Illinois Employer Tax Information
To sign up for online payroll through Square in Illinois, you must be registered as an employer with the Illinois Department of Revenue (IDOR) and Department of Employment Security (IDES), and provide us with your Illinois Unemployment Account Number and Unemployment Insurance (UI) Contribution Rate.
Add Your Illinois Payroll Account Numbers to Square Payroll
You must be a registered employer to have an Illinois Unemployment Account Number and Illinois Taxpayer ID Number. Registration is required in order to acquire both of these numbers and we must have these numbers in order to make Illinois state tax payments and filings on your behalf.
Don’t Have Your Illinois Payroll Account Numbers?
To get your Illinois Payroll Account Numbers, register online with MyTax Illinois. After you complete registration, you will receive your Illinois Unemployment Account Number and Taxpayer ID Number.
Square Payroll only requires the first seven digits (XXXXXXX) of your Unemployment Account Number. Your Taxpayer ID Number (also known as an Illinois Department of Revenue [IDOR] Account ID Number or Illinois Business Tax number [IBT number]) will typically match your nine digit (XX-XXXXXXX) Federal Employment Identification Number (EIN) followed by a three-digit (XXX) Sequence Number.
Learn how to locate or obtain an EIN.
Can’t Locate Your Illinois Unemployment Account Number and/or Taxpayer ID Number?
To locate your Unemployment Account Number:
Locate your Unemployment Account Number on any previously filed Employer’s Contribution & Wage Report (Form UI-3/40).
Locate your Unemployment Account Number on the Notice of Contribution Rate sent by IDES in December each year.
To locate your Taxpayer ID Number:
Locate your Taxpayer ID Number on any previous Illinois Withholding Income Tax Return (Form IL-941).
Add Your Unemployment Contribution Rate to Square Payroll
You must provide your UI Contribution Rate when signing up for Square Payroll so we can accurately compute this tax. To locate your UI Contribution Rate:
If you are a new employer, you will receive your Unemployment Contribution Rate after you complete registration on MyTax Illinois. The tax rate for most new employers is 3.55%, but can vary by industry. The UI Contribution Rate includes the Fund Building Rate.
If you are an existing employer switching to Square Payroll, you can look your rate up online by logging in to your MyTax Illinois Account or locate it on the Notice of Contribution Rate that IDES mails each December. The UI Contribution Rate includes the Fund Building Rate.
If you can’t find your UI Contribution Rate, call IDES at 800-247-4984.
You are responsible for ensuring Square Payroll has the correct UI Contribution Rate for your business. Please contact us if you need to update your rate.
Illinois State Tax Details
Square Payroll processes the following per the frequency below to the listed state agencies:
|Department of Economic Security (IDES)||Monthly Wage Report||Monthly|
|Unemployment Insurance Payment||Quarterly|
|Employer's Contribution and Wage Report (UI-3/40)||Quarterly|
|New Hire Report||Per New Employee|
|Department of Revenue (IDOR)||Department of Revenue Payment Coupon (IL-501)||Monthly|
|Withholding Income Tax Return (IL-941)||Quarterly|
|Wage and Tax Statement (IL W-2)||Annually|