17 July 2019 Colorado law to require employers to file withholding returns electronically Effective January 1, 2020, recently enacted Colorado HB 1256 gives the Colorado Department of Revenue the power to mandate that taxpayers file and pay taxes electronically. This includes the requirement that employers electronically file withholding returns, including Forms W-2, and pay withholding taxes. Currently, employers with 250 or more employees must file Forms W-2 electronically by January 31. Employers that withhold more than $50,000 of withholding tax annually must file all withholding payments by Electronic Funds Transfer (EFT). Employers filing and paying electronically do so over the Department's Revenue Online system. The Department is directed to promulgate regulations to provide for the mandatory electronic filing of tax forms and payment of taxes, staggering the thresholds for the electronic filing requirement over a minimum three-year period, beginning with the largest taxpayers and allowing for additional time for small taxpayers to comply. For good cause, a taxpayer may file an annual request for waiver of the electronic filing and payment requirement. For more information on the filing and payment of withholding tax, see the Department's website. See also the 2019 employer's withholding guide.
Document ID: 2019-1281 | |||||||
