Configure Tax Information
Configuring your tax information is a crucial step to get started with Zoho Payroll. This helps Zoho Payroll to:
- Calculate the amount of federal, state, and local taxes that you owe to the government.
- Calculate the amount of taxes you must withhold from your employees.
- Generate federal, state, and local forms.
- Determine your deposit schedule.
In the Taxes section under Settings, you can configure the following:
- Federal Tax Information
- State Tax Information
Federal Tax Information
The Federal Tax Information section helps Zoho Payroll to determine the amount of tax you owe, your deposit schedule, and the frequency at which you report federal taxes to the IRS.
To set up federal taxes:
- Go to Getting Started page.
- Click Complete now next to Set up your tax details. You’ll be redirected to the Taxes section under Settings.
- Click Configure under Federal Tax Information.
- Enter the required details:
| Field | Description |
|---|---|
| Federal Employer Identification Number (FEIN) | Enter your organization’s Federal Employer Identification Number. |
| Federal Tax Deposit Frequency | Select the federal tax deposit frequency assigned by the IRS.
If you are unable to locate this information or have queries about your deposit schedule, contact your local IRS office for assistance. |
| Federal Unemployment Tax Deposit Frequency | Select the tax deposit frequency for your federal unemployment taxes assigned by the IRS.
If you are unable to locate this information or have queries about your deposit schedule, contact your local IRS office for assistance. |
WARNING Once you configure these details, the Federal Employer Identification Number (FEIN) cannot be modified after processing your first pay run. Hence, ensure accuracy before proceeding.
- Click Save.
Your configuration will be saved, and Zoho Payroll will use this information to calculate federal taxes and generate federal forms for your payrolls.
State Tax Information
The State Tax Information section helps Zoho Payroll to determine the amount of tax you owe, your deposit schedule, and the frequency at which you report state taxes to the state authorities.
To set up state taxes:
- Go to Getting Started page.
- Click Complete now next to Set up your tax details. You’ll be redirected to the Taxes section under Settings.
- Click Configure under State Tax Information.
- Enter the required details, which may vary depending on your state’s requirements.
- Click Save.
Your configuration will be saved, and Zoho Payroll will use this information to calculate state taxes and generate state-specific forms.
Learn how to configure and update your tax information via Settings.