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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
đź“š 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 New Mexico agencies when registering for payroll taxes:
New Mexico Secretary of State (SOS): Business registration.
New Mexico Taxation & Revenue Department: Handles income tax withholding.
New Mexico Department of Workforce Solutions (NMDWS): Handles unemployment tax.
Before you can sign up for New Mexico state tax accounts, you must register your business with the New Mexico Secretary of State (SOS).
Note: Rules may be different based on your business type. Consider speaking with a lawyer or business expert to make sure you're meeting all legal requirements.
You do not need to register if your business is one of the following:
Benefit Corporation
Close Corporation
Cooperative
Sole Proprietor or General Partnership (unless you're operating under a business name that's different from the legal name of the owner)
Pick a unique business name. Make sure no one else in New Mexico is using it. You can search the New Mexico business name database to check.
Choose and complete the form that matches your business type (for example, LLC or Corporation).
Once the form is complete, pay the registration fee. The fee depends on your business type.
After your registration order is processed, you'll receive a Registration ID. Keep your Registration ID in a safe place because you'll need it to register for state taxes.
Register with the New Mexico Taxation & Revenue Department for Wage Withholding Tax (WWT).
You should receive your account number and tax deposit schedule the same day after registering online. If you get stuck, watch the Taxation & Revenue Department's video on how to register.
Under Businesses, click Apply for a New Mexico Business Tax ID.
Enter your business information and create a TAP login to complete the registration.
When you sign in to your TAP account for the first time, you may need to complete extra steps, such as setting up two-factor authentication (2FA).
Make sure you register for Wage Withholding Tax (WWT) so Gusto can file and pay for this tax type.
When you're done, click Submit. You'll receive a confirmation number.
If you have questions about registration, call the agency at (866) 285-2996.
Most companies in New Mexico must start paying unemployment insurance tax once they have:
Paid $500 in wages during a calendar quarter, or
Had at least one New Mexico employee working for any part of the week for 20 or more different weeks during a calendar year
Your business type (general, nonprofit, and similar) can impact when the company is responsible for paying this tax. Contact the agency to confirm when your company 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 New Mexico in Gusto for now, and update the rate once you receive it.
New employers must register with the NMDWS using the Unemployment Insurance Tax Self-Service System. The application can take up to ten business days to process. Once approved, you'll receive:
An Employer Account Number (EAN) to use for all your business with NMDWS
A notice with a User ID and Password for the system. You'll need to activate your account before NMDWS can accept wage records and payments.
To register:
Go to the New Mexico Department of Workforce Solutions website.
Click Register Now to go to the UI Employer Registration page.
Click Next.
Complete all remaining steps.
Note: For new employers, the unemployment rate may vary depending on the industry. Call the agency at (877) 664-6984 to get your account number and rate.
The New Mexico Workers' Compensation Act controls the Workers’ Compensation Assessment Fee in New Mexico.
Note: This fee is different from your Workers’ Compensation insurance.
Employers with 3 or more employees must pay this fee, even if only one person works in New Mexico, or if some workers are contractors or temporary.
The fee is based on the number of covered workers at the end of each quarter. For more details, check the New Mexico Workers’ Compensation Administration website.
Click the Taxes & Compliance section and click Tax setup.
Scroll to the "New Mexico Tax Setup" section.
Click Manage Taxes.
Next to "State tax account details", click Edit.
For "Workers' Comp. Act Coverage", click Covered.
Click Save.
Go to Taxes & compliance, then select Tax setup.
Find New Mexico Tax Setup and select Manage taxes.
Next to State tax account details, click Edit.
For Workers' Comp. Act Coverage, select Covered.
Click Save.
Once you complete registration, take these steps:
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 New Mexico work address for one or more employees.
If you've already registered in New Mexico, 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:
New Mexico Taxation & Revenue Department: Handles income tax withholding.
New Mexico Department of Workforce Solutions (NMDWS): Handles unemployment tax.
If you still need to register, see the Register for NM income, unemployment, and workers' comp assessment fee on your own section earlier in this article.
Once you add a valid New Mexico work address in Gusto for one or more employees, you can enter your state tax account information.
To add your New Mexico tax account information:
Go to Taxes & compliance, then select Tax setup.
Find New Mexico 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 NMBTIN, click Edit to enter your New Mexico Business Tax Identification Number. This number was formerly called the CRS Identification Number.
Form CRS-1 or other notices from the New Mexico Taxation & Revenue Department
Your TAP account
If you cannot find your account number, contact the agency at (505) 827-0700.
Next to Filing Frequency, click Edit to enter the tax deposit schedule the agency assigned you. This may be labeled as Filing Status on your Registration Certificate from the Department.
Gusto supports the following filing frequencies: monthly, quarterly, or semiannually.
Note: Filing frequencies can change annually. Make sure to update the information in Gusto if you receive a new filing schedule.
Your Registration Certificate from the New Mexico Taxation & Revenue Department
Your TAP account
If you cannot find your filing frequency, contact the agency at (505) 827-0700.
Next to Employer Account Number, click Edit to enter your unemployment account number (EAN).
Notices from the New Mexico Department of Workforce Solutions, such as the Quarterly Wage and Contribution Report
Your NMDWS online account
If you cannot find your account number, contact the agency at (877) 664-6984.
Next to Contribution Rate, click Edit to enter your total contribution rate. This is your unemployment tax rate and excess claims rate combined.
Your Employer Contribution Rate notice from the New Mexico Department of Workforce Solutions
If you cannot find your rate, contact the agency at (877) 664-6984.
If you do not have your assigned rate yet, enter the new employer rate for New Mexico in Gusto in the meantime. Update the rate once you receive it.
The New Mexico Workers' Compensation Act controls the Workers’ Compensation Assessment Fee in New Mexico.
Note: This fee is different from your Workers’ Compensation insurance.
Employers with 3 or more employees must pay this fee, even if only one person works in New Mexico, or if some workers are contractors or temporary.
The fee is based on the number of covered workers at the end of each quarter. For more details, check the New Mexico Workers’ Compensation Administration website.
Click the Taxes & Compliance section and click Tax setup.
Scroll to the "New Mexico Tax Setup" section.
Click Manage Taxes.
Next to "State tax account details", click Edit.
For "Workers' Comp. Act Coverage", click Covered.
Click Save.
Go to Taxes & compliance, then select Tax setup.
Find New Mexico Tax Setup and select Manage taxes.
Next to State tax account details, click Edit.
For Workers' Comp. Act Coverage, select Covered.
Click Save.
Third-party authorization (TPA) is needed for the agencies below:
NM Taxation and Revenue Department: Helps keep your tax information up to date and allows Gusto to help troubleshoot tax issues.
NM Department of Workforce Solutions: Required to pay and file taxes.
Gusto will try to access your withholding account online, but you'll need to give Gusto access in your TAP account first.
Log in to your TAP account.
In the upper-right corner, select Manage My Profile.
Select More Profile Options…
Under Access, select Manage Third Party Access.
Verify the following settings. If the settings read differently, change them to match.
Allowed: Yes
Default Access: Standard
Default Account Access: File Returns and Make Payments
Click Add to start the Grant 3rd Party Access flow.
On the instructions page, click Next.
Enter Gusto's TPA-identifier: [email protected].
Select Add/Edit Account Access.
Enter the following:
Account type: Wage Withholding
Access level: File Returns and Make Payments
Click Add.
Click Submit.
After you receive your confirmation number, click Ok.
If Gusto cannot view your account, we may ask you for additional information, such as your zip code, last payment amount, or most recent total tax due.
Giving Gusto third-party access (TPA) for this agency helps keep your tax information up to date and allows Gusto to help troubleshoot tax issues.
In the upper-right corner, click Manage My Profile.
Select More Profile Options…
Under Access, select Manage Third Party Access.
Verify the following settings. If the settings read differently, change them to match.
Allowed: Yes
Default Access: Standard
Default Account Access: File Returns and Make Payments
Click Add to start the Grant 3rd Party Access flow.
Read the instructions page and click Next.
Enter Gusto's logon/TPA identifier: [email protected].
Select Add/Edit Account Access.
Enter the following:
Account type: Workers' Compensation Fee
Access level: File Returns and Make Payments
Click Add.
After you receive your confirmation number, click Ok.
Gusto needs third-party access (TPA) for this agency to pay and file unemployment tax for you.
If you get stuck, use the agency's instructions for how to assign a third-party agent.
Go to the NM Department of Workforce Solutions website.
Click the Employer Login icon.
Enter your User ID and Password, then click Login.
On the Employer Homepage, click Account Maintenance.
Click Third Party Administrator (TPA) Authorization.
Click New.
Enter Gusto's TPA ID: 500001831.
Click Next.
A page will display Gusto's information. Gusto's legal business name, Zenpayroll, may populate as the Agent Name. Initially, no roles will be assigned to Gusto.
Enter the date that Gusto will begin performing services for your company.
Set the TPA start date to the beginning of the quarter you're starting with Gusto: Q1 = 01/01, Q2 = 04/01, Q3 = 07/01, Q4 = 10/01.
Select only the following checkboxes. Do not select other roles.
Account Maintenance Update and Submit
Payments Update and Submit
Employment and Wage Detail Update and Submit
Do not select Benefit Claim Matters or any other role not listed above. If Gusto receives critical mail because of incorrectly assigned roles, you may miss important dates and deadlines (for example, benefits claim details).
Click Save. The page will update with a grid showing Gusto's assigned roles.
Click Logoff in the upper-left part of the page to close your session.
Selecting effective dates: The begin date must be the beginning of the quarter (Q1 = 01/01, Q2 = 04/01, Q3 = 07/01, Q4 = 10/01) or Gusto may not be able to file or make tax payments. Leave the TPA end date blank.
Prior payroll service provider: If you're switching from another provider, you must un-assign roles from the previous provider and assign roles to Gusto. Update the TPA end date for the prior provider to the end of the quarter they last filed for you (Q1 = 03/31, Q2 = 06/30, Q3 = 09/30, Q4 = 12/31). The previous TPA access and roles need an end date before roles can be assigned to Gusto.
Multiple locations: If your company has more than one reporting unit or location, make sure Gusto has TPA roles for each unit. By default, the agency's system assigns Gusto TPA roles to all reporting units.
Make sure all required units are assigned to Gusto.
Log in to the NM DWS portal.
From the left menu, select Account Maintenance.
Select Third Party Administrator (TPA) Authorization.
Enter Gusto's TPA ID in the search bar: 500001831.
Click Search.
Click the link for Gusto's (ZenPayroll Inc.) TPA ID.
Verify the Assigned Roles screen has these settings:
Payment Update and Submission: All units are assigned.
Employment and Wage Detail Submission and Update: 001.
If one of these fields shows "No units are assigned," click Assign Units, then check the Assign All checkbox.
Click Save.
If you have questions about assigning Gusto's roles to your account, contact NMDWS at (877) 664-6984.
TRD-41414 (Employer Wage Withholding Form)
RPD-41072(Annual Withholding Form)
ES-903A (Employer's Quarterly Wage and Contribution Report)
WC-1 (Workers' Compensation Fee Form)
State W-2 (Wage and Tax Statement)
NM New Hire Report
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: New Mexico Taxation and Revenue Department (TRD)
Phone: (505) 827-0700
Workforce or Labor Agency: New Mexico Department of Workforce Solutions (DWS)
Phone: (877) 664-6984, option 3
Learn how to close or reopen tax accounts.