The Electronic Federal Tax Payment System (EFTPS) enables you to make federal tax payments for clients electronically – 24 hours a day, 7 days a week. Funds move electronically from the taxpayer’s account to the federal government’s account and the taxpayer’s IRS records are automatically updated for each payment. You can even make these payments for multiple clients at a time, improving efficiency and allowing you more time to focus on revenue-generating tasks. Here’s how to set up your firm to use EFTPS:
Register as a Batch Filer
First, download and install the batch provider software from EFTPS.gov. You’ll need this software to transmit client enrollment and payment files. The software will guide you through the Batch filer registration process.
Once the batch filer registration process is complete, you’ll receive EFTPS Batch Filer ID and Master Inquiry PIN numbers to use when creating enrollment and payment files. To download the software, go to EFTPS.gov. Select Help & Information, then select Downloads > Software from the menu on the left.
Get Authorization from Your Clients
Since you’ll be entering and submitting payments on behalf of your clients, you’ll need to get authorization from each client before you submit their EFTPS enrollment information. This requires sending form 8655 (IRS Reporting Agent Authorization) to the IRS for each client. For more information on processing form 8655 from within Accounting CS, see Getting started with EFTPS in our Help & How-To Center. (As an alternative, you can download the form from the IRS website.
Enroll Your Clients
You only need to enroll each client once.
- In Accounting CS, choose Actions > Enroll > EFTPS.
- Click the Setup button at the bottom of the screen, enter your firm’s nine-digit Batch Filer ID and four-digit Master Inquiry PIN, and then click OK.
- Verify that the Add Clients option is marked at the top of the screen. The grid lists all clients that have not yet been enrolled to use EFTPS. Accounting CS assumes that all clients without a taxpayer PIN are not enrolled.
- Mark the checkboxes next to the appropriate client names and click the Create Files button. Accounting CS creates a single enrollment file for all selected clients.
Note: Enrollment files are stored in the file location specified at the bottom of the screen. You can modify the location by choosing Setup > File Locations, clicking the File Creation tab, and modifying the location in the EFTPS field.
- After creating the enrollment file, transmit it using the EFTPS Batch Provider software that you downloaded when you registered as a batch filer.
- After receiving the enrollment confirmation for your clients, choose Setup > Vendors.
- In the Vendors screen, locate the 940 and/or 941/943/945 vendor and click Edit. In the Payment Preferences section in the Main tab, select EFTPS as the payment method and enter the client’s EFTPS PIN number. Repeat this step for each client.
Create Your EFTPS Payment Files
- Print the liabilities from the Payroll Liabilities tab of the File > Print Checks screen.
- Choose Actions > Process EFTPS. All files awaiting EFTPS file creation for all clients are listed in the grid.
- Mark the checkboxes for the transactions to include in the EFTPS file.
Note: Accounting CS will create a single payment file for all selected transactions. To create a separate payment file for each client, mark only the checkboxes for a single client prior to creating the file.
- Click the Create Files button.
Note: Payment files are stored in the file location specified at the bottom of the screen. You can modify this file location by choosing Setup > File Locations.
- If necessary, click the Manage Files button to preview or recreate the file.
- Once you’ve created the payment files, transmit them using the EFTPS Batch Provider software.