Electronic Services (e-services) include paying federal taxes and filing tax forms (such as Forms 941 and 940) electronically, as well as paying state taxes and filing state tax forms electronically (where available).

This article will help you set up e-services for:

 


Note:


To apply for e-services:

Intuit Online Payroll and Intuit Online Payroll for Accountants

The authorization form packet contains an instruction sheet, a fax cover sheet, Form 8655 (federal Reporting Agent Authorization), and a state authorization form if it's required (see below). Sign the forms, and fax the packet to us using the cover sheet. We'll process them within 1-2 business days. If you're unable to fax them, please contact Payroll Support to obtain alternative transmittal methods.

If you overlook printing the cover sheet and authorization forms (or misplace them after printing), it's easy to reprint them. Go to your payroll To Do list (by clicking the To Do tab on the top navigation bar). In the section "Setting up electronic services", you'll see an item to send in the authorization forms. By clicking on the item, you'll see a Print button on the next page.

Following is the list of states requiring authorization forms (SIT = state income tax, SUI = state unemployment insurance):

  1. Click Setup.
  2. Click Update Electronic Services.
  3. Click Add/Edit Electronic Services.
  4. Select Yes to enable federal and state e-services options.
  5. Enter your bank account and principal officer information.
  6. Review the information entered on the previous screen.
  7. Enter your federal EIN, filing name, and filing address.
  8. If your subscription includes Enhanced level service and electronic payment and filing are available for your state or states, select Electronically and click Continue.
  9. Select your service fee payment method.
  10. Click Show My Forms.
  11. Print, sign, and fax authorization forms.
  12. The authorization form packet contains an instruction sheet, a fax cover sheet, Form 8655 (federal Reporting Agent Authorization), and a state authorization form if it's required (see below). Sign the forms, and fax the packet to us using the cover sheet. We'll process them within 1-2 business days. If you're unable to fax them, please contact Payroll Support to obtain alternative transmittal methods.If you overlook printing the cover sheet and authorization forms (or misplace them after printing), it's easy to reprint them. Go to your payroll To Do list (by clicking the To Do tab on the top navigation bar). In the section "Setting up electronic services", you'll see an item to send in the authorization forms. By clicking on the item, you'll see a Print button on the next page.
    Note: ND SIT also requires authorization form.
  13. Verify Test Transaction
    If your payroll account wasn't previously activated for direct deposit, we'll initiate a small test transaction to your bank account. The transaction will post within 2-3 business days from the time you first enter your bank information. There will be both a deposit and a withdrawal for an identical amount of less than $1.00. You'll see an item on your payroll To Do list to verify the exact transaction amount.
  14. Look for our activation email.

    After you have verified your test transaction and we've received and processed your authorization forms, we'll forward them to the IRS and state tax agencies for approval. Once we've received the approval, we'll send you an email notification that your payroll account is active for e-services! (In the unlikely event your enrollment isn't approved, we'll send you an email explaining the reason.)

    The IRS usually takes 1-2 business days to process enrollments. State processing times can vary widely, from one business days to several weeks.

QuickBooks Online Payroll

For newly sign-up customers, e-services has been added to Tax Setup flow.

Setup flow

  1. After entering your employee information, you will be prompted to start Tax Setup. Click Set up taxes now.User-added image
  2. The main Payroll Tax Center page confirms the information you need to complete this process. Click Continue.
  3. Enter your employees' birth dates and hire dates if it wasn't entered previously. Click Continue.User-added image
  4. Confirm your business details. Click Continue.User-added imageUser-added image
  5. Enter your federal and state tax information, then click Continue. Once you navigate past this page, any tax setup changes, just select Gear icon at the top > Payroll Settings.User-added image
  6. Select E-pay and E-file. If you select to pay and file manually, the tax setup completes here. Click Next.User-added image
  7. Select Get started to connect your bank account.
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  8. Select or search your bank account.
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  9. Verify your bank account by entering bank account login information or connect using your routing and account numbers. Select Connect securely.User-added image
  10. System will attempt to connect bank account.User-added image
  11. Select your bank account, then click Use this account.User-added image
  12. Select Next to proceed.User-added image
  13. Update and confirm business information. Select Next to continue.User-added imageUser-added image
  14. List of states setup or added in the account will show and you can select them. Select NextNote: You cannot enroll for state e-services without enrolling to federal e-services, that's why the federal taxes can't be unchecked. User-added image
  15. You will have the option to use e-sign for the authorization form (8655 form) or you can print, sign, and send the authorization form.  If you select e-sign, system will ask series of questions to verify your identity.User-added image
  16. You are required to print, sign, and fax authorization form if will not pass the verification. Contact Payroll Support for assistance.

E-sign flow

For e-sign flow, see article Use e-signature to sign authorization forms for QuickBooks Online Payroll Services for instructions.

Turn off e-services
You will get a prompt when trying to turn off e-services. Just select Yes to confirm the action, then click  Next.

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FAQ

How to enroll new state for e-services?

  1. Make sure that the state is completely set up in the account.
  2. Select the Gear icon at the top > Payroll Settings > E-file and E-pay
  3. Select the additional state, then select Next.User-added image
  4. You can also go back to WorkersEmployees > Finish Payroll Tasks and re-enter the e-sign flow to avoid having to fax in forms.

What if I change business type?

If you started the e-services enrollment process but updates the business type that was entered incorrectly, you won't be allowed to e-sign in the system.

What if I failed the knowledge-based assessment?

If we cannot verify your identity through the KBA, the system will allow you to try again.The number of questions available is based on your individual credit report and how much data can be pulled. You can also choose to print and sign your forms.
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If we run out of questions before you pass the KBA, you will have to wet sign the forms and fax them in.

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Related Article:

Enroll in direct deposit (DD)