If you are an employer in Nevada who has recently hired an employee, you will need to register for payroll taxes with the Nevada Department of Taxation. This registration process ensures that you are compliant with state tax laws and are able to properly withhold and remit taxes on behalf of your employees.
How Nevada Payroll Registration Works
There are 2 payroll tax setup tasks you may need to complete in Nevada 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 Nevada agencies or use Mosey to do it.
Nevada Modified Business Tax Setup for LLC, LLP, Corporation
Every business must register with the Nevada Department of Employment, Training, and Rehabilitation and pay the Modified Business Tax (MBT). The MBT is applied to gross wages, with deductions for expenses related to employee health care benefits. Note: When you register with the Nevada Employment Security Division for Unemployment Compensation for your employees you'll also automatically register with the Department of Taxation for the MBT.
- Add Modified Business Tax Information to Your Payroll Provider
You will receive your Modified Business Tax (MBT) account number from the Department of Taxation automatically after registering for Unemployment Insurance Tax. Configure your MBT account number with your payroll provider once you receive your tax information packet by mail.
Nevada Unemployment Insurance Setup for LLC, Corporation, LLP
Any employer that spends more than $225 on employee wages during any calendar quarter must register with the Nevada Department of Employment, Training, and Rehabilitation and pay Unemployment Insurance tax, which is a portion of an employer’s total payroll taxes. New employers pay the Unemployment Insurance tax at a rate of 2.95% of taxable wages until they are eligible for experience rating. An employer's experience rating is a tax ratio consisting of accumulated taxes paid, accumulated benefits charged to their account, and average taxable payroll for the prior three years. Note: 501(c)(3) organizations are required to register if they employ four or more individuals on some part of a day in each of 20 different weeks. During the registration process, 501(c)(3) organizations will have the choice to either pay unemployment contributions on taxable wages each quarter or elect to reimburse the Nevada Unemployment Fund for benefits paid to current or former employees.
- Register for Unemployment Insurance
Under "New to ESS?" click Sign Up to register for an online Employer Self Service account and file the New Business Registration Form online with the Nevada Department of Employment, Training, and Rehabilitation. In most cases, you will immediately obtain your Nevada Unemployment Insurance Account Number, though occasionally an application may require manual review. If your application requires manual review, you will be notified by mail of the status of your application.
