General Questions
Technical Questions Withholding Tax

  1. Who is required to withhold Wisconsin income taxes?
  2. Do I need to register to withhold Wisconsin income tax?
  3. How do I apply for a Wisconsin withholding tax number?
  4. Am I required to file a Form WT-6, Wisconsin Withholding Tax Deposit Report?
  5. What is the filing deadline?
  6. Are extensions to file available?
  7. How do I file Form WT-7, Employer's Annual Reconciliation of Wisconsin Income Tax Withheld from Wages?
  8. Where do I send my Forms W-2, after filing my Form WT-7?
  9. Where do I send other types of information returns, such as Forms 1099 and 9b?
  10. How do I notify the department, if I change my business location or mailing address?
  11. Should I notify the department if I close my business?
  12. What records should I keep for Wisconsin tax purposes, and how long should I keep them?
  13. Can I claim exemption from Wisconsin withholding tax if claiming the Wisconsin working families credit?
  1. Who is required to withhold Wisconsin income taxes?

    Every employer who meets both requirements "a" and "b" below is required to withhold Wisconsin income taxes:

    a. Pays wages to a:

    • Wisconsin resident(regardless of where the services were performed), or
    • Nonresident (persons domiciled outside of Wisconsin) for services performed in Wisconsin, unless:
    • Employer is an interstate rail or motor carrier, subject to the jurisdiction of the Federal Interstate Commerce Commission and the employee regularly performs duties in two or more states.
    • Payment is for retirement, pension, or profit sharing benefits received after retirement.
    • Employee is a resident of a state with which Wisconsin has a reciprocity agreement. Wisconsin currently has reciprocity agreements with Illinois, Indiana, Kentucky, and Michigan. Persons who employ residents of those states are not required to withhold Wisconsin income taxes from wages paid to such employees. Written verification is required to relieve the employer from withholding Wisconsin income taxes from such employee's wages.
    • Employee is a resident of a state with which Wisconsin does not have a reciprocity agreement and either:
    • The employer is an interstate air carrier subject to the jurisdiction of the Federal Interstate Commerce Commission and the employee earns 50 percent or less of his or her compensation in Wisconsin, or
    • The employer can reasonably expect the annual Wisconsin earnings to be less than $1,500.

    b. The employer meets any of the following:

    • Is engaged in business in Wisconsin
    • Is licensed to do business in Wisconsin
    • Transacts business in Wisconsin
    • Is organized under Wisconsin law
    • Is primarily engaged in business outside of Wisconsin and is licensed to do business in Wisconsin or transacts business in Wisconsin

  2. Do I need to register to withhold Wisconsin income tax?

    Every employer who is required to withhold Wisconsin income tax must register with the Wisconsin Department of Revenue for a Wisconsin withholding account number.

  3. How do I apply for a Wisconsin withholding tax number?

    Complete one of the following:

    The initial application fee is $20. The registration is valid for two years. At the end of that period, a $10 Business Tax Registration renewal fee applies. The department will send a renewal bill and registration certificate at the time of renewal.

  4. Am I required to file a Form WT-6, Wisconsin Withholding Tax Deposit Report?

    Quarterly, monthly, and semi-monthly filers with an active Wisconsin withholding account must file an electronic deposit report even if no tax is withheld during the period covered. Electronic filing options include:

    If an electronic filing waiver has been granted, a fill-in Form WT-6 is available on our web site.

    For more information, see Wisconsin Publication W-166, Wisconsin Employer's Withholding Tax Guide.

  5. What is the filing deadline?

    Form WT-7, Wisconsin Employer Annual Reconciliation

    All filers - Form WT-7 and wage statements (Forms W-2, W2-G, 1099-R, etc.) are due to the department by January 31, the last day of the month following the calendar year. When the withholding account is closed before December 31, Form WT-7 and wage statements are due within 30 days of the account cease date.

    Form WT-6, Wisconsin Withholding Deposit Report

    Annual filers - Withholding is reported on Form WT-7. No Form WT-6 required.

    Monthly or quarterly filers - Form WT-6 is due on or before the last day of the month following the monthly or quarterly withholding period.

    Semi-monthly filers - When the employee pay date is on or between the 1st and the 15th of the month, the amount deducted and withheld for the period ending the 15th of the month is due on or before the last day of the month.

    When the employee pay date is on or between the 16th and the end of the month, the amount deducted and withheld for the period ending the last day of the month is due on or before the 15th of the following month.

    Example: An employee is paid December 16. The employer reports withholding on the deposit report for period ending December 31. This deposit report is due January 15.

    ACH debit payments made via My Tax Account must be initiated by 4:00 p.m. Central standard time of the due date to be considered timely paid.

  6. Are extensions to file available?

    Yes. The department may grant a one-month extension to file the deposit report (Form WT-6), the annual reconciliation (Form WT-7), and wage and tax statements (Forms W-2). Extension requests must be received by the original due date of the deposit report or return. To request an extension, do one of the following:

    • Complete the Request Extension to File in My Tax Account
    • E-mail DORRegistration@revenue.wi.gov
    • Write to Wisconsin Department of Revenue, P.O. Box 8902, Madison, WI 53708-8902
    • Fax to (608) 264-6884

    The date for furnishing wage statements to employees cannot be extended.

  7. How do I file Form WT-7, Employer's Annual Reconciliation of Wisconsin Income Tax Withheld From Wages?

    Electronic filing options include:

    If an electronic filing waiver has been granted, a fill-in Form WT-7 is available on our web site.

  8. Where do I send my Forms W-2, after filing my Form WT-7?

    Employers or organizations with 50 or more withholding statements are required to file Forms W-2 electronically using one of the three methods below.

    • Create a PDF file on the Social Security Administration's website and then transmit the PDF file through DOR's web site. For step by step instructions, click here.
    • New! Submit W-2 information at the same time as filing the Annual Reconciliation (Form WT-7) through My Tax Account. A different method will need to be used to meet federal W-2 reporting requirements.
    • Submit an EFW2 text file through DOR's web site.

      A confirmation number will be issued upon completion.

    Employers or organizations with less than 50 withholding statements, may file Forms W-2 using one of the methods above or, do all of the following:

    • Complete Form WT2 (Paper W2 Transmittal Sheet)
    • Attach Form WT2 to the W-2 wage statements
    • Mail to the address indicated at the bottom of the Form WT2

      We cannot confirm receipt of Forms W-2 using this method. Instead, use one of the electronic filing methods above, to receive a confirmation number from the Wisconsin Department of Revenue.
  9. Where do I send other types of information returns, such as Forms 1099 and 9b?

    For the most current information, refer to Publication 117, Guide to Wisconsin Information Returns.

  10. How do I notify the department, if I change my business location or mailing address?

    To change a mailing address, select Edit next to the address field in My Tax Account

    To change your business location, if you are not registered to use My Tax Account,


  11. Should I notify the department if I close my business?

    Yes. When you (1) close your business, (2) no longer have a withholding liability or (3) need a new Wisconsin withholding number as the result of a change in business entity, you must notify the department of the last date of withholding using one of the following methods:

    The account will be closed based on the information provided. Important: When the withholding account is closed before December 31, Forms WT-7 and W-2 are due within 30 days of the account cease date.

  12. What records should I keep for Wisconsin tax purposes, and how long should I keep them?

    You must keep your tax records until the statute of limitation expires for the withholding tax returns to be adjusted. Usually this is four years from the due date of the return or the date filed, whichever is later.

  13. Can I claim exemption from Wisconsin withholding tax if claiming the Wisconsin working families credit?

    A 2012 working families tax credit eliminates Wisconsin income tax for single persons with income under $10,000 and married couples with income under $19,000. Persons who qualify for the working families tax credit may elect to be exempt from Wisconsin withholding. To claim exemption from Wisconsin withholding, an employee must first determine whether he or she qualifies for the credit. If qualified, the employee must complete an exemption certificate (Form WT-4B) and give it to the employer.

    A flyer "Employees - Tax Credit May Permit You to Claim Exemption From Wisconsin Withholding Tax" contains a worksheet for determining whether you qualify for the working families tax credit. The flyer includes an exemption certificate (Form WT-4B), which you should detach and submit to your employer. After receiving the certificate, your employer should discontinue withholding Wisconsin income tax from wages paid to you during 2012.

FOR MORE INFORMATION PLEASE CONTACT:

WISCONSIN DEPARTMENT OF REVENUE
Customer Service Bureau
P.O. Box 8949
Madison, WI 53708-8949
Phone: (608) 266-2776
Fax: (608) 267-1030
E-Mail Additional Questions

Last updated December 16, 2011