New AllianceHCM client tax checklist

Objectives:

At AllianceHCM, we're always excited to welcome new clients. We want to ensure a smooth transition into our payroll tax service, so this checklist will guide you through the crucial steps you must complete as soon as you're able.

What's in this article?

The four steps you must complete to ensure your payroll tax service starts smoothly:

1. Review and sign off on your AllPay tax setup.
2. Grant AllianceHCM access to the appropriate online agency accounts and/or powers of attorney.
3. Ensure all future payroll tax filings are completed ONLY by AllianceHCM.
4. Determine whether you need to take any actions based on where your first payrolls with Alliance fall in the calendar quarter.

Additionally, there information about how to navigate to Tax Setup in AllPay and details about why AllianceHCM needs your EINs/account numbers.

💡Good to know: Your payroll tax service covers filing payroll tax returns and remittances of payroll tax liabilities based on active codes set up in your payroll processes. Additional services are charged for separately (e.g. amendments, adjustments, etc.); please review the list of ancillary fees here. If you have any questions, please contact tax@alliancehcm.com.

AllianceHCM tips: Keep an eye out for tips from our experts!

New client tax service checklist in four steps

1. Review and sign off on your AllPay tax setup.

On the Tax Setup page, you'll want to check:

• Tax Codes: They should be complete for all state and local jurisdictions where you are active registered. AllianceHCM is obligated to file even if there are no liabilities.
• Rates
• Employer Identification Numbers (EINs), aka account numbers
• If there is a number, double check that it is the right number.
• If an agency is in Applied status, that means AllianceHCM is unable to file with this agency and the client is responsible for getting the number.
  AllianceHCM tip: If you need help registering for any state-level account numbers, please read this guide.

2. Grant AllianceHCM access to the appropriate online agency accounts and/or powers of attorney.

AllianceHCM must be granted access to online agency accounts and/or powers of attorney (POA) where the employer is actively registered for Withholding and State Unemployment Insurance as applicable. If you have any questions, please contact tax@alliancehcm.com.

NOTE: These POAs should be (or should have been) signed off by you during your implementation, along with the service agreement, ACH agreement, and other documents.

3. Ensure all future payroll tax filings are completed ONLY by AllianceHCM.

If you are converting from another payroll tax service provider, ensure that all future filings have been discontinued as of your first check date with AllianceHCM.

NOTE: If your prior provider files duplicate returns on your behalf, you may be subject to fees to amend the returns. Please review the list of ancillary fees here.

4. Determine whether you need to take any actions based on where your first payrolls with Alliance fall in the calendar quarter.

Conversion bank drafts: Are you running your first payrolls with AllianceHCM in the middle of a quarter, with prior payrolls processed during the same quarter?

• If Yes: AllianceHCM will likely need to draft the funds for those previous payrolls in order to submit filings and remit funds on time. AllianceHCM will send you a detailed breakdown of this draft at least two days prior to the draft date.
  
  NOTE: AllianceHCM assumes no prior deposits for the current quarter have been made by the prior provider, with the exception of Federal Withholding (FITW), which has likely been deposited with each payroll.
  
• If No: Ignore; no action needed.

Navigating to Tax Setup

From your AllPay dashboard, click on Configuration, then open the Company Setup menu and click on Tax Setup

Tax Setup view will show all company taxes and details, calculations, and deposit data

Why does AllianceHCM need your EINs/account numbers?

AllianceHCM needs active jurisdiction account numbers on file in order to be efficient and effective at handling its clients tax matters. Sometimes these account numbers are referred to as Employer Identification Numbers (EINs).

If AllianceHCM did not have those account numbers on file, there could be:

• Penalties, interest, and higher State Unemployment Insurance (SUI) rates for the client
• Unnecessary and inefficient work for all parties, including trouble with account access, additional notices, more cases, ACH payment issues, more emails/calls/meetings, etc.
• Incorrect Form W-2s, subsequent W-2cs and associated fees
• Poor client experiences

The AllianceHCM standard fee is $100 per outstanding account, per month, to reflect the additional work that is inevitably created, and the seriousness of not having the accounts.