Ohio registration and tax info

Gusto partners with CorpNet to help you register your business in new states. 

How it works

Once a work address has been added in a new state and a new employee has been hired and assigned a work address in that state, you can get registration assistance in Gusto.

Pricing varies by state—get started below and during step 4, you'll review the price, process, and estimated timeline to completion.

Here’s a snapshot of the process:

1. We’ll collect some basic business information from you.
2. Gusto and CorpNet will check the information for accuracy.
3. Your registration application(s) are usually submitted within 3-5 business days.
4. Check the mail for registration info—the state will typically send your tax account numbers and rates to you directly.

CorpNet can walk you through entering any info that they themselves do not enter in Gusto on your behalf.

Get started with state tax registration

1. Sign in to Gusto as an admin.
2. Click the Taxes & compliance section and select Tax setup.
3. Under “[State name] Tax Setup”, click Have us register for you.
   • The state you want to register in will only appear in this location once a work address has been added in a new state and an employee has been assigned a work address in that state.
4. Review the price, process, and estimated timeline to completion.
   • We will not charge you the registration service fee until you send us your order.
5. Click Continue.
6. Answer a couple eligibility questions.
   • Note: Gusto can only register for you if you don't yet have a state account already.
7. Click Save & continue.
8. Enter some company information.
   • We’ll pre-populate the information we already have.
9. Click Save & continue.
10. Tell us about your responsible party–this is the person who is to be held accountable for the company’s good standing and a point of contact within the organization for tax purposes.
11. Click Save & continue.
12. Enter some state-specific operational information.
13. Click Save and continue.
14. Review all information thoroughly–if any information is incorrect it may delay the process.
    • Heads up: state and local agencies may charge additional fees and increase the estimated turnaround time shown. CorpNet will let you know if that happens.
15. Check the box to acknowledge all info is accurate and you agree to the Terms of Service.
16. Click Send registration order.

After you send your order, we’ll email you with status updates and add your order total to your next monthly invoice.

Checking the status of your order

When your order is complete you’ll receive emails from both Gusto and CorpNet. They’ll detail the next steps which include:

• Reviewing registration details
• Any other state-specific instructions

Before your order is completed, you can use the link in the state registration confirmation email from Gusto to check the status of your order. 

You can also head to the Taxes & compliance and select Tax setup, scroll to the state tax setup section and click the link to Check the status of your registration.

Changing your order

To update your order, contact CorpNet at [email protected] or 1(888) 449-2638. They’re open Monday-Friday from 7am-5pm PT.

FAQs

Q: Can I run payroll for my employees before my registration is complete?

A: Not in most cases—you typically need to have a withholding account number and required tax rate(s) in Gusto before you can run payroll. 

If you’re registering in a state where there is no income tax withheld, you can use the state-specific “new employer rate” in this article until you receive your company-assigned rate from the agency.

Q: Can I use Gusto to register in a new state if I don't have a Federal Employer Identification Number (FEIN) yet?

A: No–you must have a FEIN entered in Gusto to order a state tax registration.

Q: Where can I see all my tax information?

A: You can see all tax details in the following locations: 

• Gusto–head to the Taxes & compliance and select Tax setup, and scroll to the applicable state tax setup.
• CorpNet–create a CorpNet account and login at any time to review information.
• State online account–once you’ve gained access to your agency accounts, your tax details will also be available there.

Gusto’s state tax registration service does not contain tax, legal, financial, or HR advice. Since rules and regulations change over time and can vary by location, consult a lawyer, HR expert, or accountant for specific guidance.

Withholding account registration—income tax

1. Register with the Ohio Business Gateway. 
2. Click Log In.
3. Scroll past the sign-in form, and click Create Account. 
4. Proceed through the six-step process.
5. During step two, you're asked to enter you expected withholding tax amount per year—this determines your filing frequency. If you need help answering this, head to this site and reference the "Withholding Tax Filing Guidelines" for the current year.
   • Required: you'll need to enter your filing frequency in Gusto. To do so, head to the Taxes & compliance section, select Tax setup, scroll to the "Ohio Tax Setup" headline, and click Manage taxes. 
6. Once you've completed all six steps, you’ll receive a "Transaction Receipt Number" that indicates you’ve completed your registration—Gusto does not need this number.
7. Generate the Registration Letter—this will include your Withholding Account Number which need to be entered in Gusto.
   • To enter the information in Gusto: head to the Taxes & compliance section, select Tax setup, scroll to the "Ohio Tax Setup" headline, and click Manage taxes. 
     • Your Withholding Account Number will be 8-digits and will begin with 51, 52, 53, or 54.

The Ohio Department of Taxation does not require that you grant Gusto access to your account in order for us to file or pay your withholding taxes.

Unemployment tax

Most companies are liable for state unemployment if they have one or more employees for part of a day in each of 20 different weeks in the current or preceding year or pay $1500 wages in any calendar quarter. If you're not yet liable, skip to step 3 to find what unemployment rate to enter in Gusto in the meantime. 

You can check your liability and register online using the steps below.

1. Register your business with the Ohio Department of Job and Family Services.
2. You should receive your number instantly after registering online, or 3-4 weeks if registering by mail.
3. The state-specific new employer unemployment rate can be found here—enter this number in your Gusto account in the Taxes & compliance section of your account. 
   •  Update the rate once the agency has assigned you a company-specific one.
     • Note: some employers may have a liability date that's in the future. The agency website, The Source, will show a 0% rate until the date an employer indicates they've become liable.
       • If you have a future liability date, do not enter the 0% rate in Gusto—instead, enter the new employer rate found in step 3 above. After the liability date, check your actual rate in The Source, and then enter your confirmed rate in the Taxes and & compliance section of your account.

Owner's exemptions—unemployment tax

If you have owners or officers who have received an exemption from Ohio unemployment insurance (UI) taxes, then these owner's wages must be excluded from your quarterly wage reports to the state or your entire tax filing will be rejected. To accomplish this, you'll need to set up an exemption for the owner or officer in Gusto—this ensures we do not report their wages in error. 

To view or update the owner or officer information currently on file with the agency:

1. Sign in to The Source using your personal username and password.
2. Under the "Your Account(s)" header, select Account Maintenance.
3. Under the "Employer Account" header, select the Employer Maintenance link.
4. Under the "Other Information" header, select the Ownership Summary tab to review the business owners you have listed with the agency.
5. To add, remove, or modify the owners or their information, click Edit Ownership.

You should contact the agency directly if you have any questions about which owners or officers should be marked as "exempt." When Gusto files your returns, if the exemptions set in our system do not align with the exemptions on file with The Source, filings will be rejected.

Reminders:

• The wages for an officer of a corporation, S-corp. or LLC filing federal taxes as a corporation are generally taxable.
• The wages for a sole proprietor, partners or LLC filing federal taxes as a sole proprietor or partnership are generally not taxable.  

Agent authorization recommended

In order for Gusto to help troubleshoot tax issues, we'll need you to authorize Gusto as your third-party agent (TPA). Gusto will become your TPA for the agency below:

• Ohio Department of Job and Family Services  - unemployment tax 

To become your third-party agent, a notarized form authorizing Gusto as your payroll provider must be submitted to the agency—to make this easy, we’ll prepare the necessary document for you to e-sign in Gusto. Then, we’ll submit the form directly to the agency.

Add Gusto as your third party agent in Ohio

The form will be ready to sign once the below is completed in Gusto:

• A company work address is added in Ohio.
• An Ohio work address is assigned to an employee’s work location in their profile.
• The Ohio state tax setup information is filled out.

To sign the form in Gusto:

1. Have the company signatory sign in to their profile in Gusto.
2. Click the applicable OH to do item from your Home page.
3. E-sign the auto-generated form in Gusto.
   • For general information about the form, click here. 

RITA (Regional Income Tax Agency) 

If you will be paying income tax in a local municipality administered by the RITA, you must register your business. Registration is available online. 

If you prefer to file by paper: 

1. Download Business Registration Form 48. 
2. Fill out the sections that apply to your company. If you have already filed a Registration Form 48, and have a new physical location within a RITA member municipality, you must fill out a new Form 48 for the new location/worksite. 
3. For further assistance, visit the RITA website here.

Find your withholding tax account number and deposit schedule

If you're an existing employer in Ohio, the Department of Taxation should have issued you an 8-digit withholding account number. This can be found on:

• The Registration Confirmation Letter or;
• The Employer's Payment of Ohio Tax Withheld (Form IT-501),

The number will begin with 51, 52, 53, or 54. If you're unsure of the number you can call the agency at (888) 405-4089.

You'll also get a withholding filing frequency based on the combined withholding tax liability (state and school district taxes) for the 12 month period ending June 30th of the previous year. Your filing frequency will be one of the below:

• Quarterly 
• Monthly
• Partial-weekly

You can find details about the deposit schedule on the Department of Taxation FAQ article here.

Find your unemployment account number and rate

The Department of Job and Family Services will have issued you a Unemployment Compensation Tax Account Number. You can find this on:

• The Determination of Employer's Liability (Form JFS 66314) or;
• The Contribution Rate Determination—issued in November.

If you're unsure of your account number, call the agency at (614) 466-2319.

You'll also be issued an Ohio Contribution rate, also known as the unemployment tax rate. The unemployment tax rate can be found:

• On this year's Determination of Employer's Liability (Form JFS 66314) or;
• The Contribution Rate Determination.

If you haven't yet been issued a company-specific tax rate, you can use the state-specific "new employer rate" found in this article. Once you receive your assigned rate, you can use the same article to help you update your rate.

Owner's exemptions—unemployment tax

If you have owners or officers who have received an exemption from Ohio unemployment insurance (UI) taxes, then these owner's wages must be excluded from your quarterly wage reports to the state or your entire tax filing will be rejected. To accomplish this, you'll need to set up an exemption for the owner or officer in Gusto—this ensures we do not report their wages in error. 

To view or update the owner or officer information currently on file with the agency:

1. Sign in to The Source using your personal username and password.
2. Under the "Your Account(s)" header, select Account Maintenance.
3. Under the "Employer Account" header, select the Employer Maintenance link.
4. Under the "Other Information" header, select the Ownership Summary tab to review the business owners you have listed with the agency.
5. To add, remove, or modify the owners or their information, click Edit Ownership.

You should contact the agency directly if you have any questions about which owners or officers should be marked as "exempt." When Gusto files your returns, if the exemptions set in our system do not align with the exemptions on file with The Source, filings will be rejected.

Reminders:

• The wages for an officer of a corporation, S-corp. or LLC filing federal taxes as a corporation are generally taxable.
• The wages for a sole proprietor, partners or LLC filing federal taxes as a sole proprietor or partnership are generally not taxable.  

Agent authorization recommended

In order for Gusto to help troubleshoot tax issues, we'll need you to authorize Gusto as your third-party agent (TPA). Gusto will become your TPA for the agency below:

• Ohio Department of Job and Family Services  - unemployment tax 

To become your third-party agent, a notarized form authorizing Gusto as your payroll provider must be submitted to the agency—to make this easy, we’ll prepare the necessary document for you to e-sign in Gusto. Then, we’ll submit the form directly to the agency.

Add Gusto as your third party agent in Ohio

The form will be ready to sign once the below is completed in Gusto:

• A company work address is added in Ohio.
• An Ohio work address is assigned to an employee’s work location in their profile.
• The Ohio state tax setup information is filled out.

To sign the form in Gusto:

1. Have the company signatory sign in to their profile in Gusto.
2. Click the applicable OH to do item from your Home page.
3. E-sign the auto-generated form in Gusto.
   • For general information about the form, click here. 

• Employer's Annual Reconciliation of Income Tax Withheld (IT-941)
• Employers Payment of School District Income Tax Withheld (SD-101)
• Ohio Income Tax Withheld Deposit Payment (OH IT-501)
• Employer's Quarterly Reconciliation of Income Tax Withheld (IT-942)
• School District Employer's Annual Reconciliation (SD-141)
• Transmittal of Wage and Tax Statements (IT-3)
• Wage and Tax Statement (State W2)
• Unemployment Compensation Quarterly Tax Return (JFS-20125)
• New Hire Report
• Employer's Municipal Tax Withholding Statement: Form 11
• Various local returns

• Ohio Department of Taxation (888) 405-4039
• Ohio Department of Job and Family Services (614) 466-2319