Payroll Tax Onboarding: How We Set Up Your Company Tax Profile.
Payroll tax onboarding at Netchex starts with your Company Tax Profile. It is the record that tells us which taxes you owe, which agencies you report to, how often you deposit, and what your unemployment rates are. We build it with you in four steps, and a few hours of care here prevents months of agency notices later.
Last updated: October 8, 2026
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The four steps.
Confirm company and employee data
We verify what is on file in Netchex and show you why accurate information matters.
Verify your company taxes
We review active tax codes, account numbers, withholding deposit frequencies, and unemployment rates with you.
Import your balances
You give us payroll and tax data from before Netchex so your returns and year-end forms are complete.
Grant POA and TPA access
Linking Netchex to your company lets us review your accounts and file and pay on your behalf.
What to bring.
You will also receive a Company Tax Verification Report. Review it closely, because it is the check that catches wrong account numbers and wrong frequencies before they become penalties.
Confirm company data
- Company FEIN
- Company legal name
- Company contact
- W-2 shipping address
Verify employee data
- Employee name
- Employee SSN
- Employee address
- Employee payment history
Provide tax documents
- Company Tax Profile Report
- Tax account numbers
- Unemployment rates
- State withholding deposit frequencies
Provide POA and TPA
- Executed Power of Attorney forms
- Netchex assigned as Third-Party Administrator
Verify your company taxes.
The Company Tax Verification Report lists four things. Check each one against your agency notices.
- Active tax codes. Every tax you owe has a code, and every code has to be active.
- Account numbers. Many agencies no longer accept payments or returns without the right account number, and some assess penalties for paper returns or checks. Missing numbers also mean we cannot post your payments and returns correctly.
- Withholding deposit frequencies. If we do not receive your assigned state deposit frequency, we assign the most frequent one. Some agencies assess penalties when deposits do not follow the assigned frequency, so review it and send us any frequency change notice as soon as you get it. We keep filing and paying at the initial frequency until you tell us otherwise.
- Unemployment rates. We participate in the SUTA Rate Exchange where it applies, but we do not always receive the rate. An expired POA, an agency that does not participate, or a different spelling of your legal name can all block it. Agencies notify employers directly, so send us every rate notice you receive. You can also update a state unemployment rate yourself in Tax Settings by uploading the notice.
The data that makes your returns complete.
Your balances are the year-to-date payroll and tax figures from before you started with Netchex. We load them so monthly, quarterly, and annual filings, including W-2s, come out right.
- Include terminated employees and employees on leave. We file W-2s for every employee with a balance for the year, so leaving them out produces incorrect returns and W-2s.
- Taxes with a quarterly deposit frequency are collected and remitted by Netchex.
- Ask your previous provider for a breakdown of every tax they deposited and every tax they refunded to your company.
- Send your most recent Company Package.
What each one does.
Power of Attorney (POA)
- Gives Netchex authority to act for your taxpayer account with the agency.
- Depending on the agency, online access to review correspondence, rates, and balances, and to file original and amended returns electronically.
- If missing: we may be limited in what we can see and do for your account.
Third-Party Administrator (TPA)
- Names Netchex as your authorized representative on the agency’s website.
- For some agencies, it is required before anyone can file and pay for you.
- If missing: we may be unable to file and pay taxes on your behalf.
TPA is a filing requirement for some agencies, not a preference. Many state agencies also have their own TPA steps, and we give you the instructions for your state during onboarding.
Using a CPA or outside tax agent too? You can give them access through self-service by uploading a signed Power of Attorney and assigning their role. Access starts on the first day of a quarter, and an end date, if you set one, must be the last day of a quarter.
What happens to your taxes at the transition.
| Question | What to expect |
|---|---|
| When does quarterly filing begin? | We begin filing the quarter of your first Netchex payroll. We do not file for periods before the transition. The federal quarterly return is Form 941. |
| Who handles taxes from before Netchex? | Your previous provider remits prior federal and state withholding. If you think those taxes were not paid, submit a case to our Tax Department. |
| What about unemployment? | SUTA and FUTA are paid and filed quarterly, so we deposit the amount due for the entire quarter you start with us. Federal unemployment is due only once liability reaches $500, so a prior provider may have refunded earlier quarters to you. Tell us if that happened. See the IRS page for Form 940. |
| How do I confirm a deposit? | The quarterly Reconciliation Recap compares your liabilities with our deposits. For one specific deposit, submit a case and ask for confirmation. |
If you are moving from another provider.
- Get copies of every return prepared for you and a deposit history.
- Give your previous provider a clear final payroll check date and the final period they should file for.
- Ask about any pending deposits that still need to go to tax agencies, or be refunded to you.
- Keep your previous provider’s TPA in place until every return they owe is filed, and confirm they deposited the matching taxes. Then add Netchex as TPA so returns go in by the due date. Netchex may appear under S&W Payroll Services or Paycom Gulf South.
For the wider picture, read Switching Payroll Providers Without Losing Your Mind and Switching Payroll Providers Mid-Quarter.
Why accuracy at setup matters.
Tax filings and W-2s come straight from the employee profiles and payrolls processed in Netchex. A misspelled name, an invalid SSN, or a wrong address can cause an agency to reject a filing. Verify employee data before your first payroll, and correct anything wrong as soon as you see it.