How to File Unemployment Taxes in Ohio as an Employer
Unemployment tax in Ohio must be filed by employers on a quarterly basis as a way to help fund the unemployment insurance benefits program managed by the Ohio Department of Jobs and Family services (ODJFS). There are many rules and regulations regarding unemployment tax filing in Ohio that all employers need to know about. Many employers will have questions about the unemployment tax rate, and how they should go about filing taxes in Ohio correctly. Read the below unemployment employer taxes guide to get more information on how employers need to manage unemployment taxes in Ohio.
Do employers have to pay unemployment taxes in Ohio?
Before you can learn if employers must pay unemployment taxes in Ohio, you first must look at how employers are defined in Ohio. Those liable for paying unemployment taxes must be employers defined as those who manage businesses, those involved in agricultural production and those who hire domestic workers. Employers can be individual people or legal entities, such as corporations. Examples of the types of enterprises that will need to file unemployment taxes are listed below:
- Sole proprietors
- Limited Liability Companies (LLC)
- 501(c)(3) nonprofit organizations
- Public agencies or entities
Employers have to pay taxes on a certain portion of annual income that was paid to an employee. This is called a taxable base wage. Employers who pay an employee an annual income that is less the taxable base wage will not require the employer to pay taxes on that income. Ohio unemployment tax structure is managed differently for some nonprofit organizations and government entities, because unemployment benefits for federal employees are managed through different forms of funding.
How to File Unemployment Taxes in Ohio
Information on filing taxes unemployed should be included in your quarterly tax return that must be turned in to the Ohio Department of Job and Family Services. Most employers will need to fill out the Wage Detail and the Quarterly Summary section on the Unemployment Compensation Quarterly Tax Return (JFS-20125) form. This will inform the ODJFS of who is working for you, when he or she started working for you and how much wages he or she earned in the last quarter. The form may also ask for details on holiday or severance pay, depending on your employment situation. Ohio unemployment tax filings for nonprofits and government entities will only require that these employers fill out the Wage Detail section on the Unemployment Compensation Quarterly Tax Return form.
Employers might want to know how to file unemployment taxes online, as it may make the process easier for them or their companies. Luckily, there are two separate online systems that allow most employers to report their quarterly tax return information to the state of Ohio. If an employer is not registered with one of these online systems, he or she will first have to register before the taxes can be uploaded through the system. If an employer is already registered to use one of these systems, he or she can simply follow the prompts for filing taxes. Please note that you must have an active account with the ODJFS before you can register with one of these systems. Download our complimentary guide to review more details about how to file unemployment taxes.
Other Ways to File Unemployment Taxes in Ohio
Employers have other options if they wish not to file unemployment taxes online including filing by phone, in person or by mail. Those filing taxes for unemployment benefits can send their quarterly tax returns to the Ohio Department of Job and Family Services (ODJFS), Contribution Section. You may also hand-deliver your tax return for overnight processing to the Ohio Department of Job and Family Services (ODJFS), Contribution Section in Columbus.
Employers have to file for unemployment taxes in Ohio even if they do not have any employees during the course of their last quarters. However, a Quarterly Tax Return form that documents that you did not have an employee will still need to be given to the ODJFS. It can be filed by one of the two methods mentioned above or by phone. The UC Tax Interactive Voice Response (IVR) system can be used to file these types of tax returns. Learn more about how to filing unemployment taxes in our free, downloadable guide.
When is the due date for filing unemployment taxes in Ohio?
Quarterly unemployment employer taxes can be filed up to the last date of the month of the following quarter. If this date is on a weekend or a government holiday, the next working day will be considered the deadline. The date that appears on the form’s postmark will be the date that the ODJFS looks at to determine when the taxes were filed. A Notice of Failure to File will be set to you in the mail if you do not file your quarterly taxes. Failing to report and pay unemployment taxes can have many consequences ranging from increased unemployment tax rates to fees, to further legal action. Download our comprehensive guide to read more about filing unemployment taxes.