If you are an employer in North Carolina who has recently hired an employee, you will need to register for payroll taxes with the North Carolina Department of Revenue. This registration process ensures that you are compliant with state tax laws and can properly withhold and remit payroll taxes on behalf of your employees.
How North Carolina Payroll Registration Works
There are 2 payroll tax setup tasks you may need to complete in North Carolina 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 North Carolina agencies or use Mosey to do it.
North Carolina Unemployment Insurance Setup for Corporation, LLC, LLP
If you have a gross payroll of at least $1,500 in any calendar quarter or have at least one North Carolina worker in 20 different weeks during a calendar year, you are required to pay unemployment insurance tax and must register for an Employer Account with the North Carolina Division of Employment Security. Note: 501(c)(3) nonprofit organizations must register when they employ at least four workers in any part of the day of 20 different calendar weeks during a calendar year. 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 North Carolina Division of Employment Security for benefits paid to current or former employees.
- Apply for Employer Tax Account Number
Apply for an Employer Tax Account Number by creating a North Carolina State Unemployment Insurance Tax System (NCSUITS) account online. Once approved, you will receive two pieces of mail, one with your seven-digit EAN, and one with your six-digit PIN. You will also receive your Liability Date and Tax Rate Information in mail.
- Create Online Account
Create an online account with the seven-digit EAN and six-digit PIN mailed to you. This allows you to manage your Unemployment Insurance tax information and respond to claims online.
- Post Certificate of Coverage
Post the Certificate of Coverage in your office alongside other labor posters. For remote employees, post the Certificate of Coverage alongside other labor posters on your internal website.
North Carolina Withholding Tax Setup for Corporation, LLC, LLP
If you plan to hire employees in North Carolina, you are required to register with the North Carolina Department of Revenue for an Income Tax Withholding Identification Number.
- Register for a Withholding Identification Number
Use the Online Business Registration tool to register for a Withholding Identification Number with the Department of Revenue. Your Withholding Identification Number is typically issued immediately, otherwise you will get a tracking ID for your registration and your Tax Withholding Number will be mailed to you in up to four weeks. Note: You can also apply for Sales & Use Tax at the same time.
