Last reviewed: July 2026

Quick Answer

New Utah employers must obtain a federal EIN from the IRS, register for a withholding account with the Utah State Tax Commission, and register for an SUI account with the Utah Department of Workforce Services. Workers' compensation insurance is mandatory from the first employee hired. Utah has no separate state withholding certificate, so employees only fill out the federal W-4.

Hiring your first employee in Utah triggers a handful of registration requirements at the federal and state level. Note that Utah's former OneStop combined registration portal was retired in September 2024, so tax accounts are now registered separately through the state's Taxpayer Access Point. Here's the current process.

Registration Overview

Every new Utah employer needs:

  • A federal Employer Identification Number (EIN)
  • A Utah withholding account with the State Tax Commission
  • A Utah SUI account with the Department of Workforce Services
  • Workers' compensation insurance, required from employee number one
  • New hire reporting set up for every future hire

Step 1: Get Your Federal EIN

Apply for a free EIN at irs.gov/ein. The online application takes about 15 minutes, and you receive the number immediately. You'll need it for every registration that follows.

Step 2: Register with Utah State Tax Commission

Register for a withholding account with the Utah State Tax Commission through the Taxpayer Access Point (TAP). This lets you withhold Utah's flat 4.45% income tax (for 2026) from employee paychecks. Utah has no separate state withholding certificate: you calculate withholding straight from each employee's federal W-4 using the tables in Utah Publication 14.

OSBR is gone. Utah's combined OneStop Business Registration portal shut down permanently in September 2024. Tax account registration (withholding and SUI) now runs through TAP and the Department of Workforce Services separately, coordinated but no longer a single form.

Step 3: Register for SUI

Register for an unemployment insurance account through the Utah Department of Workforce Services. New employers typically pay around 1.1% on the first $50,700 of each employee's wages for 2026, though your exact rate depends on industry classification and the department's reserve and social cost factors for the year.

Step 4: Workers' Compensation Insurance

Utah requires workers' compensation insurance starting with your very first employee, with no minimum headcount to hide behind. A narrow set of exemptions applies to sole proprietors, partners, and certain LLC members with no employees, but most new employers need coverage immediately. Purchase a policy from a private carrier and keep it current: the Utah Labor Commission can assess a penalty of $1,000 or three times the unpaid premium, whichever is greater, for operating without coverage.

Step 5: New Hire Reporting

Report every new or rehired employee to the Utah New Hire Registry within 20 days of their start date, through the Department of Workforce Services employer portal. You'll need the employee's name, address, Social Security number, start date, and your EIN. Most payroll software files this automatically.

Once registrations are complete, use our paycheck calculator to check net pay, and send new hires to our W-4 helper since the federal W-4 also drives Utah withholding here.

Frequently Asked Questions

Where do Utah employers register for unemployment insurance?

Utah employers register for UI (unemployment insurance) with the Utah Department of Workforce Services (DWS). Registration is typically completed online through the agency's employer portal before running your first payroll.

Where do Utah employers register for state income tax withholding?

Utah employers register for state income tax withholding with the Utah State Tax Commission through the Taxpayer Access Point (TAP). You will receive a state employer withholding account number used on all tax filings and deposits.

Do I need to register before running my first payroll in Utah?

Yes. You must have your Utah employer account number(s) before filing or depositing state payroll taxes. Register with the Utah Department of Workforce Services (DWS) and the Utah State Tax Commission as soon as you hire your first employee.

Is workers' compensation insurance required when registering as a Utah employer?

Yes. Utah requires workers' compensation insurance from the first employee hired, with no headcount threshold to fall back on. Coverage is overseen by the Utah Labor Commission, and penalties for going uninsured start at $1,000 or three times the unpaid premium, whichever is greater.

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Legal & Tax Disclaimer

This article is for general informational purposes only and does not constitute legal, tax, or professional advice. Employment laws, tax regulations, and compliance requirements change frequently. The information on this page reflects our understanding as of July 2026 and may not reflect recent changes in federal or Utah state law.

Do not act or refrain from acting based solely on the information in this article. Always consult a qualified attorney, CPA, or HR professional familiar with Utah law before making payroll or compliance decisions for your business.

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Eric Bennet
Owner, Pacific Data Services

Eric has worked with Pacific Data Services since 1984, a full-service payroll and bookkeeping company serving small businesses across the U.S.