Maine payroll tax and registration guide

Updated September 18, 2023

This article will cover:

• What information OnPay needs from you
• What state and local taxes and filings OnPay handles for Maine 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 Maine employers

Where you can find the tax account numbers needed

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

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

Withholding Tax ID, and FEIN

Existing Maine Employer: 

• You can find your Withholding Tax ID Number on Form 941/C1-ME or any other notice received from Maine Revenue Services. 
• Your FEIN (Federal Employer Identification Number) is used to register your business with the federal government, and can be found on any notice sent to you by the IRS.

New Maine Employer: Register with the Maine Revenue Services 

• Register your business with Maine Revenue Services.
• You should receive your Withholding Account Number in about 5-7 days.
• You will need to register with this department if you have employees that both live and work in Maine. If your business is located outside of Maine, but your employees work or live in Maine you will need to register with this agency.

Unemployment Account Number, Unemployment Tax Rate, and Employment Security Assessment Rate

Existing Maine Employer: 

• You can find your Unemployment Account Number on notices received from the Maine Department of Labor (Form 941/C1-ME).
• Your Unemployment Tax Rate can be found in the Contribution Rate Box in the bottom right-hand side of the Tax Rate Notice. Employers generally have a rate that ranges from 0.49% to 5.81% for SUTA with a wage base of $12,000.
• Your Employment Security Assessment Rate can be found in the Assessment Rate Box on the bottom right-hand side of the Tax Rate Notice.

New Maine Employer: Register with the Maine Department of Labor

• Register your business at maine.gov.
• Most companies are liable for state unemployment when they have one or more workers in different weeks in a calendar year or payroll of $1500 in a calendar quarter.
• You will need to register with this department if you have employees that work in Maine. If your business is located out of the state, but some of your employee's primary work location is in Maine, you will need to register with this agency.
• New employers generally have a rate of 2.24% (this includes a 0.07% competitive skills scholarship fund rate) for SUTA with a wage base of $12,000.

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.