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May 21, 2026
Question

QBO Auto Payroll Taxes & State Unemployment

  • May 21, 2026
  • 0 replies
  • 17 views

With Quickbooks online now requiring automatic payroll taxes, how will state unemployment permits be supported? Iowa Workforce Development (IA Unemployment) requires wages to be paid prior to a permit being established. If QBO is requiring fully automated payroll taxes to be set up prior to payroll being processed, this creates a major impasse for all new payroll clients. Further, if there is a workaround being established, QBO tends to take an average of 4-6 weeks before accepting the roles assigned from Iowa via the POA, even if the roles are manually updated to QBO and verification is provided from both Iowa and Iowa Workforce Development's website. It is not feasible to notify a client that we can onboard them for payroll services, but will not be able to start services for over a month due to QBO's processing times.