The IRS and any applicable state agencies will send you a tax notice if there are any changes in unemployment rates and deposit schedules. As these notices are only sent to you, it's important that you update the changes in PayWow prior to the deadline mentioned in the notice to avoid any penalties and interest.
What information should you look for on IRS Notifications?
Once you receive a notification be sure to:
- Determine whether the notice received is from the IRS or a state agency.
- Confirm that PayWow was your reporting agent during the tax period mentioned on the notice. If not, you will need to contact the respective payroll provider.
- Confirm your details, such as Company Name, Deposit Schedule, Tax Rate and UI Account Number mentioned in the notice are the same as those provided to PayWow.
- Make note of any deadlines mentioned in the notice, and update the tax rates before the effective date.
What are some of the most common federal notices you may receive from the IRS?
Deposit Schedule: In case of any changes in the deposit schedule, the IRS may send a notice to let you know when your business will have to deposit taxes. To learn how to update the deposit schedule in PayWow, click here.
Refund: You will receive this notice if there is an overpayment of taxes. For more information, contact the IRS.
Balance Due: You'll receive this notice if there is any unpaid balance due. If you receive this notice, please forward it to the PayWow support team for us to review and provide additional assistance.
What State Notifications Can I Expect To Receive?
Some states may send notices regarding the following situations:
Deposit Schedule: If your state changes the withholding deposit schedule for a business, a notice will be sent with an effective date on which the business can deposit taxes.
Unemployment Tax Rate: If a state changes the unemployment rate, you might receive a notice with the new rate and effective date. Update the new unemployment rate in PayWow before the effective date.
Refund: States send out refund notices to businesses if there is an overpayment of taxes. Contact your state agency for further information.
Balance Due: If there is any unpaid balance due, you'll receive this notice. If you receive one, please forward the notice to the PayWow support team for us to review and provide additional assistance.
Note: If you receive any such notices from the IRS and state agencies on changes in deposit schedules and unemployment tax rate, please update in PayWow.