If your business is a limited liability company (LLC), corporation, partnership, or nonprofit corporation, you’ll probably need to register with any state where you conduct business activities.
Typically, you’re considered to be conducting business activities in a state when:
Some states allow you to register online, and some states make you file paper documents in person or through the mail. Your State Tax accounts will need to be set up before you can run your first payroll, typically you need to start setting up your account at least one month before you open.
Most states require you to register with the Secretary of State’s office, a Business Bureau, or a Business Agency. In addition to filing with the state you will also need to register with the Department of Revenue for a State Income tax (SIT) ID for your state and set up a State Unemployment Tax Act (SUTA) for an unemployment account.
After you’ve registered with your state and received your employer tax number, you’ll need to start filing returns and pay any required SUTA taxes. Again, the exact filing and payment details will vary state by state, but most states will require you to file a yearly return and make quarterly payments.
If quarterly payments are required, you’ll usually need to make each quarter’s payments by the last day of the month that follows the end of each calendar quarter (but be sure to check with your state to confirm the actual due dates):
In most states, employers are responsible for paying SUTA tax. However, three states—Alaska, New Jersey and Pennsylvania—require SUTA contributions from both employers and employees.
FUTA tax is a payroll tax levied by the federal government, while SUTA tax is a payroll tax that’s administered by individual states.