The District of Columbia has issued a guide on electronic funds transfers (EFT). EFT is the transfer of funds from an employer’s bank account to the District of Columbia (DC) Office of Tax and Revenue’s (OTR’s) bank account. The National Automated Clearing House Association (NACHA) is the organization that sets the standards for transfer of funds between participating financial institutions. The term “ACH” refers to “automated clearinghouse.” There are four methods of EFT payments: (1) ACH Debit; (2) Electronic check (e-check); (3) ACH Credit; and (4) Credit Card. ACH Debit, e-check and credit card require the business taxpayer to be registered as an electronic taxpayer service center (eTSC) participant. The DC eTSC registration requires a 1 to 3 business-day turnaround; therefore, taxpayers should pre-register early prior to the date taxes are due. Permission to access to the eTSC is not same-day, as requests for processing requires overnight at a minimum. The Business Tax Registration (FR-500) does not register users for use of the eTSC. Users must print and email the eTSC registration to ETSCAccount@dc.gov or fax to (202) 442-6388. (Government of the District of Columbia, Office of the Chief Financial Officer, Office of Tax and Revenue, 2015 Electronic Funds Transfer (EFT) Payment Guide, February 2015.)
For more information on this and other topics, consult the Visit our News Library.