Electronic Filing: The Future Is Now

Payroll tax filing on the internet is a hot topic. Even though much needs to be done regarding standardization, electronic filing can offer you many benefits. It speeds the process, saves paper, eliminates re-keying errors, reduces costs, reduces the number of notices generated and follow-ups required and eliminates errors in receiving information. At LTtax, we're expanding our software to help you take full advantage of electronic filing.

Most states have user-friendly links on their website for online filing. However, while some states require it, others are making it voluntary or don't have it at all. Yet, it's only a matter of time before all states make it mandatory.

The first thing you need to do is find out the requirements for uploading files to states where you do business. Unfortunately, this is not a standardized process. There are several different ways states accept files electronically.

How States Work

Some states ask you to register and submit information before they send you a Remitter ID number so you can send your files. Other states allow you to log onto their website, instantly assign you a username and password to upload files according to the state specifications. Some states require you to complete certain fields of information on the screen before you upload your files. Finally, some states require you to download additional free software from their website that facilitates sending and receiving files.

Once you understand the rules, you must determine how the state accepts files.  Some process files in batch while other will ask you to upload a separate file for each Federal Employer Identification Number (FEIN). If you multiply the processes by the number of states where you do business, the time to submit forms adds up quickly.

We Can Help

When it comes to filing wage detail data and federal schedules 940 and 941, LTtax will get the job done. We are continually expanding our electronic filing capability for  withholding employer wage recaps such as NJ-927W, MN-MW-1 and PA-W3 employer quarterly withholding tax returns.

Customer Spotlight

Alliant TechSystems Finds LTtax Out-of-this-World

When the payroll department of Alliant TechSystems (ATK) in Edina, MN, reviewed its automated solution for scheduling payroll withholding taxes, it discovered LTtax could simplify the process and a whole lot more.

ATK is a leading provider of advanced weapon and space systems with $4.1 billion in annual sales, approximately 17,000 employees and operations in 21 states. Since 1996, ATK has successfully met deadlines using LTtax to file payroll withholding and unemployment taxes.

Full Speed Ahead

According to Bonnie Lindgren, payroll analyst for ATK, who was part of the team that implemented LTtax,  “Once we started using the solution, we discontinued researching any tax inquiries for any tax agencies because every form we need is in the system and up-to-date. LTtax has figured out all of the nuances, so we just upload our data.”

In addition, ATK no longer keeps paper copies of tax returns or forms on file.  Whenever the company needs a duplicate, they print it from the system.  “I don’t need to dig through papers to find tax returns because everything is right at my fingertips,” continues Lindgren. “We can respond quickly and avoid penalties.”

Support Counts

LTtax’s customer support helps Lindgren whenever she has a question or feels technically challenged. “The staff is great, they understand what I need and help us remain compliant,” concludes Lindgren. “Even after 9/11, we received contact from LTtax reassuring us that all client files were rerouted and available as usual. That’s customer service we depend on.”