How JustAnswer Works:

  • Ask an Expert
    Experts are full of valuable knowledge and are ready to help with any question. Credentials confirmed by a Fortune 500 verification firm.
  • Get a Professional Answer
    Via email, text message, or notification as you wait on our site.
    Ask follow up questions if you need to.
  • 100% Satisfaction Guarantee
    Rate the answer you receive.

Ask PDtax Your Own Question

PDtax
PDtax, CPA firm owner
Category: Tax
Satisfied Customers: 1881
Experience:  32 years tax experience, including four years at a Big 4 firm.
Type Your Tax Question Here...
PDtax is online now
A new question is answered every 9 seconds

We have been in business for over 6 years and have an EIN number

Resolved Question:

We have been in business for over 6 years and have an EIN number but we have only had contractors (1099's) We have now opened a corporate office where we have 4 employees/W2's (counting myself and my business partner in the 4) To start withholding taxes we have purchased the Intuit Professional but we are needing to know what else we need to do? Do we need to create an account with the Federal, SSI, Medicare etc? Do we need to create an account with the Georgia department of Labor for state taxes? We appreciate the help. (We have an accoutant is rarely available and isnt much help-we are going to need to look for a new one obviously)
Submitted: 2 years ago.
Category: Tax
Expert:  PDtax replied 2 years ago.

PDtax :

Hi from Just Answer. The first thing I would do is insure you can use the same EIN if you are now incorporated. If you indeed incorporated (corporate office), the new corporation should apply for a new EIN with IRS.

PDtax :

Q & A next...

PDtax, CPA firm owner
Category: Tax
Satisfied Customers: 1881
Experience: 32 years tax experience, including four years at a Big 4 firm.
PDtax and other Tax Specialists are ready to help you
Expert:  PDtax replied 2 years ago.
Our chat has ended, but you can still continue to ask me questions here until you are satisfied with your answer. Come back to this page to view our conversation and any other new information.

What happens now?

If you haven’t already done so, please rate your answer above. Or, you can reply to me using the box below.
Expert:  PDtax replied 2 years ago.
As you apply for a new EIN with IRS, they will ask the types of wages you will be paying, number of employees, etc. They will also recommend the 941/944 series, 940, W-2 and W-3 for wage reporting, and ask you to set up electronic depositing of payroll withholdings.

Georgia DOL offers a new employer's handbook, link: http://www.dol.state.ga.us/pdf/forms/dol224.pdf that will explain the state unemployment system, enrollment and compliance. http://www.dol.state.ga.us/pdf/forms/dol1a.pdf is a link to the form used to apply for unemployment coverage.

https://gtc.dor.ga.gov/_/#1 is the link to the Georgia Department of Revenue which will allow you to enroll so you can withhold income taxes from employee wages. Remittance and reporting requirements will be available as you go through the interview process.

You may also need workmen's compensation insurance to cover the risks of employees injuring themselves on the job. Your insurance agent will have more information.

I suggest using a tax pro or payroll service if you are unsure of enrolling yourselves. Missing deadlines, not knowing what/who to pay can be expensive, since errors, even unintentional, come with interest and penalty charges.

Thanks for asking at Just Answer. Please advise if you need additional assistance. Please give positive feedback if I have answered your questions.

Customer: replied 2 years ago.
I apologize but I am a little confused. Why would we need to apply for a new EIN when our business and entity are the same? I also thought that the Workers compensation is for a certain number of employees?
Expert:  PDtax replied 2 years ago.
When you said you were using a corporate office, I assumed that meant a new corporation, which would require a new EIN.

If that's not the case, you still need to notify IRS, GA DOL and DOR, and your workmen's compensation insurance agent.

Thanks again from Just Answer.
Customer: replied 2 years ago.
Thank you for that clarification and I apologize I confused you. You have included two links above, those are where we need to go to get set up to have taxes deducted? We use Intuit tax services where we need to enter a GA Id number which we dont have yet.... I understand contacting an insurance agent for the workers compensation insurance however do all of those above include the places we need to contact? DOL, IRS, and DOR?
Expert:  PDtax replied 2 years ago.
You want to let IRS know you will be paying wages. Some folks just file the first 941 and wait for the notice, since you have an EIN.

Some do the same thing and just file the first GA unemployment and withholding reports, and let the state send them the application materials. Easier than filing the paperwork and waiting weeks for permission. Sometimes, as "She who would be obeyed" reminds me, it's better to ask forgiveness than seek permission (and wait for it...).

No apology needed. Thanks from Just Answer; please leave positive feedback when you close out your question.

JustAnswer in the News:

 
 
 
Ask-a-doc Web sites: If you've got a quick question, you can try to get an answer from sites that say they have various specialists on hand to give quick answers... Justanswer.com.
JustAnswer.com...has seen a spike since October in legal questions from readers about layoffs, unemployment and severance.
Web sites like justanswer.com/legal
...leave nothing to chance.
Traffic on JustAnswer rose 14 percent...and had nearly 400,000 page views in 30 days...inquiries related to stress, high blood pressure, drinking and heart pain jumped 33 percent.
Tory Johnson, GMA Workplace Contributor, discusses work-from-home jobs, such as JustAnswer in which verified Experts answer people’s questions.
I will tell you that...the things you have to go through to be an Expert are quite rigorous.
 
 
 

What Customers are Saying:

 
 
 
  • I really was impressed with the prompt response. Your expert was not only a tax expert, but a people expert!!! Her genuine and caring attitude came across in her response... T.G.W Matteson, IL
< Last | Next >
  • I really was impressed with the prompt response. Your expert was not only a tax expert, but a people expert!!! Her genuine and caring attitude came across in her response... T.G.W Matteson, IL
  • I WON!!! I just wanted you to know that your original answer gave me the courage and confidence to go into yesterday's audit ready to fight. Bonnie Chesnee, SC
  • Great service. Answered my complex tax question in detail and provided a lot of additional useful information for my specific situation. John Minneapolis, MN
  • Excellent information, very quick reply. The experts really take the time to address your questions, it is well worth the fee, for the peace of mind they can provide you with. Orville Hesperia, California
  • Wonderful service, prompt, efficient, and accurate. Couldn't have asked for more. I cannot thank you enough for your help. Mary C. Freshfield, Liverpool, UK
  • This expert is wonderful. They truly know what they are talking about, and they actually care about you. They really helped put my nerves at ease. Thank you so much!!!! Alex Los Angeles, CA
  • Thank you for all your help. It is nice to know that this service is here for people like myself, who need answers fast and are not sure who to consult. GP Hesperia, CA
 
 
 

Meet The Experts:

 
 
 
  • Wallstreet Esq.

    Tax Attorney

    Satisfied Customers:

    570
    10 years experience
< Last | Next >
  • http://ww2.justanswer.com/uploads/KU/KUMI95/2013-9-30_195031_kumar.64x64.jpg Wallstreet Esq.'s Avatar

    Wallstreet Esq.

    Tax Attorney

    Satisfied Customers:

    570
    10 years experience
  • http://ww2.justanswer.com/uploads/CU/Cuttinggirl/2011-10-29_03719_wcrop2.64x64.jpg Wendy Reed's Avatar

    Wendy Reed

    Enrolled Agent

    Satisfied Customers:

    3052
    15+ years tax preparation and tax advice.
  • http://ww2.justanswer.com/uploads/CATax/2009-08-04_204548_Mark.jpg Mark D's Avatar

    Mark D

    Enrolled Agent

    Satisfied Customers:

    985
    MBA, EA, Specializing in Business and Individual Tax Returns and Issues
  • http://ww2.justanswer.com/uploads/IN/insearchoftheanswer/2013-8-16_0233_attorney.64x64.jpg Richard's Avatar

    Richard

    Tax Attorney

    Satisfied Customers:

    3229
    29 years of experience as a tax, real estate, and business attorney.
  • http://ww2.justanswer.com/uploads/MY/MyVirtualCPA/2012-7-5_44024_cookmegan1.64x64.jpg Megan C's Avatar

    Megan C

    Certified Public Accountant (CPA)

    Satisfied Customers:

    6121
    Licensed CPA, CFE, CMA who teaches accounting courses at Master's Level
  • http://ww2.justanswer.com/uploads/JG/jgordosea/2012-6-7_43138_GordosVeritas.64x64.jpg jgordosea's Avatar

    jgordosea

    Enrolled Agent

    Satisfied Customers:

    2783
    I've prepared all types of taxes since 1987.
  • http://ww2.justanswer.com/uploads/OZ/ozaukeecpa/2012-6-7_193219_Picture1croppedandshrunk.64x64.jpg MequonCPA's Avatar

    MequonCPA

    Certified Public Accountant (CPA)

    Satisfied Customers:

    2231
    CPA, Over 30 yrs experience w/individuals and small businesses. Masters in Tax.