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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 and local agencies. Make sure to give Gusto third-party access (TPA) after you register so we can help resolve tax issues.
You'll work with the following Pennsylvania agencies when registering for payroll taxes:
Pennsylvania Department of Revenue (DOR): Handles withholding tax.
Pennsylvania Unemployment Contribution (UC) Fund: Handles unemployment tax.
Various local agencies: Handles local taxes.
Registering in Pennsylvania may take a few weeks — you will get your account numbers and company-specific unemployment rate once the process is complete. Plan your first payroll in this state with that timeframe in mind
Go to the Pennsylvania myPATH website.
Scroll to the Registration section and click Pennsylvania Online Business Tax Registration.
If you've filed any taxes with the Pennsylvania Department of Revenue before, including Personal Income Tax Returns, you may already be a customer in PATH. If so, you must use the logged-in version of the Online Business Tax Registration. Go to the homepage and select Sign Up to create a myPATH account.
Click Business Tax Registration.
Read all the information on the page, then click Next.
Complete all remaining prompts.
If you're not immediately issued a company-specific unemployment tax rate, you can enter the new employer rate for Pennsylvania in Gusto in the meantime. Update the rate once you receive it.
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 Pennsylvania work address for one or more employees.
Pennsylvania has various local taxes depending on where your employees live and work. Expand the sections below to learn how to register with local agencies.
If you live in the Parkland School District and will be paying a local services tax (LST) to this agency, you'll need to register your business. Townships in this county include North and South Whitehall and Upper Macungie.
The Parkland School District has appointed Berkheimer Tax Innovations as the Local Services Tax Administrator.
Enter your account number in Gusto. The number is typically seven digits.
If you do not know your account number, email Berkheimer Tax Innovations or call them at (610) 599-3140.
Gusto automatically withholds LST taxes on regular payrolls. The amount withheld is prorated based on the company's pay schedule. LST taxes will not be withheld on off-cycle, bonus, or non-Gusto payrolls.
If you do not yet have a tax account number or will be paying an employee in Philadelphia for the first time, register with the City of Philadelphia tax center online. You should receive your number instantly after registering online.
Enter the 10-digit tax account number in the Taxes & compliance section of Gusto. Do not enter the 11-digit number that starts with '00-#########.'
Register your business with the City of Pittsburgh if:
You do not yet have a Pittsburgh City ID, and
You'll be paying an employee who'll be working in Pittsburgh, or who is a resident of Pittsburgh, for the first time
If you have questions about registration, contact the agency at (412) 255-2543.
To register:
Learn how to register on the city's website.
In Section 4: City Tax Liabilities of the Business Registration Form, check the boxes for:
Payroll Expense Tax
Local Services Tax
The Department of Finance will send you the following 5–10 business days after registering:
Verification letter
City ID
Once you get your Pittsburgh City ID, enter it in the Taxes & compliance section of Gusto. If you need to confirm the City ID, contact the agency at (412) 255-2525. From the phone tree, select 2, then 2 again.
You also need to register for the Earned Income Tax with Jordan Tax Service.
Once you get your account number (also referred to as your "EIN" or "Registration ID"), enter it in the Taxes & compliance section of Gusto.
Every person or business having an office, factory, workshop, branch, warehouse, or other place of business (including banks, schools, hospitals, nonprofits, and trade associations) who work in all or part of the city, and has not previously registered, is required to register to pay this tax.
The withholding rate is for businesses that pay workers to perform services in the City of Scranton.
Payroll expense includes all compensation earned by an employee or a self-employed individual.
Compensation is defined as salaries, wages, commissions, bonuses, net earnings, and incentive payments based on profit or otherwise, along with fees, tips, and any other form of payment for services rendered, whether in cash or in property.
For questions, check out Scranton's FAQs and answers.
Gusto withholds the tax and pays the contributions on behalf of your company.
Register your business with Scranton's tax collector, Berkheimer Tax Innovations (HAB).
If you have questions, contact the agency at (610) 599-3140.
If you already paid this tax outside of Gusto, contact us from the Help section of your account. Otherwise, confirm you've registered for the HAB-PPT in Gusto:
Go to Taxes & compliance, then select Tax setup.
Find Pennsylvania Tax Setup and select Manage taxes.
Next to Registered with HAB-PPT?, click Edit.
Select Yes, I have already registered.
You do not need to enter a unique HAB-PPT number because we'll use your Federal Employer Identification Number (FEIN) to pay the tax.
To confirm you've registered for the HAB-PPT tax, or to get additional registration instructions, contact the Berkheimer Tax Administrator at (610) 599-3140.
Click Save.
If you receive any tax notices about the Scranton Payroll Preparation Tax, report and upload the tax notice in Gusto.
To determine where you need to pay taxes and register as a new employer:
Go to the Pennsylvania local tax lookup website.
Enter the home and work address of an employee.
Click View Information.
The website will return the relevant taxes and tax collectors in yellow boxes. This includes the phone number, fax number, and collector website so you can contact them about registering with their office.
Once you complete registration, enter your local tax account information in Gusto once you add a valid Pennsylvania work address for one or more employees.
If you've already registered in Pennsylvania, 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:
Pennsylvania Department of Revenue (DOR): Handles withholding tax.
Pennsylvania Unemployment Contribution (UC) Fund: Handles unemployment tax.
Various local agencies: Handles local taxes.
If you still need to register, see the Register for PA income and unemployment taxes on your own or Register for PA local taxes sections earlier in this article.
Once you add a valid Pennsylvania work address in Gusto for one or more employees, you can enter your state tax account information.
To add your Pennsylvania tax account information:
Go to Taxes & compliance, then select Tax setup.
Find Pennsylvania 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 already been made, there may be tax implications. Learn how to pull reports in Gusto that can help you correct historical tax issues related to tax account number updates.
Next to Withholding Account ID, click Edit to enter your eight-digit Withholding Account ID (also known as the Licensing Number).
Note: Your eight-digit withholding account number is different from your employer identification number (EIN) or Revenue ID Number.
Your myPATH account: Look for your 8-digit Withholding ID in your Employer Withholding Tax (W-3) or Employer Annual Reconciliation (REV-1667) accounts.
The coupons or Employer Quarterly Reconciliation from the PA Department of Revenue
If you cannot find your account number, contact the agency at (717) 787-1064.
Next to Employer Account ID Number, click Edit to enter your unemployment account number.
Note: If your Employer Account ID number is longer than seven digits, only enter the first seven digits.
Your PA UC Management system account: Your Employer Account ID number will be at the top of the screen.
The Contribution Rate Notice (Form UC-657), Notice of PA UC Responsibilities (UC-851), or Report for Unemployment Contribution (Form UC-2) from the PA Department of Labor and Industry
If you cannot find your account number, contact the agency at (866) 403-6163.
Next to Unemployment Insurance Tax Rate, click Edit to enter your unemployment rate.
Your PA UC Management system account: Click Contribution Rates in the left menu, then select Rate History.
The Contribution Rate Notice (Form UC-657) from the PA Department of Labor and Industry
If you cannot find your rate, contact the agency at (866) 403-6163.
If you do not have your assigned rate yet, enter the new employer rate for Pennsylvania in Gusto in the meantime. Update the rate once you receive it.
Next to your Philadelphia tax account, click Edit to enter your 10-digit Philadelphia tax account number.
Note: Do not enter the 11-digit number that starts with '00-#########.'
Your Philadelphia Tax Center account
If you cannot find your account number, contact the City of Philadelphia.
Once a valid local address has been added in Gusto for one or more employees, you can add your local tax account information:
Go to Taxes & compliance, then select Tax setup.
Find Pennsylvania Tax Setup and select Manage taxes.
Enter the applicable account number.
Third-party authorization is recommended for the following agencies:
Pennsylvania Department of Revenue (DOR): TPA access is needed for amended returns and resolving tax issues.
Pennsylvania UC Fund: TPA access is needed for resolving tax issues.
The PA Department of Revenue needs Gusto to have access to your online myPATH account to help fix tax problems and file amendments.
We'll try to get access using the business info we already have.
If we cannot:
The agency will mail a myPATH Access Letter to your business address.
When you get it, go to the Help (?) section of your Gusto account and send us the Letter ID.
The Primary Administrator of the tax account may need to approve Gusto's access when we request it. They'll get an email with the steps, also outlined below.
Here's what they'll need to do after we request access:
In the top-right corner, find and click Manage My Profile.
Click the More... tab.
Find the Access Management panel and click Manage Third Party Access.
This will only show if Gusto is already added as a third party. You can add third parties through Manage My Access.
For the access level, choose File Returns & Make Payments.
Make sure Gusto has access to:
Employer Withholding Tax (W-3): Allow Gusto to file returns/make payments.
Employer Annual Reconciliation (REV-1667): Allow Gusto to file return.
Click Grant to give access.
Click Submit.
If you have questions, contact the e-Business Tax Unit at (717) 787-1064.
We recommend that you authorize Gusto in your PA Unemployment Contribution Management System so we can access your account to discuss account details and help resolve tax issues.
It only takes a few minutes and is 100% online. If you have trouble, follow this agency tutorial.
Go to the PA UC Management system and log in using the box on the right side of the screen.
Note: Pennsylvania has two separate portals: the UC system and the UC Management system. To authorize Gusto, use the UC Management system. The other portal is for managing employee benefit information, and you do not need to give Gusto access to that.
From the left menu, select Employer Profile.
Select Manage Representatives.
This page should display TPA/representative information.
Select Add New Representative to add Gusto.
Enter Gusto's identifier: 2272162774. This may show as Zenpayroll Inc after you enter the identifier—this is Gusto's legal business name.
Add today's date as the effective date.
Assign the following Service Function: File Quarterly Reports & Adjustments.
Click Submit, then click Ok.
You'll be taken to the Manage Representative page.
Repeat the assigning of a service function two more times, giving Gusto the additional service functions of:
Contributions Rate Information
Delinquency Account Discrepancies
Once all three service functions have been assigned, Gusto will handle the remaining steps needed to finalize the access request.
If you have questions or need assistance, contact the UC Employer Contact Center at (866) 403-6163 between 5am and 1:30pm PT. You can also try this agency guide for help troubleshooting issues.
PA W-3(Employer Quarterly Return of Withholding Tax)
UC-2 (Employer's Unemployment Insurance Tax Report)
Form Detail UC-2 (Employer's Report for Unemployment Compensation)
REV-1667 AS(W-2 Transmittal)
State W2 (Wage and Tax Statement)
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: Pennsylvania Department of Revenue (DOR)
Phone: (717) 787-1064
Workforce or Labor Agency: Pennsylvania Department of Labor and Industry (DLI)
Phone: (866) 403-6163
On February 1, 2024, the Pennsylvania Department of Revenue announced a new tax credit for Dependent Care Flexible Spending Account (DCFSA) contributions. It’s retroactively effective January 1, 2023.
Here’s how Pennsylvania taxes are affected:
Employer contributions to DCFSA will no longer increase taxable wages for state income tax (SIT), local services tax (LST), and local earned income tax (EIT).
Employee contributions to DCFSA will now decrease taxable wages for SIT, LST, and EIT.
The maximum tax credit is $154.
Q: How much will my PA liability be lowered by?
A: The IRS sets the yearly DCFSA maximum contribution (employer/employee) amount listed in box 10 of Form W-2 as $5,000. If you see $5,000 in box 10 of your W-2, this change in wages should lower your PA tax liability by a maximum of $154. Individual contributions can differ, so this amount may be lower.
Q: What about my 2024 DCFSA contributions?
A: For 2024, any contributions made to a DCFSA will automatically be adjusted toward taxable wages in line with the new regulations.
Q: Why are we learning about this so late?
A: The Pennsylvania Department of Revenue executed this change on December 14, 2023, and released information to the public on February 1, 2024, after the January 31, 2024 deadline for issuing the federal Form W-4. There were several unanswered questions in the February 1, 2024 release that needed to be addressed before programming changes were made.
Q: I've already filed my taxes. What should I do?
A: The maximum tax credit for DCFSA is $154. This amount can be lower based on differences in employer and employee contribution amounts. If you need to change your initial personal filings, consult your tax professional.
Learn more on the Pennsylvania Department of Revenue website.
Below is a template employers can provide to their employees who are impacted by the change in dependent care benefit. This notice is used only if an employee has decided to amend their personal tax return.
To: Employees
Re: 2023 Dependent Care Flexible Spending Account (DCFSA)
We've been notified by our payroll service provider, Gusto, that your Dependent Care Flexible Spending Account (DCFSA) benefit is no longer subject to Pennsylvania personal withholding tax for both employer and/or employee contributions. The Pennsylvania Department of Revenue enacted this change on 12/14/23, and released information publicly on 2/1/24 after Form W-2s were finalized. This change is effective retroactively to 1/1/23.
As a result, if you choose to make an adjustment to your personal tax return, this communication serves as a confirmation, verifying why the amount on the Form W-2 (box 16) does not match the adjustment amount you report on line 1a of your PA personal tax return.
To take advantage of the tax credit up to a maximum of $154, you'll need to modify your PA personal tax return line 1a amount. Line 1a differs from what's reported on your Form W-2 (box 16) because of a manual adjustment/calculation in PA wages. The wage displayed on line 1a of your personal return must be adjusted by taking the amount on Form W-2 (box 16) and reducing it by the amount listed on Form W-2 (box 10).
Click here for the agency’s guidance recommending the adjustment amount.
Please keep a copy of this communication for your records with your 2023 PA tax return if you're filing your returns electronically.
Sincerely,
The Gusto Team
On behalf of Employer
Learn how to close or reopen tax accounts.