Idaho business owners struggle to keep up with increasing regulations and paperwork every year—especially when payroll is involved. Thankfully, the two Idaho payroll taxing agencies are making it easier to stay ahead of deadlines and reduce paper clutter at the same time.
The Idaho State Tax Commission, or ISTC, and the Idaho Department of Labor, or IDOL, have the technology to file and pay IDOL’s Forms Tax020 and Tax026 and ISTC’s Form 910 and 967 online. That’s right, no more paper. Even though both of these options have been around for several years, the IDOL is requiring every 2015 filing be done online. That April deadline is approaching quickly.
To get you motivated to make the switch, let’s look at three reasons this transition will help make your life easier.
It’s free to pay. Well, let’s rephrase that, it CAN be free to pay. For each form, you will need to select the option that is free. For the IDOL, there are three choices: E-Check, credit card or paper check. For the IDOL, the E-Check is the free option. For the ISTC, there are three choices as well: ACH Debit, Credit Card or Paper Check. The ACH Debit is the free payment method for the IDOL.
You will always find the form to file. It’s 4pm on Monday, the 20th of some month. It’s been a record-breaking weekend in sales and you know your State Withholding is due. You are searching everywhere for that Form 910. You know it is on the top left side of your
desk, or maybe in the top right drawer. Not there today. You call your accountant for some help, but he does not return your call for at least 4 days. Could this be you? Not for long. Log into your online account, enter a handful of numbers, click submit, and then pay online. No more searching for the elusive Form 910. No more writing a paper check.
Access to prior tax filings at any time. Have you ever wondered if you have paid your sales tax for the prior month? How about the current month? With your online account, you can see a record of all past payments and filings.
What is the first step? To set up an IDOL account online, you will need a 6 digit PIN. That letter you received at the end of 2014 explaining the mandatory online filing— yeah, the one you stuffed in your desk unopened because it said “urgent tax information, open immediately.” It’s time to open it; your PIN will be on that letter. Can’t find the letter? No sweat. You can call the IDOL here: (208) 332-3570 and they will gladly provide you with your PIN. Make sure to have your EIN and Account number ready to give to the agent. Once you have the PIN, you will go to this address: www.labor.idaho.gov/employerportal and create an account.
To set up an account with the ISTC, you will be using the Idaho Taxpayer Access Point (TAP) system. Type this into your browser: https://idahotap.gentax.com/TAP and click on “sign up” to create an account. This account also allows you to file and pay sales and use tax. It’s a one-stop shop for all payments to the Idaho State Tax Commission. It is quickly becoming one of our best friends.
We know change can be unwelcome due to the additional effort it takes to learn a new system. We have already seen this system simplify many Idaho business owners’ lives, and you will be next. We are confident that by the end of the year you will look back and ask yourself why didn’t file online sooner.
Jay Holmes and John Larson are owners of Blueback Accounting. They can be reached at Jay@bluebackaccounting.com and John@bluebackaccounting.com.