Deposit and file payroll taxes electronically

Deposit your federal and state payroll taxes and file your payroll tax forms electronically.

How it works

Electronic tax payments require you to set the due date two business days prior to the payment due date. This way, we can verify if your state and federal tax payments clear before the due date. You also need to set your e-file due date two business days prior to the file due date.

The following states and forms require the due date to be five business days prior instead of two.

  • Texas SUI payment and C-3 filing: Quarterly.
  • Utah Income Tax Withholding: Monthly, quarterly, and annually.
  • New Jersey Income Tax Withholding: Monthly (weekly remains two business days).

Before you start

Make sure you:

E-pay state and federal taxes

  1. Go to Payroll, then click Taxes & Filings.
  2. Click the tax you want to pay.

    Image of payroll taxes and name of Federal Unemployment Taxes to pay.

  3. In the Payment Method list, select Electronic Payment.
  4. Make sure the form name, payment quarter, and due date are correct.

    (If required) Select the Payment Date Xero sends payment to the tax authority.

    This option isn't available for all state taxes.

  5. Click Pay [Total Payment Due] Electronically.

The tax payment status is Scheduled until the due date, then it changes to Paid.

E-file tax forms

  1. Go to Payroll, then click Taxes & Filings.
  2. Click the tax form you want to pay.
  3. Make sure the name, period the form applies to, and due date are correct.
  4. Click File Form.
  5. Click Confirm.

After you file, Xero saves and locks your tax filing information. If you want to add or change a pay run, you'll need to download and manually file an amended form. If you've made an overpayment to the IRS because of those changes, you'll need to refile your tax forms.

Refile payroll tax forms for an overpayment