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Employer/Payroll Filing Requirements and Registration Applications

Form SS-4

You must have a federal employer identification number (FEIN) when you are an employer. You will use this number to make your federal tax deposits, and when you file your employment tax returns.You can obtain your FEIN by: a) filing a completed SS-4 with the IRS EIN operation center for your state. You’ll receive your FEIN within four weeks; or b) faxing yourSS- 4 to FAX-TIN number for your state. FAX-TIN is available 24 hours a day, seven days a week. Be sure to include a cover sheet showing your FAX # and you should receive your FEIN within four business days.

There are other times when you must have a FEIN, such as when you have formed a corporation or a partnership. Your bank may also ask for an FEIN when you open a business bank account. If you are a sole proprietor, you are not required to have a FEIN.

The Colorado Sales Tax/Wage Withholding Account Application Form, CR100 The CR100 is a 2 part from form which may be used to open accounts. If you will have employees, this for will open your state wage withholding account with the Colorado Department of Revenue.

INS Form I-9

One form that you must keep in your employees’ personnel file(s) is the Immigration and Naturalization Service’s I-9 Form. This paperwork was devised to ensure that employers do not hire illegal aliens. The paperwork is not difficult and is required. The I-9 Form must be completed within three working days after employment

begins. Employees must submit documentation that verifies residency to their employer. All documentation unavailable on the hire date must be obtained within 21 days. The form lists a variety of different forms of identification that may be used individually or in combination to verify eligibility to work in the United States. The penalties for failing to comply with this requirement begin at $250 for each unauthorized employee and can quickly reach $10,000 per violation. For further information regarding the I-9 Form, contact the INS.

Form W-4

Each employee must date and sign a completed W-4, Employee’s Withholding Allowance Certificate. You should include it in every employee’s personnel file as it will provide a record of his/her proper name, address, and social security number. The W-4 provides you with information regarding the employee’s marital status and the number of exemptions claimed to determine the proper federal and state income tax withholdings from your employee’s payroll checks. Maintaining this form on file is not only a requirement of the IRS but may also be used as evidence in disputes that arise with the IRS or employees. The W-4 must be filed with the IRS only in special circumstances, which is explained in Publication #15, Employer’s Tax Guide. If any of your employees claim exempt status, including students, they must fill out a new W-4 every year. Regular employees should fill out a new W-4 whenever they move or there is a change in their tax status, i.e., got married or divorced, increase/decrease dependents or changed the number of their exemptions. All employers in the State of Colorado must report a newly hired employee to the Division of Child Support Enforcement.

A copy of the new employee’s W-4 or a new hire report must be sent to the State Directory of New Hires in Denver within 20 days of the employee’s date of hire or, at the option of the employer, on the first payroll after the 20 days have expired. This new report will be used to identify parents who are delinquent on child support payments. For more information on New Hire reporting, contact the Colorado State Directory of New Hires online at www.newhire.state.co.us.

The Internal Revenue Services Small Business Tax Education Program (STEP)

is a cooperative effort with the local organizations to provide business tax education to the small business owner. Check into the IRS Small Business Tax Education program if your area and take the first step to making your taxes less taxing! Assistance is only a phone call away at 800-829-1040.