Form 301-Ef - Application For Withholding E-File Tax Participation (Page 9 of 9) in pdf

301-EF Application Instructions

Income Tax Withholding E-File

Page 9

Employers must be registered with the Tax Commissioner’s Ofﬁ ce for state income tax withholding before

registering to ﬁ le electronic income tax withholding returns. North Dakota offers the following two methods to

ﬁ le income tax withholding returns electronically:

•

Withholding WebFile. The withholding return is submitted over the Internet and payment is made by an

ACH Debit transaction. An ACH Debit is an electronic transfer of funds where you authorize the State of

North Dakota to withdraw payment for the return from your bank account. You provide your bank account

information during registration. Registration for WebFile must be completed on-line. A paper application

will not be accepted for WebFile.

•

Withholding E-File. The employer initiates an ACH Credit payment to the State of North Dakota. The

ACH Credit is also the return. An ACH Credit is an electronic transfer of funds where you instruct your

bank to transfer payment from your account to the state’s bank account. The ACH Credit contains the

return information and, therefore, also serves as the return. Registration may be completed on-line or by

submitting this paper application. On-line registration for E-File also provides access to on-line features

that allow authorized users to view previously ﬁ led returns, upload W-2 information, change ﬁ ling methods,

and add or delete users’ access. Registration using this paper application does not provide access to on-line

features.

To register on-line, go to Click on Income Tax Withholding on the left side of the page, then on

Electronic Filing. The Getting Started link provides detailed instructions for on-line registration.

Prenote Requirement for ACH Credits

Before your E-File application is approved, a “zero” dollar prenote ACH Credit transaction must be initiated

to verify the bank information and ﬁ le formats are correct. The Tax Commissioner’s Ofﬁ ce will contact you

with the Tax Payment Banking (TXP) addenda record layout required for Income Tax Withholding returns. The

record layout is also available in the Withholding ACH Credit E-File Handbook located on our website.

Helpful Hints for E-File Registration

√ Please complete all questions to avoid any delay in your registration.

√ The E-File contact person should be the person who will actually be involved in the initiating and making

the electronic ﬁ ling of your state income tax withholding. Be sure to include a phone number.

√ If you are a Payroll Service completing the application on behalf of a taxpayer, be sure to have the

taxpayer sign and date the application at the bottom of section 3 of the application. Exception:

If a properly completed Form 500 Authorization to Disclose Tax Information and Designation of

Representative has been submitted by the Taxpayer, no signature is required.

28206 (November 2006)

Form 301-Ef - Application For Withholding E-File Tax Participation Page 9