Vermont registration and tax info

What you need to do

• Add a new work address in Gusto for a different state, and;
• Hire an employee and assign them to that address.

Cost and timeline

Prices vary by state. You can see the cost, process, and how long it takes in step four below.

What the process looks like

1. You give us some basic business information.
2. Gusto and CorpNet will check your info.
3. Your registration is usually submitted within 3–5 business days.
4. Watch for mail with your tax account numbers and rates from the state. The state usually sends your tax account numbers and rates directly to you.
   
   • Heads up: If CorpNet does not enter some information into Gusto, they can show you how to do it yourself.

Third-Party Agent (TPA) authorization reminder

Some state agencies need Gusto to have TPA access to file and pay your taxes. Usually, CorpNet does not set this up, so you’ll have to do it yourself after registration. Work with CorpNet directly to see if they’ve set up TPA for any specific agency.

Check the state registration articles to see if TPA is needed and how to set it up. If there's no “Authorize Gusto” section, then TPA is not needed right now. 

• If you're already on the state-specific registration article, scroll to see if there's an “Authorize Gusto” section below.

Prices vary by state. You can see the cost, process, and how long it takes in step four below.

1. Sign in to Gusto.
2. Click the Taxes & Compliance section and select Tax setup.
3. Under “[State name] Tax Setup”, click Have us register for you.
   • The state will only show up if you’ve added a company work address there and assigned an employee to it.
4. Look at the price, process, and how long it'll take.
   
   • We will not charge you until you send in your order.
5. Click Continue.
6. Answer a few questions to see if you're eligible.
   • We can only register for you if you do not already have a state account.
7. Click Save & continue.
8. Enter some company information (we'll fill in what we already know).
9. Click Save & continue.
10. Tell us who the responsible party is. This is the person in charge of the company’s tax matters and good standing. 
    • If you're a nonprofit and need help, check our FAQs below.
11. Click Save & continue.
12. Enter some state-specific operational information.
13. Click Save and continue.
14. Review all info carefully. Mistakes can delay things. 
    • Heads up: State and local agencies might add fees or take longer than expected. CorpNet will notify you if that happens.
15. Check the box to confirm your info is correct and agree to the Terms of Service.
16. Click Send registration order.
    • We’ll email you with order updates and add the cost to your next monthly bill.

Some reminders

• In most cases, you need to give Gusto third-party access (TPA) to your tax accounts.
  • Check the state registration articles to see if TPA is needed and how to set it up. If there's no “Authorize Gusto” section, then TPA is not needed right now.
    • If you're already on the state-specific registration article, scroll to see if there's an “Authorize Gusto” section below.
  • CorpNet may be able to help set up TPA for some state agencies. Work with them directly to see if they can help.
• Keep an eye on your mail for registration details (tax account numbers and rates).
  • Some states will send your tax account numbers and rates this way. CorpNet will tell you how you’ll get your tax account information.

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 done, use the link in the state registration email from Gusto to check your order's status.

You can also check the status in your Gusto account:

1. Sign in to Gusto.
2. Click the Taxes & Compliance section and select Tax setup.
3. Scroll to the state's section.
4. Click Check the status of your registration.

If your order is still in progress, you can cancel from your Gusto account:

1. Sign in to Gusto.
2. Click the Taxes & Compliance section and select Tax setup.
3. Scroll to the state's section.
4. Click Check the status of your registration.
5. On the right-side of the page, under “Changed your mind?”, click Cancel your order.
6. Let us know why you're canceling.
7. Click Cancel your order.

If you were already charged, you'll get a refund in a few business days.

If you canceled your order but would like to re-open it, contact CorpNet directly at (888) 449-2638. Or email them at [email protected].

Q: Can I run payroll before my registration is done?

A: Yes, you can usually run payroll before all state tax info is added in Gusto. You may be asked to enter tax rates and tax deposit frequencies, but can use temporary info.

Important reminders

• We cannot submit tax payments or filings until all tax account numbers are added.
• If you run payroll before finishing registration, you might get notices about late tax payments or filings. Any penalties are your responsibility.
• If you’re only registering for unemployment tax and do not have your rate yet, use the new employer rate for your state in Gusto until you get the correct one. Update the rate once you get it.

Q: Can I use Gusto to register in a new state without a Federal Employer Identification Number (FEIN)? What if my business is merging or being acquired?

A: No, you need a FEIN in Gusto to get registration help for state taxes.

If your business is merging or being acquired, CorpNet cannot help with registration. You'll need to work with a tax advisor and state agencies directly.

Q: Where can I find my tax information?

A: You can find your tax info in several places: 

• In Gusto: Click the Taxes & compliance section and select Tax setup, then scroll to state tax setup.
• In CorpNet: Create an account and sign in to see your info.
• In your state’s online portal: Find your account details there.
• By mail: Some agencies send tax info by mail. If that happens, CorpNet will let you know, and you'll need to enter this info in Gusto.

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.

Q: What if I'm not liable for unemployment tax yet?

A: If you want CorpNet to start setting up an unemployment account number before you're liable, you can:

• Use today’s date as the first date the employee(s) in the new state will be paid. 
• Enter the start date of the quarter you expect to meet the liability threshold.
  • Check the state’s liability info in the Register on your own section (go to the SUI dropdown). If there’s no info, contact the state agency directly.

Q: Can CorpNet help if the responsible party is international without an ITIN or SSN?

A: CorpNet might be able to help. Contact them at [email protected] or 1(888) 449-2638.

Q: Why am I unable to enter 0% ownership for the responsible party or add a commercial owner?

A: Some states have a 1% minimum for the responsible party ownership percentage. These states include ID, KS, MN, OH, SC, DC, DE, MD, NJ, NY, and RI.

You’ll need to place registration orders directly with CorpNet outside of Gusto or register directly with the agency.

Some states require an individual owner to be listed. If you’re a non-profit or unsure, contact CorpNet for help at [email protected] or 1(888) 449-2638.

Q: Does CorpNet help with giving Gusto third-party access (TPA) for tax payments?

A: In most cases, you need to give Gusto third-party access (TPA) to your tax accounts.

• Check the state registration articles to see if TPA is needed and how to set it up. If there's no “Authorize Gusto” section, then TPA is not needed right now.
  • If you're already on the state-specific registration article, scroll to see if there's an “Authorize Gusto” section below.
• CorpNet may be able to help set up TPA for some state agencies. Work with them directly to see if they can help.

Q: Does CorpNet help close state tax accounts?

A: No, you'll need to close the tax account yourself.

• Vermont Department of Taxes (DOT) 
  • Income tax withholding
  • Health Care Coverage (HCC)
  • Child Care Contribution (CCC) tax
• Vermont Department of Labor (DOL)
  • Unemployment tax

Most businesses in Vermont need to register with the Vermont Department of Taxes. You'll need a "business tax account" for things like:

• Withholding
  • Gusto needs this account number.
• Sales and Use
• Meals and Rooms
• And more...

Keep the registration timelines below in mind when planning your first payroll in Vermont.

• Online registration: You’ll get your account number in 5–7 days.
• By mail or fax: It takes 10 business days to process.

Nonprofit organizations that qualify for exemptions need to register before using an exemption certificate. You can learn more about how to register a nonprofit organization.

Register for withholding (income) tax, Health Care Coverage (HCC) and Child Care Contribution (CCC) taxes

Step one: Register with the Secretary of State

Vermont offers an online service center to help you register your business and apply for any and all licenses or insurance you need. Here's how:

1. Go to the Secretary of State website.
   • It’s a good idea to talk to a lawyer or an accountant when choosing your business type.
2. Click Register Online.
   • Read the "Important Notice Regarding Online Filing."
3. Click Click to Acknowledge.
4. Click Create a User Account.
   • If you already have an account, sign in.
5. Follow the prompts, create an account, and fill out all required information.
6. You’ll also need to register for a “Business Tax” account (learn how below) to get your:
   • Withholding account number, and;
   • Filing frequency.

Step two: Register for the Business tax

You should get your account number within 5-7 days.

1. Use myVTax to register for a “Business Tax” account.
2. Under "Need an account?" click Sign Up. 
3. Click the link in the "For Businesses and Corporations" section.
4. You’ll need info like:
   • Taxpayer ID (ex. FEIN, SSN)
   • Taxpayer Name
   • Taxpayer Mailing and Location Address
   • Account Name(s)
   • Account Mailing and Location Address(s)
   • Account Start Date and Other Relevant Attributes
   • Location Information (Sales & Use and Meals & Rooms only)
   • Names, addresses, and identification numbers of your business principals.
5. Click Next. 
6. Fill out all required information.

If you have questions, contact the agency at (802) 828-6802 or email them at [email protected].

Business Tax account number format 

It should start with "WHT" followed by a “10” or “11” (e.g., WHT10######, or WHT11######).

Enter the tax account information in Gusto

After a work address in Vermont is assigned to one or more employees, you can add your tax account information:

1. Go to the Taxes & compliance section and click Tax setup.
2. Scroll to the "Vermont Tax Setup" headline and click Manage taxes.
3. Next to "Withholding Account ID" click Edit and enter your withholding account number. Then, click Save.
   • It should start with "WHT" followed by a “10” or “11” (e.g., WHT10######, or WHT11######).
   • If you edit a tax account number after payments or filings have already 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.

Most companies in Vermont must start paying unemployment insurance tax once they have:

• Paid $1500 in wages during a calendar quarter or;
• Had at least one Vermont-employee working for any part of the week, for 20 or more different weeks during a calendar year.

Your business type (general, non-profit, etc) can impact when the company is responsible for paying this tax. We recommend contacting the agency to confirm when the company will be liable.

Running payroll in Gusto before you're required to pay unemployment tax

If you need to run payroll but do not yet meet the requirements, enter the new employer rate for Virginia in Gusto temporarily. Update the rate once you get it.

Register for unemployment tax

You'll get your Employer Number and unemployment tax rate ~two weeks after registering online.

1. Go to the VT Department of Labor (DOL) to check if you're required to pay this tax, and register. 
2. Fill out all required information. 
3. Do not forget to give Gusto Power of Attorney (POA) to file and pay unemployment taxes for you.

Important reminder about unemployment rate updates

Vermont usually gives new tax rates each year starting on July 1. When you get notified about your new rate, update it in Gusto with the right start date. If you do not know your rate, call the agency at (802) 828-4344.

Enter the tax account information in Gusto

After a work address in Vermont is assigned to one or more employees, you can add your tax account information:

1. Go to the Taxes & compliance section and click Tax setup.
2. Scroll to the "Vermont Tax Setup" headline and click Manage taxes.
3. Next to “Employer Number” click Edit and enter your 7-digit unemployment account number. Then, click Save.  
   • If you edit a tax account number after payments or filings have already 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.
4. Next to "Unemployment Tax Rate" click Edit and enter your unemployment rate.
   • If you do not have your rate yet, enter the new employer rate for Vermont in Gusto for now. Update the rate once you get it.
   • Learn how to update your rate.

If you've paid employees in Vermont before, you can find your Withholding Account Number on letters from the Vermont Department of Taxes.

It should start with "WHT" and be followed by a “10” or “11” (like WHT10###### or WHT11######).

If you do not know your account number, call (802) 828-2551, option 3, or email [email protected].

Look for your Employer Number and unemployment tax rate on letters from the Vermont Department of Labor, such as:

• The Contribution Rate Notice
• The Quarterly Wage & Contribution Report (Form C-101)

If you cannot find it, call (802) 828-4344. If you do not have your rate yet, enter the new employer rate for Vermont in Gusto for now. Update the rate once you get it.

Unemployment rate updates

Unemployment tax rates change each year starting on July 1. When you get your new rate, update it in Gusto with the right start date.

Make sure to give Gusto Power of Attorney (POA) to file and pay your unemployment taxes.

After a work address in Vermont is assigned to one or more employees, you can add your tax account information:

1. Go to the Taxes & compliance section and click Tax setup.
2. Scroll to the "Vermont Tax Setup" headline and click Manage taxes.
3. Next to "Withholding Account ID" click Edit and enter your withholding account number. Then, click Save.
   • It should start with "WHT" followed by a “10” or “11” (e.g., WHT10######, or WHT11######).
4. Next to “Employer Number” click Edit and enter your 7-digit unemployment account number. Then, click Save.  
5. Next to "Unemployment Tax Rate" click Edit and enter your unemployment rate.
   • If you do not have your rate yet, enter the new employer rate for Vermont in Gusto for now. Update the rate once you get it.
   • Learn how to update your rate.

If you edit a tax account number after payments or filings have already 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.

To let Gusto file and pay your Vermont unemployment tax, you need to submit a notarized Power of Attorney (POA) form to the Vermont Department of Labor. Here’s how to do it:

1. Go to Taxes & compliance in Gusto, then click Tax setup.
2. Scroll to "Vermont Tax Setup" and click Manage taxes.
3. Next to "Submit DOL POA Form" click Edit.
4. Download the pre-filled Power of Attorney (POA) form.
   • Note: Gusto fills out the second page for you.
5. Print the form and get it notarized.
6. Mail the notarized form to Gusto at:
   • ATTN: Tax Ops - Audit Team
     Gusto
     1201 16th Street, Suite 350
     Denver, CO 80202

To let Gusto submit withholding tax amendments for you, you need to give Gusto third-party access (TPA) to your Vermont myVTax account. Follow these steps:

1. Log into your myVTax account.
2. On your Home page, under "I want to", click Third Party Access.
3. In the "Enter Third Party Username" field, enter Gusto, Inc or Zenpayroll1.
   • Check that the "Name" field shows Gusto (or Zenpayroll).
4. Decide if you want Gusto to designate other users to access your account (this is optional).
5. Select Withholding account, then click Next.
6. Choose the range of tax years for Gusto’s access.
   • Start with the first day, of the first quarter you had a payroll check date in Gusto.
7. Under “Access Level”, choose View, File & Pay (this is needed for Gusto to file amendments).
8. Check the confirmation box and click Submit.