Or. Admin. Code § 150-316-0347

Current through Register Vol. 63, No. 11, November 1, 2024

Section 150-316-0347 - Electronic Funds Transfer. Payroll taxes and corporation estimated income and excise taxes not combined in determining mandate. Payments to be included.

(1) For the purpose of determining whether payment of combined quarterly payroll taxes and assessments is required to be made by electronic funds transfer (EFT), only the payments for related business activities shall be combined. The employer will not add combined payroll taxes paid with corporate income or excise taxes when making the determination. The employer will include combined payroll tax billing payments and amended payroll payments when making the determination.

(2) For the following examples, assume the current mandate threshold above which employers are required to pay by EFT is $1 million of annual payments.

Example 1: Business A is an insurance company. The business has registered twice with the department to pay by EFT, once for their employees' payroll tax payments and once for their with holdings on insurance payments to claimants. Each registration is under its own department Business Identification Number. Business A has annual deposits of combined quarterly payroll taxes and assessments under ORS 316.197 totaling $900,000 based on their status as an employer. Business A also pays withholding totaling $150,000 annually based on payments to their insurance claimants. Business A would not be mandated to pay by EFT.

Example 2: Business B is a retail chain. Business B has registered with the department three times. Each registration is under its own department Business Identification Number. Business B has registered once for their auto parts stores, once for their apparel stores and once for their restaurants. Payments of combined taxes and assessments are $280,000, $450,000 and $600,000 respectively. Business B would be mandated to pay by EFT because the payments made separately for each of their registrations are for payment of taxes and assessments based on their employee payroll.

Example 3: Business C is an incorporated grocery retailer. Annually, the business pays combined payroll taxes and assessments based on wages of its employees totaling $900,000 Additionally, Business C annually pays $400,000 in corporate excise taxes. Business C is not mandated to pay by EFT because payment of corporate excise taxes and payment of combined employer payroll taxes are unrelated, even though the taxes are paid under the same business identification number.

Or. Admin. Code § 150-316-0347

REV 6-1998, f. 11-13-98 cert. ef. 12-31-98; Renumbered from 150-316.198-(A), REV 63-2016, f. 8-15-16, cert. ef. 9/1/2016

Formulas referenced are available from the agency.

Stat. Auth.: ORS 305.100

Stats. Implemented: ORS 316.202