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Before you can pay employees in a new state, you must register with the state’s tax agencies. This lets you file and pay the right taxes.
🎥 Watch a quick video to learn how registering in a new state works
📚 See our blog for full state business guides
Expand the sections below to learn more. Use CMD + F (or CTRL + F) to search for words in the article.
Gusto works with Middesk to register your business for state tax accounts when you hire employees or start working in a new state. We set up state income tax withholding and state unemployment insurance so we can run payroll and file taxes on your behalf.
We can start your registration after all of these are true:
You added a company work address in the new state.
You assigned that address to a new or existing employee.
You checked your Gusto Home page for a registration to-do.
If required, you registered with preliminary state agencies (like the Secretary of State or Department of Licensing and Regulatory Affairs) first and confirmed it's done.
States that require SOS registration before tax setup: Michigan, Missouri, New Jersey, New Mexico, and Vermont.
Middesk cannot help with registration if your business is:
A non-profit that is not a 501(c)(3)
A business that left a PEO
A business that bought another business that was already registered
A business that changed its legal entity type (for example, LLC to Corp)
A Limited Partnership (LP) or Limited Liability Partnership (LLP)
You must also:
Have a FEIN in Gusto
Not already have a tax account in that state
If you already registered with the state, Middesk will cancel the order and you will not be charged.
Included
Middesk registers your business for:
State income tax withholding
State unemployment insurance (SUI)
Not included
Middesk does not register your business for:
Local tax agency registration
Paid Family and Medical Leave (PFML) registration
Third-Party Agent (TPA) access
Power of Attorney (POA) authorization
Some states require TPA or POA for Gusto to file and pay taxes. In most cases, you must set this up yourself after registration. If you need to register for local taxes or PFML, or set up TPA or POA, use the state-specific article for step-by-step instructions.
The cost, steps, and timeline depend on the state. Before you submit anything in Gusto, we show you:
The price
What is included
How long registration usually takes
You are not charged until the order is marked as completed. The charge appears on your next Gusto monthly invoice.
You can also visit the Middesk Help Center to see estimated processing times for each state.
Here is what to expect when Middesk handles your registration:
You answer questions about your business, including:
Basic company info
Contact details
Addresses
Owner or officer info
State-specific details
Middesk reviews your information.
Middesk usually submits your registration within two business days.
A state agency may contact you to verify the request.
⚠️ Important: If you do not respond to a verification call or email within 3–5 business days, the order may be canceled and refunded.
After your order is marked as complete, we add the charge to your next Gusto monthly invoice.
When Middesk receives your tax account numbers, they enter them in Gusto (for most states and agencies). You will get emails from Gusto and Middesk with updates and next steps.
For most states, Middesk receives agency mail during registration and adds your tax info to Gusto. You can view this mail in a digital mailbox. After registration is complete, the agency updates its mailing address to your business address. If you need to take action, we will notify you by email or Home page to-do.
States that mail tax account info directly to your business: Alabama, Arizona, Delaware, Idaho, Iowa, Kansas, Kentucky, Maryland, Massachusetts, Michigan, Montana, Nevada, New Hampshire, Oklahoma, Rhode Island, Washington, Washington DC, and West Virginia. When you receive the letter, check your email for instructions on how to send the info to Middesk.
You can run payroll before registration finishes. However:
Gusto cannot file or pay taxes until all tax account numbers are added.
You may receive late notices or penalties. These are your responsibility.
For unemployment tax, use your state’s new employer rate until you receive the correct one.
Note: You can cancel orders before they are sent to Middesk. Once an order is submitted to Middesk, it cannot be canceled or refunded.
If you need help with any of the registration questions, check Middesk’s Help Center.
In your web browser:
Go to Taxes & Compliance → Tax setup.
Find [State name] Tax Setup.
Click Learn more under “Let us help you register.”
Review the price, process, and timeline. We do not charge you until after your order is complete.
Click Get started on Middesk.
Review everything carefully before submitting. Mistakes can delay registration.
In the Gusto mobile app:
Open the Gusto mobile app and sign in.
In the bottom-right corner, tap More.
Select Taxes & compliance.
Scroll down to Quick links and choose Setup tax accounts.
Scroll down to [State name] tax setup. Tap Learn more.
Review the process, timeline, and pricing. We do not charge you until after your order is complete.
Tap Get started on Middesk.
Share your business information and review everything carefully before submitting. Mistakes can delay registration.
To check your Middesk registration status in Gusto:
Go to Taxes & Compliance → Tax setup.
Find the state and view the status.
Possible statuses include:
Tax registration in progress
We need more information
The state is working on your order
Your registration is complete
Your order is on hold (often due to state requirements)
You have existing tax accounts
We could not complete your registration
If you entered the wrong eligibility date, email [email protected].
Some states require Gusto to have TPA or POA on file before we can file and pay taxes. Middesk usually does not set this up.
Check the state-specific registration article to see if TPA or POA is required for your state.
If there is no TPA or POA section in the state article, it is not needed right now.
If TPA or POA requires an agency portal:
If Middesk creates the agency account during registration, you will find the login details in Gusto: go to Taxes & Compliance → Tax setup after registration.
If Middesk does not create the account but the state requires portal access, you must create the account yourself.
You can only cancel an order before it is submitted to Middesk. Once submitted, orders cannot be canceled or refunded.
To cancel your order:
Go to Taxes & Compliance, select Tax Setup, and scroll to the applicable state.
In the Finish your [state] registration order banner, select Cancel order.
Q: Do I need a FEIN to use Gusto’s registration service?
A: Yes. You must have a FEIN to register through Gusto. If your business is merging or being acquired, Middesk cannot help with registration.
Q: Why can’t I enter 0% ownership or add a commercial owner?
A: Some states require a minimum ownership percentage or an individual owner. If your situation does not meet state rules, you will need to register outside of Gusto.
Q: What if the responsible party is international without an SSN or ITIN?
A: Middesk cannot help in this case. You will need to register directly with the state.
Q: What if I’m not liable for unemployment tax yet?
A: Use today’s date or the expected liability date. Use the new employer rate until you get your company-specific rate.
Q: I need to change information I already submitted. What do I do?
A: Email [email protected].
Q: What if the tax agency contacts me?
A: Respond right away, within 3–5 business days. Missing a verification call or email can cancel your registration order.
Q: When will my tax account numbers be available?
A: Timelines vary by state. Check Middesk’s guidance for estimates.
Q: Can Middesk close my state tax accounts?
A: No. You must close accounts directly with the state.
Visit the Middesk Help Center for help with registration-specific questions.
Contact Gusto from the ( ? ) in your account for all other payroll or tax setup help.
Expand the sections below to learn how to register with state agencies.
You'll work with the following Kentucky agencies when registering for payroll taxes:
Kentucky Department of Revenue (DOR): Handles income tax withholding.
Kentucky Office of Employment and Training: Handles unemployment tax.
Local Kentucky tax agencies: Handle various local taxes. See the Register for KY local taxes on your own section for details.
You should receive your account number and tax deposit schedule 1–2 days after registering online.
Review what you'll need to register on the Kentucky Department of Revenue website.
Complete your online registration via the Kentucky Business OneStop portal. Click Create new Account to get started.
If you need help, contact the agency at (502) 564-3306.
If you're asked whether you're using a common paymaster or pay agent, select No.
Most companies become liable for Kentucky unemployment insurance tax once the company has:
Paid $1,500 in wages during a calendar quarter
Had at least one Kentucky employee working for any part of the week for 20 or more different weeks during a calendar year
Liability thresholds can vary by business type (general, nonprofit, and similar). Contact the agency directly to confirm when your specific business will be liable.
If you need to run payroll but do not yet meet the above requirements, you can still do so. Enter the new employer rate for Kentucky in Gusto for now, and update the rate once you receive it.
Register online with the Kentucky Office of Employment and Training to receive your:
Kentucky Employer Identification Number (KEIN). The KEIN should have nine digits (for example, 12 123456 1), but some accounts include a letter between the eighth and ninth digit (for example, 12 123456A 1). If your letter from the agency only has eight digits, call the agency at (502) 564-2272 to get the ninth digit.
Adjusted UI tax rate (unemployment tax rate).
When asked whether you'll be filing electronically or using a third-party administrator, answer Yes, but enter your own company's mailing address so you stay informed of changes to your account.
Complete all remaining prompts.
If you have questions, call the agency at (502) 564-2272.
Give Gusto third-party access (TPA) so we can help manage your taxes with the agency.
Enter your tax account information in Gusto once you add a valid Kentucky work address for one or more employees.
Kentucky employers may also be subject to local taxes depending on where their employees work. Expand the sections below to learn more about each local tax type.
Employers are required to withhold local city or county taxes in cities where their employees work. This is often called an Occupational License Fee (OLF).
The OLF is imposed for the privilege of engaging in any business, professional occupation, or trade within city limits, regardless of the legal residence of the employee. Tax rates vary based on where the business activity occurs. For city-specific requirements, contact the applicable local agency directly.
Visit the Kentucky OneStop website to learn more about Occupational Licenses.
The Louisville Metro Revenue Commission requires employers to create an eMINTS account on the city's website. Gusto needs access to your account to file and pay the tax on your behalf.
To give Gusto access:
If you have not done so already, create a master username on the main eMINTS page.
Gusto will request access to your account.
You'll receive a notice in the mail from the Louisville Metro Revenue Commission with an access code.
Send the notice and access code to Gusto.
After Gusto receives the code, Gusto will complete accessing your account.
Some counties (for example, Boone, Cumberland, Fayette, Marshall, Scott, and Warren) impose a school tax for work performed in the county by residents. Check the KY Department of Education website for the most current list of localities.
Several Kentucky counties impose a tax for all work performed in any city within their county, regardless of the legal residence of the employee.
If the business is inside the city limits of a city that imposes a tax, the employer may only owe license fees to the city and may not owe the county license fees.
If the business is located outside the city limits, the employer needs to register for and pay the county taxes.
Visit the Kentucky districts and localities page for a full list. If you have questions about your company-specific requirements, contact the applicable agency directly.
Corbin city spans three counties (Knox, Whitley, and Laurel), but tax requirements differ by county:
Corbin, Knox County: 1% Corbin city tax and 1% Knox County tax, for a total of 2% per employee (paid to Corbin city).
Corbin, Whitley County: 1% Whitley County tax only.
Corbin, Laurel County: 1% Whitley County tax only.
If an employee lives in Whitley or Laurel county and you see both city and county taxes being withheld, you can set up an employee exemption for the Corbin city tax, as only the county tax applies.
If you've already registered in Kentucky, you need to enter your tax account details in Gusto. You need to be registered with one or more of the following agencies for Gusto to file and pay taxes on your behalf:
Kentucky Department of Revenue (DOR): Handles income tax withholding.
Kentucky Office of Employment and Training: Handles unemployment tax.
Local Kentucky tax agencies: Handle various local taxes.
If you still need to register, see the Register for KY income and unemployment tax on your own and Register for KY local taxes on your own sections earlier in this article.
Once you add a valid Kentucky work address in Gusto for one or more employees, you can enter your state tax account information.
To add your Kentucky tax account information:
Go to Taxes & compliance, then select Tax setup.
Find Kentucky Tax Setup and select Manage taxes.
Follow the instructions below for each tax type.
Important: If you edit a tax account number after payments or filings have been made, there may be tax implications. Learn how to pull reports in Gusto that can help you correct any historical tax issues related to tax account number updates.
Next to Withholding Account Number, click Edit to enter your withholding account number. This number is six digits. If you have a nine-digit number with three leading zeros, omit the zeros when entering it in Gusto.
Any return from the Kentucky Department of Revenue, such as Form K-1, K-1E, K-3, or K-3E
If you cannot find your account number, contact the agency at (502) 564-3306.
Next to Filing Frequency, click Edit to enter your agency-assigned tax filing frequency. The agency will assign one of the following schedules:
Twice monthly
Monthly
Quarterly
Annually
Note: If you do not know your filing frequency, select the most frequent schedule for now to prevent late payments or penalties. Contact the agency at (502) 564-3306 to confirm your assigned frequency, then update it in Gusto.
Your registration confirmation from the Kentucky Department of Revenue
If you cannot find your filing frequency, contact the agency at (502) 564-3306.
Next to Kentucky Employer Identification Number, click Edit to enter your nine-digit KEIN (format: XX-XXXXXX-X). This number usually has two leading zeros, include the zeros when entering it in Gusto.
Your Quarterly Unemployment Report (Form UI-3) from the Kentucky Office of Employment and Training
If you cannot find your account number, contact the agency at (502) 564-2272.
Next to Adjusted UI Tax Rate, click Edit to enter your adjusted UI tax rate.
Note: Do not include the surcharge rate for the Service Capacity Upgrade Fund (SCUF). Gusto automatically adds this to your rate in the years it is in effect.
Your Notice of Contribution Rate from the Kentucky Division of Unemployment Insurance: look for the UI Rate section
If you cannot find your rate, contact the agency at (502) 564-2272.
If you do not have your assigned rate yet, enter the new employer rate for Kentucky in Gusto in the meantime. Update the rate once you receive it.
For Gusto to keep your Kentucky tax information up to date and help troubleshoot tax issues, you need to authorize Gusto as your third-party agent (TPA) for the agency below:
Kentucky Department of Revenue (DOR): Withholding tax.
If Gusto is having trouble gaining access to your account, call the agency at (502) 564-7287 and verify that the following information in Gusto matches exactly what the DOR has on file:
Official company name and address
Federal Employer Identification Number (FEIN)
Withholding Tax Account Number
If all information matches, contact the agency directly to resolve why Gusto cannot successfully pay and file tax returns.
K-1 (Employer's Return of Income Tax Withheld)
For one day, twice monthly, monthly, or quarterly filers
K-3 (Employer's Return of Income Tax Withheld)
For annual filers
UI-3 (Employer's Quarterly Unemployment Wage and Tax Report)
KY0033-138* (Occupational License Fee - Mercer County)
42A806* (Transmitter Report for Filing Kentucky Wage Statements)
State W-2 (Wage and Tax Statement)
KY New Hire Report
Various local returns
You can view forms in Taxes & Compliance, then Tax documents. Switch between the tabs to find federal, state, W-2s, and 1099s.
Some forms show an asterisk (*). Forms like payment vouchers or coupons that were filed electronically may not show in your Gusto account. Sign in to the agency's portal to view filings and payments.
To see what Gusto has paid for you, run the Agency Payments report.
Revenue Agency: Kentucky Department of Revenue (DOR)
Phone: (502) 564-7287
Workforce or Labor Agency: Kentucky Division of Unemployment Insurance
Phone: (502) 564-2168
Learn how to close or reopen tax accounts.