New York State ACH Debit Block ID Changes

For those of you using the New York State electronic payment system, there is an update you need to be aware of. Effective June 25, 2015, The New York State Department of Taxation and Finance will convert to a new bank to receive electronic payment of taxes. This will require changes to the New York State (Company) ID and name for debit blocks. If this applies to you, the debit blocks for New York State on your bank account must be changed. If this is not completed, your New York State electronic payments such as employee withholding, individual/corporate income tax, and NY IT-204-LL filing fee payments could be rejected and penalties and interest may be assessed.

If you authorize the NYS Tax Department to deduct payments from a bank account, these are the steps you should take to change the debit block information on your bank accounts:

• Contact your bank to add the new company IDs and names to the bank account. DO NOT REMOVE THE OLD COMPANY ID.

• Add the new information for each type of payment you make. Each payment type, including unemployment insurance, has its own NYS company ID and name.

You must do this by June 25, 2015 for future payments to be successful.

Click here for a comprehensive list of the NYS ACH Debit Block Information for Tax Payment Type; Existing Company ID and Name; and New Company ID and Name.

Anchin will issue further guidance on this issue as it becomes available. To discuss how these changes may affect you or your business, contact Barry Weisman, Partner in Anchin’s Tax Department at 212.840.3456, or your Anchin Relationship Partner.