TAX NOTICES AND UNEMPLOYMENT RATE CHANGES

By Travis Ward

I can’t believe it is already May!  Our tax team has been busy filing the 1st quarter payroll tax returns.  We are excited to have all the returns completed.  Besides filing tax returns, our Team has been busy addressing several important tax issues that affect you as the employer and Payroll Experts as your service provider.

As you are all aware, the different tax agencies are great at sending you mail.  Whenever you receive payroll related mail, scan and email the information to us. Most of the time, the information they send can be shredded because they are blank returns used as reminders to file related tax returns.  Payroll Experts automatically takes care of filing these returns for you.  However, on occasion important information is sent to you that we will need.  Watch for notices stating that your filing status is changing or has been changed.  Watch for notices with a PIN number or password to file online.  Near the end of every year letters are sent out by the States in which you have employees in.  These notices indicate what your unemployment rate is for the upcoming year.  If we don’t receive this letter from you we have to assume that your rate isn’t changing for the next year and we keep your rate the same.   These are the types of tax letters we need you to give us.

For our clients that have Utah employees, you are probably aware of the mess Utah has made over the last few years by sending out letters in November indicating what your unemployment tax rate will be for the next year.  However, then in March they send out amended letters going retroactive to January 1st changing your unemployment rate.   For the most part many Utah employers had their unemployment rates go down while some had rate increases.  We have now made the adjustments, raising or lowering your unemployment rate.   If your rate went up and you owed money we have already contacted you to collect the additional funds.  For those of you who are lucky enough to have had your rate go down we will be calculating and refunding these funds to you during the month of May.  If you see a deposit from Payroll Experts in May this is us refunding back to you the difference between the original higher rate and the current lower rate for your 2013 payrolls.

Thank you for giving us the opportunity to work with you.  We are committed to simplifying and personalizing your payroll experience with us and are always diligently working to keep you compliant with all the tax changes.  If you ever have any questions about something you receive, please don’t hesitate to contact your payroll specialist.

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