Withholding/ Payroll Tax | Account

If you are required to withhold Colorado income tax on behalf of your employees or on behalf of individuals to whom you make income payments, you must apply with the Department of Revenue as a “withholding tax agent.” Sometimes taxpayers refer to this as a business registration, but it is an application for a Colorado wage withholding tax account. Upon receipt of your application, the department will open a withholding tax account. There is no fee for the account. There is no renewal requirement for a withholding tax account.

How to Get a Colorado Withholding Tax Account

Employers

If your business is inside the State of Colorado use Colorado Business Express or the Sales Tax / Wage Withholding Account Application (CR 0100).
Out-of-state businesses should complete the Sales Tax / Wage Withholding Account Application (CR 0100).

1099 Issuers and Gaming Establishments (W-2Gs)

Complete and mail in the Sales Tax/Withholding Account Application (CR 0100) to apply for a 1099 or W-2G withholding account. Indicate in Box D whether you need a 1099 account or a W-2G account set up. You will use your current Colorado account number (CAN) or receive your CAN by mail if you don’t already have an account. Allow four to six weeks for processing.

Accessing Your Withholding Tax Account in Revenue Online

See How to Sign Up for Access

Employers or payroll companies acting on behalf of employers may use Revenue Online to manage the withholding tax account. Once you are inside your Department of Revenue tax account in Revenue Online, click on the specific tax account you want to view (WWH for withholding). You will see all of the filing periods for that tax type, including links to returns you have already filed and links to returns that should be filed.

1099 and W-2G withholding taxpayers must contact the department by telephone to discuss their accounts.

How to Close a Withholding Tax Account

When a business closes and a withholding tax account is no longer required, you can ensure the withholding tax account closes in good standing with the Colorado Department of Revenue and does not receive nonfiler notices. Any taxes the business is expected to remit must be paid or returns with “zero” tax due must be filed. The Department of Revenue must be notified on the final return that the account is closing. Include the effective date of closure (the last day of business). The department will then close the tax account.

Employers/payroll companies (W-2 filers) can close the account through Revenue Online.

All withholding tax account types may file the Account Change or Closure Form (DR 1102) to close the account or site. Send the request to the address on the form.

When a business closes, the business must immediately notify the department of the closure to avoid receiving nonfiler notices. The closure request should be submitted no later than 30 days after close of business. NOTE: The paper DR 1102 takes longer to process. Revenue Online closures are effective the next business day.

Address Changes

You can update the W-2 withholding account address in Revenue Online. Or, you may submit the address change (change of address) with the Address Change or Business Closure (DR 1102).

Where can I find my unemployment number?

If you need to obtain an unemployment insurance account number or you have other questions regarding unemployment insurance premiums and benefits, contact the Colorado Department of Labor and Employment (CDLE).