Please note: this article is about the Justworks Payroll product. Not sure which product you're using? Check out: How Do I Know Which Justworks Product I Have?
Paying employees in Pennsylvania
When hiring employees in new states, you will need to register for relevant state tax accounts to facilitate their payment. In Pennsylvania, you must be registered with the Pennsylvania Department of Revenue (DOR) (withholding tax), Pennsylvania Unemployment Contribution Fund (unemployment tax) and, if applicable, other local agencies (local taxes).
Alternatively, Justworks Payroll can handle the registration process for you. We offer state tax registration services to assist with registering your business in new states. To request registration, please contact us at support@payroll.justworks.com.
Your Pennsylvania Accounts and Rate Info
Registering for Withholding Tax and Unemployment:
Visit the Pennsylvania myPATH website and scroll down to the “Registration” section. Click on "Pennsylvania Online Business Tax Registration."
Once logged in, select "Business Tax Registration," read through the information on the page, and then click "Next" to proceed. Follow the prompts to complete your registration.
Keep in mind that it may take a few weeks to receive your account numbers and company-specific unemployment rate, so plan accordingly for your first payroll in this state.
Local Taxes
Pennsylvania has several local taxes for payroll due to its unique system of local governance, where municipalities and school districts have the authority to levy their own taxes. Below you will find a nonexhaustive list of common municipalities.
If you’re unsure where you need to pay taxes and register as a new employer:
- Visit this website.
- Enter the employee's home and work addresses.
- Click on "View Information."
The website will then display the applicable taxes and tax collectors in yellow boxes, including their contact details such as phone number, fax number, and website, allowing you to reach out to them for registration.
Parkland School District Local Services Tax (LST):
If you reside in the Parkland School District and need to pay the Local Services Tax (LST) to this agency, you must register your business. The townships within this district include North and South Whitehall, as well as Upper Macungie.
Berkheimer Tax Innovations has been designated as the Local Services Tax Administrator for the Parkland School District.
Register your business online with Berkheimer Tax Innovations and enter your account number in Justworks Payroll, which is typically a seven-digit number. If you're unsure of your account number, you can email Berkheimer Tax Innovations or call them at (610) 599-3140.
City of Philadelphia Tax:
If you don’t have a tax account number or are paying an employee in Philadelphia for the first time, you’ll need to register online with the City of Philadelphia tax center. After registering, you should receive your number immediately.
City of Pittsburgh Tax:
Register your business with the City of Pittsburgh if you do not yet have a Pittsburgh City ID, and you’re paying an employee who will be working in Pittsburgh or who is a resident of Pittsburgh for the first time.
To register, visit the city's website to learn how to register. On the Business Registration Form, in "Section 4: City Tax Liabilities," check the boxes for:
- Payroll Expense Tax, and
- Local Services Tax.
Within 5-10 business days after registering, the Department of Finance will send you:
- A verification letter, and
- Your City ID.
- Once you receive your Pittsburgh City ID, enter it into your Justworks Payroll company tax settings. If you need to confirm your City ID, contact the agency at (412) 255-2525 (select option 2 twice from the phone tree).
In addition to registering with the City of Pittsburgh, you also need to register for the Earned Income Tax with Jordan Tax Service and enter your account ID in your Justworks Payroll account settings.
City of Scranton Payroll Preparation Tax (PPT):
Any individual or business with an office, factory, workshop, branch, warehouse, or other place of business in Scranton—including banks, schools, hospitals, nonprofits, and trade associations—must register to pay this tax if they haven’t done so already. For more information, check out Scranton’s FAQs.
Register for the Scranton Payroll Preparation Tax (PPT) with Berkheimer Tax Innovations (HAB) also known as HAB-PPT:
- Register your business with Scranton’s tax collector, Berkheimer Tax Innovations (HAB).
- If you’re unsure that you’ve registered for the HAB-PPT tax, or to get additional registration instructions, contact the Berkheimer Tax Administrator at (610) 599-3140.
Already Registered? Locate This Information
Locate your Withholding Tax Account Number—Licensing Number:
If your business has previously processed payroll in Pennsylvania, you can locate your eight-digit "Withholding Account ID" (also known as the Licensing Number) by:
- Logging into your MyPATH account, where you can find your 8-digit “Withholding ID” in your Employer Withholding Tax (W-3) or Employer Annual Reconciliation (REV-1667) accounts, or
- Reviewing the coupons or Employer Quarterly Reconciliation documents received from the PA Department of Revenue, or
- Calling the agency at (717) 787-1064.
Reminder: Your eight-digit withholding account number is different from your Employer Identification Number (EIN) or Revenue ID Number.
Locate your Unemployment Account Number (Employer Account ID) and Rate:
If your business has previously processed payroll in Pennsylvania, you can find your UC Employer Account ID number and tax rate by:
- Logging into the PA UC Management system. Your Employer Account ID number will be displayed at the top of the screen. To find your tax rate, click on "Contribution Rates" in the left menu, then select "Rate History."
- Reviewing documents like the Contribution Rate Notice (Form UC-657), Notice of PA UC Responsibilities (UC-851), or Report for Unemployment Contribution (Form UC-2) that you received from the PA Department of Labor and Industry, or
- Calling the agency at (866) 403-6163.
Note: If your Employer Account ID number is longer than seven digits, only enter the first seven digits.
Locate your Local Tax Information:
Please contact the local tax agency or municipal tax office to confirm your account information.
Entering State and Local Tax Info in Justworks Payroll
Once you registered with the State and have a valid PA address added to your company’s offices, you can add your account info in Justworks Payroll by navigating to:
- Company > Settings in the left navigation bar
- Under ‘Company tax info’ click into “Pennsylvania” to edit the state tax information
In your Justworks Payroll account, you’ll want to enter your PA Withholding Tax Account Number (Licensing Number), PA Unemployment Account Number (Employer Account ID) and Rate, and any applicable local tax information.
Third-party admin access
As your payroll provider, Justworks Payroll will utilize the provided account information to manage and report your PA tax liabilities. Occasionally, the state may issue notices related to payroll taxes.
Justworks Payroll can examine these notices if granted Third-party admin access to your PA state tax account. During onboarding, we will request that you sign state specific TPA forms, which authorizes us to handle and report your taxes to the state.
Why is this important?
Justworks Payroll calculates tax liabilities as part of payroll processing. If we cannot access your PA state tax accounts, we must return any unremitted tax liabilities to your company bank account, requiring you to remit and file your company’s state taxes manually.
Disclaimer
This material has been prepared for informational purposes only, and is not intended to provide, and should not be relied on for, legal or tax advice. If you have any legal or tax questions regarding this content or related issues, then you should consult with your professional legal or tax advisor.