State guide
How to Register for Arkansas Payroll Taxes
Let a dedicated tax manager file your Arkansas registrations with you, or use the step-by-step guide below.
Last updated:
At a glance
2 accounts: DFA and Reemployment
$7,000 UI wage base in 2026
2.0% new employer UI rate in 2026
New hires due within 20 days
Done for you
Arkansas accounts, filed right
Skip the paperwork. Your dedicated PayAdvisors tax manager registers you with the state and gets your tax IDs for you. In Arkansas that means a withholding account with the Department of Finance and Administration and an unemployment insurance account with the Arkansas Division of Reemployment.
- One tax manager who owns your file
- DFA and Reemployment registrations filed with you
- New hire reporting set up for the 20-day rule
- Account numbers confirmed before payroll
Hands-on help from a real person who knows Arkansas employer accounts. Use it alone or with managed payroll.
Quick answer
Arkansas payroll tax registration at a glance
Arkansas employers usually open two accounts. The Department of Finance and Administration (DFA) handles income tax withholding, and you register with Form AR-1R, the Combined Business Tax Registration, or online through the Arkansas Taxpayer Access Point (ATAP). The Arkansas Division of Reemployment, part of the Arkansas Department of Commerce, handles unemployment insurance, and you register online in Tax21.
In 2026, unemployment tax applies to the first $7,000 of each employee's wages. New employers pay 2.0%: a 1.8% base rate plus a 0.2% administrative assessment. New hires are reported to the Division of Reemployment within 20 calendar days.
Who must register
Who registers in Arkansas
Most employers need both accounts.
| Situation | Arkansas requirement |
|---|---|
| You withhold Arkansas income tax from wages | Register with the DFA Withholding Tax Section |
| Your employees work in Arkansas | Wages for services performed in Arkansas are subject to withholding |
| You employ one or more workers for some part of 10 or more days in a year | You are an employer for Arkansas unemployment tax |
| You pay wages in Arkansas | Register and report with the Division of Reemployment |
| You hire or rehire employees | Report them to the State New Hire Registry |
| You have three or more employees | Most employers must carry workers' compensation |
Registration steps
How to register in Arkansas
Two registrations, then new hire reporting.
- Get your federal EIN from the IRS. Use one EIN per business.
- Register for withholding with DFA by filing Form AR-1R, or register and manage the account online in ATAP.
- Register with the Division of Reemployment online in the Tax21 Employer Services Portal. Have your FEIN, officer details, nature of business and first date of paid wages ready.
- Collect Form AR4EC from each new employee to set their withholding exemptions.
- Report each new hire within 20 calendar days through Tax21.
- Start filing as a monthly filer. Every new DFA registration starts monthly until DFA tells you otherwise.
More than withholding
Withholding, UI and new hires
Arkansas runs withholding and unemployment through two departments.
On your own
- Separate DFA and Tax21 sign-ups
- Monthly vouchers, even in zero months
- A 20-day new hire deadline
With your PayAdvisors tax manager
- Your tax manager files both with you
- You get one calendar for every filing
- We set up reporting from day one
Handled by your tax manager.
Prepare
What to collect first
Have these ready before you apply.
- Your federal EIN
- Your legal name, trade name and type of ownership
- Officer names and Social Security numbers
- Your nature of business and first date of paid wages in Arkansas
- Form AR4EC from each new employee
Accounts
What you end up with
Two accounts, two numbers.
- A DFA withholding Account ID for monthly AR941M vouchers and the year-end AR3MAR reconciliation. DFA mails preprinted payment vouchers once the account is set up.
- A Division of Reemployment account in Tax21 for quarterly contribution and wage reports and new hire reports.
Rates
Arkansas 2026 payroll tax numbers
Figures published for 2026.
| Item | Figure |
|---|---|
| UI taxable wage base | First $7,000 per employee (2026) |
| New employer UI rate | 2.0% (1.8% base rate plus 0.2% administrative assessment) (2026) |
| Experienced UI rate range | 0.2% to 10.1% (2026) |
| Electronic withholding payments | Required if you average $20,000 or more a month |
Pitfalls
Arkansas mistakes to avoid
Most problems come from missed vouchers and dates.
- Skipping zero vouchers. Monthly filers file a zero payment voucher for any month with no tax withheld.
- Missing the AR3MAR. Monthly filers reconcile the year on Form AR3MAR by February 28.
- Reporting new hires late. The Division of Reemployment wants them within 20 calendar days.
- Filing UI reports on paper. Paper is allowed only with fewer than five employees to report for the quarter.
- Using another business's EIN. If you took over a business, don't use the prior owner's EIN.
Related duties
Other Arkansas employer obligations
These run alongside the tax accounts.
- New hire reporting. Report new and returning employees to the State New Hire Registry, run by the Division of Reemployment, within 20 calendar days of hire through Tax21. The registry helps locate parents who owe child support.
- Workers' compensation. Most employers with three or more employees must carry it, and some with fewer must too. Employers pay for it; it can't be deducted from employee pay. Covered employers display Form P.
- Year-end forms. Give employees their W-2s by January 31 and file the state copies with Form ARW3.
Filing calendar
Arkansas deadlines after registration
Monthly withholding, quarterly UI.
- AR941M withholding vouchers: by the 15th of the month after each month, including zero months.
- Annual filers: if DFA reclassifies you because deposits are under $1,000, file AR941A by January 31.
- AR3MAR annual reconciliation: by February 28.
- W-2s and ARW3: to employees and DFA by January 31.
- Quarterly contribution and wage reports: due during April, July, October and January for the prior quarter, filed online.
Official links
Arkansas agency links
Official forms, rates and guidance.
- Arkansas Department of Finance and Administration: Withholding Tax Employer's Instructions
- Arkansas Department of Finance and Administration: Withholding Due Dates
- Arkansas Division of Reemployment: Unemployment Insurance for Employers
- Arkansas Division of Reemployment: Calculating Taxable Wages
- Arkansas Division of Reemployment: Register for a Tax21 Employer Account
- Arkansas Division of Reemployment: Employer Resources
- Code of Arkansas Rules: 11 CAR § 1-205 and 9 CAR § 2-1202
- Arkansas Workers' Compensation Commission: Basic Facts
Arkansas registration questions
How do I register for Arkansas payroll taxes?
Register for withholding with the Department of Finance and Administration using Form AR-1R or ATAP, and register with the Arkansas Division of Reemployment online in Tax21.
What is the Arkansas new employer unemployment rate?
For 2026 it is 2.0%, a 1.8% base rate plus a 0.2% administrative assessment, applied to the first $7,000 of each employee's wages.
How fast must I report new hires in Arkansas?
Within 20 calendar days of hire, through Tax21.
How often do I pay Arkansas withholding?
Every new account starts as a monthly filer, with AR941M due by the 15th of the next month. DFA can move small accounts to annual filing.
Who handles unemployment insurance in Arkansas now?
The Arkansas Division of Reemployment, part of the Arkansas Department of Commerce. Some older state documents still say Division of Workforce Services.
Do I need workers' compensation in Arkansas?
Most employers with three or more employees do, and there are exceptions that reach smaller employers. Check with the Workers' Compensation Commission if you have fewer than three.
I am the only employee of my S corporation. What do I need in Arkansas?
If you pay yourself wages, you need the DFA withholding account. The Division of Reemployment asks for officer details at registration and counts one or more workers on 10 or more days as an employer, so the unemployment account generally applies too. A dedicated tax manager can complete the registrations with you as part of our S corp payroll package.
How is registration priced?
Most states issue two IDs, one for withholding and one for unemployment insurance. Pricing depends on the states and accounts involved. We'll quote it on a quick consultation.
Is this tax advice?
No. It summarizes official guidance from Arkansas state agencies. Ask your CPA or tax advisor about your own facts.
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Next step
Let us set up Arkansas with you
A dedicated tax manager files your Department of Finance and Administration and Division of Reemployment registrations with you, sets up new hire reporting and confirms your accounts before your first payroll. Pricing depends on the states and accounts involved. We'll quote it on a quick consultation.
About this guide
Last verified and sources
Last verified October 30, 2026 against Arkansas state agency pages. This guide is general information, not tax or legal advice.
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Sources
- Arkansas Department of Finance and Administration (DFA), Withholding Tax Employer's Instructions, effective 01/01/2026 (revised 12/05/2025, PDF)
- DFA, Withholding Due Dates
- Arkansas Division of Reemployment (ADR), Unemployment Insurance for Employers (employer services)
- ADR, Calculating Taxable Wages (last updated October 6, 2026)
- ADR, Register for a Tax21 Employer Account
- ADR, Employer Resources
- ADR, About
- Code of Arkansas Rules, 11 CAR § 1-205, Contribution payments and reports
- Code of Arkansas Rules, 9 CAR § 2-1202, New hire reporting
- Arkansas Workers' Compensation Commission (Department of Labor and Licensing), Basic Facts
- Arkansas State Legislature, HB1430 of 2023 (Act 196, act date 3/6/2023), bill page and engrossed text