Maine Payroll Tax Registration

As an employer in Maine, it is crucial to understand the process of payroll tax registration to ensure compliance with state regulations. This guide will provide you with a clear overview of the necessary steps to register for payroll taxes in Maine after hiring an employee.

How Maine Payroll Registration Works

There are 2 payroll tax setup tasks you may need to complete in Maine to get your new hire on payroll for the first time. You can follow the guide below to help you get registered directly with the Maine agencies or use Mosey to do it.

Use Mosey to register for payroll tax in Maine.

Maine Withholding Tax Setup

Employers are required to withhold Maine income tax from wages earned in Maine. Employees must register with the Department of Administrative and Financial Services and provide the Employee’s Withholding Allowance Certificate (Form W-4ME) to determine their personal exemptions so the correct amount is withheld.

  1. Register for Withholding Tax Online

    Select "Income Tax Withholding" then complete the online form to request a new withholding tax account number.

  2. Receive Account Confirmation and Number

    Your account number will be mailed to you typically within three weeks of submission.

  3. Configure Payroll

    Your payroll provider will need your withholding tax account number and withholding schedule rate to remit taxes correctly. Employers withholding less than $18,000 for the 12 months ending the prior June 30 are required to make payments quarterly, and employers reporting Maine income tax withholding of $18,000 or more are required to make semi-weekly payments.

Maine Unemployment Insurance Setup

Employers are required register for and to contribute to Unemployment Insurance if you have: (1) Employees working one or more days in 20 weeks during a calendar year, and (2) $1,500 or more in wages in any calendar quarter.

  1. Request Unemployment Insurance Account Online

    Request a new unemployment tax account online using ReEmployME. It can take a week or more to receive your account number and contribution rate.

  2. Configure Payroll

    Your payroll provider needs your Unemployment Insurance number and contribution rate to remit taxes properly. Your contribution rate is sometimes called "Current Experience Rate."

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