It is inevitable if you are looking to hire someone that you will consider interviewing qualified candidates, and you will want to understand how to screen and investigate those individuals’ credentials. But before you start learning about employee selection, you-the employer- need to understand what your responsibilities will be after you make that first hires so that you will not be caught off guard by payroll and taxes.
IRS and Your Small Business
There are a few key steps as laid out by the Small Business Administration, SBA. Remember that prior to hiring someone, you will need an employment identification number, EIN. Employer Identification Numbers are for tax administration. This can be done through the IRS by determining your eligibility, reviewing the application and submitting it. As an employer, the IRS states that you are responsible to keep records of employment taxes for at least four years. The Employer’s Tax Guide provides information on each type of withholding taxes you need for your business at the federal level. Scroll to Texas on the SBA website for information about applicable state and local taxes.
Learning the Process
If you are already feeling a little overwhelmed visit this small business guide with links to federal income tax forms required by federal agencies, and an example of an employer payroll costs as it applies to the state of Washington. Also visit the City of Dallas Office of Economic Development website for resources about starting a business as well as local and state taxes that will affect your Dallas small business.
Check Out our Resources
Looking for something to get your hands on? The Dallas Public Library has reference materials available for check out from the Sammons Small Business Center about federal employment laws, hiring guides for small businesses and state specific legal handbooks.