USA State Payroll Rates + Resources: State of Kentucky: Obtaining a TIN + Unemployment Insurance
Purpose
The purpose of this documentation is to outline the processes and requirements associated with becoming a new employer in the state of Kentucky. Specifically, we will be covering how to obtain a Tax Identification Number and Register for Unemployment Insurance.
Good to Know!
Federal Employer requirements (obtaining a federal identification number, withholding of federal income tax, FICA, and filing of all applicable federal returns (FUTA, 940, 941, and 1099-C) will not be covered below - just the state of Kentucky's requirements. Click here for a basic (not all-inclusive) IRS checklist for Starting a New Business.
Registering for a Withholding Account
Good to Know!
If you have already registered/enrolled for employer's withholding tax, skip to the next section
Every employer incorporated in Kentucky, qualified to do business in Kentucky, doing business in Kentucky, or subject to the jurisdiction of Kentucky in any manner, and making payment of wages subject to withholding shall deduct, withhold, and pay to the department the tax required to be withheld.
You can register with either a Kentucky Tax Registration Application (10A100) or online at Withholding Return and Payment System (WRAPS).
On the WRAPS site, click on CREATE ACCOUNT.
Apply for Unemployment Insurance Number
You will be liable for unemployment insurance if you pay at least $1,500 in gross wages in a single calendar quarter or if you have at least one worker performing service in any part of 20 different weeks out of a calendar year. (It does not have to be the same workers in each week, nor do the weeks have to be consecutive.)
Once you have met one of the requirements, you should apply as soon as possible at the Kentucky Office of Unemployment Insurance and click on Employer Registration.
