§ 105-163.6. When employer must file returns and pay withheld taxes.
§ 105‑163.6. Whenemployer must file returns and pay withheld taxes.
(a) General. A returnis due quarterly or monthly as specified in this section. A return shall befiled with the Secretary on a form prepared by the Secretary, shall report anypayments of withheld taxes made during the period covered by the return, andshall contain any other information required by the Secretary.
Withheld taxes are payablequarterly, monthly, or semiweekly, as specified in this section. If theSecretary finds that collection of the amount of taxes this Article requires anemployer to withhold is in jeopardy, the Secretary may require the employer tofile a return or pay withheld taxes at a time other than that specified in thissection.
(b) Quarterly. Anemployer who withholds an average of less than two hundred fifty dollars($250.00) of State income taxes from wages each month must file a return andpay the withheld taxes on a quarterly basis. A quarterly return covers acalendar quarter and is due by the last day of the month following the end ofthe quarter.
(c) Monthly. Anemployer who withholds an average of at least two hundred fifty dollars($250.00) but less than two thousand dollars ($2,000) from wages each monthmust file a return and pay the withheld taxes on a monthly basis. A return forthe months of January through November is due by the 15th day of the monthfollowing the end of the month covered by the return. A return for the month ofDecember is due the following January 31.
(d) Semiweekly. Anemployer who withholds an average of at least two thousand dollars ($2,000) ofState income taxes from wages each month shall file a return by the date setunder the Code for filing a return for federal employment taxes attributable tothe same wages and shall pay the withheld State taxes by the date set under theCode for depositing or paying federal employment taxes attributable to the samewages. The date set by the Code for depositing or paying federal employmenttaxes shall be determined without regard to § 6302(g) of the Code.
An extension of time grantedto file a return for federal employment taxes attributable to wages is anautomatic extension of time for filing a return for State income taxes withheldfrom the same wages, and an extension of time granted to pay federal employmenttaxes attributable to wages is an automatic extension of time for paying Stateincome taxes withheld from the same wages. An employer who pays withheld Stateincome taxes under this subsection is not subject to interest on or penaltiesfor a shortfall in the amount due if the employer would not be subject to afailure‑to‑deposit penalty had the shortfall occurred in a depositof federal employment taxes attributable to the same wages and the employerpays the shortfall by the date the employer would have to deposit a shortfallin the federal employment taxes.
(e) Category. TheSecretary shall monitor the amount of taxes withheld by an employer or estimatethe amount of taxes to be withheld by a new employer and shall direct eachemployer to pay withheld taxes in accordance with the appropriate schedule. Anemployer shall file a return and pay withheld taxes in accordance with theSecretary's direction until notified in writing to file and pay under adifferent schedule. (1959, c. 1259, s. 1; 1973, c. 476, s. 193; c. 1287, s. 7; 1975, 2ndSess., c. 979, s. 1; 1977, c. 488; 1987, c. 622, s. 9; c. 813, s. 24; 1989(Reg. Sess., 1990), c. 945, s. 10; 1993, c. 450, s. 6; 1993 (Reg. Sess., 1994),c. 661, s. 1; 1997‑109, s. 2; 2001‑427, s. 5(a), (b).)