Navigating the process of obtaining a Tax ID Number in NH can be challenging. New Hampshire’s tax system requires businesses to register for a Tax Identification Number. This is essential for tax purposes and is a fundamental step in setting up a business.
Understanding Employer Tax IDs
A state employer tax ID identifies you to the state government for employment and unemployment taxes. The IRS uses the Employer Identification Number (EIN) to identify taxpayers who need to file business tax returns. Generally, you need two unique state tax ID numbers (per state) for income taxes and for reporting state unemployment insurance.
Contact Information
To register your business with the New Hampshire Department of Employment Security call:
- 603-228-4033
- 603-228-4034
If you cannot locate or verify your tax rate, please call the New Hampshire Employment Security.
Unemployment Tax Information
Unlike most other states, New Hampshire does not have state withholding taxes. However, other important taxes cover federal UI and withholding taxes. If your small business has employees working in New Hampshire, you’ll need to pay New Hampshire unemployment insurance (UI) tax.
To fund unemployment insurance payments, FUTA authorizes the IRS to collect an unemployment tax from employers to fund state workforce agencies that provide benefits to unemployed workers. Employers must pay unemployment taxes to both the federal unemployment tax system and their state system. The unemployment compensation system is unique among U.S. laws because it’s almost totally funded by employer taxes.