please contact the Tennessee Department of Labor & Workforce Development at 615-741-2486.

New Tennessee Employer: Register with the Tennessee Department of Labor 

• Visit the Tennessee Department of Labor and Workforce Development website for information on how to register by submitting a Report to Determine Status, Application for Employer Number (LB-0441).
• Within 2-3 weeks, the Department of Labor & Workforce Development will send you a form containing your eight-digit Employer Account Number and UI tax rate.
• The UI tax rate for most new Tennessee employers is 2.7%, with a $7,000 wage base.
• You'll receive your account number and tax rate instantly once you have completed the online registration.

All Tennessee Employers: Provide your current Tennessee Access Code 

• You can find this access code on the Premium and Wage Report, printed to the right of line 1 (Total Wages).
• This access code is assigned to you on a yearly basis, and will change each year, beginning in the first quarter.

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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