Arkansas Withholding Tax

What is Arkansas Withholding Tax?

Withholding tax is the amount of employee’s pay withheld by the employer and sent directly to the government as partial payment of state income tax.  The amount of withholding tax depends on employee’s income.  The Arkansas state income tax is between 0.9%-6.9%. Therefore, the withholding tax should be similar to the state income tax range.

Employees do not need to take any action.  The employers/businesses will need to deduct the withholding tax from employee’s paycheck and submit and file the withholding tax to Arkansas Dept of Revenue.

How much is Arkansas Withholding Tax?

Since Arkansas withholding tax withheld is used to pay for employee’s Arkansas state income tax, the withholding tax should correlate with state income tax bracket.  The Arkansas state income tax rate ranges from 0.9% to 6.9%.  The withholding tax should be within the state income tax rate range.

State Year  State Income Tax Rate Withholding Tax Rate
Arkansas 2015 0.9%-6.9% 0.9% to 6.9%

How to File Arkansas Withholding Tax?

Employees do not need to do anything.

Employers/Businesses need to register withholding tax account with Arkansas Department of Revenue.  Depending the size of the company, every three months, the employers have to file a quarterly withholding reports and submit withholding tax to the Department of Revenue.  Most small businesses need to file quarterly while larger businesses need to file more frequently.

Arkansas Withholding Tax Forms

Form Number Form Description
Form AR4EC  Withholding Certificate
Form AR-941  Withholding Tax Return
Form AR-1R Withholding Tax Registration
Arkansas Withholding Tax Forms

How to Register for Arkansas Withholding Tax?

Businesses with employees will need to register for Arkansas Withholding account. The easiest and fastest way to register for Withholding tax is online.

Click here to register for Arkansas Withholding Tax.

When to File and Deadlines for Arkansas Withholding Tax Return

Generally, Arkansas Withholding Tax returns have to be filed every three months, ending on March 31 (Q1), June 30 (Q2), September 30 (Q3) and December 31 (Q4). Typically, the deadline to mail Arkansas Withholding Tax return is the last day of the following month.

Quarter Months Deadline
Q1 January - March April 30
Q2 April - June July 31
Q3 July - September October 31
Q4 October - December January 31

Arkansas AR Withholding Tax Contacts and Address:

For more information or help on Arkansas Withholding Tax, please use the contact information below

Website Arkansas Dept of Revenue
Telephone 501-682-7290
Address Arkansas Department of Finance
1509 West 7th Street
Little Rock AR 72201

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