📝 Overview
IRS Form 8655, also known as the Reporting Agent Authorization, is a required form you complete during payroll onboarding. It authorizes DaySmart Payroll to file tax forms and make tax deposits with the IRS on your behalf.
🔑 What Is Form 8655?
Form 8655 is an IRS document that officially designates a third party, in this case DaySmart Payroll, as your reporting agent. A reporting agent is authorized to perform tax-related functions on your behalf, including:
Filing payroll tax forms electronically with the IRS
Making tax deposits on your behalf
Communicating with the IRS regarding your payroll taxes
⚠️ If Form 8655 is not completed before payroll begins, you will be responsible for managing all tax filings and deposits with the IRS on your own.
📝 What Information Is on the Form?
Form 8655 collects basic identifying information about both you and DaySmart Payroll. You will need to provide:
Your business name and address
Your Taxpayer Identification Number (TIN) or Employer Identification Number (EIN)
DaySmart Payroll's information, including their name, address, EIN, electronic filing ID, and transmittal number, is also included on the form. The form specifies which tax forms will be e-filed on your behalf.
🛠️ When Do You Complete It?
Completing Form 8655 is one of the required tasks during your employer onboarding. You will encounter it as part of the onboarding checklist before your first payroll runs. The form is straightforward and must be signed before payroll processing can begin.
❓ Frequently Asked Questions (FAQs)
Find answers to common questions or additional details that may not be covered in the main instructions.
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Why is Form 8655 required?
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The IRS requires this authorization before a third party can file tax forms or make deposits on your behalf. Without it, DaySmart Payroll cannot submit your payroll tax filings electronically, which means you would need to handle all IRS interactions yourself.
Is Form 8655 the same as a power of attorney?
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Not exactly. You may hear it referred to as a power of attorney or a designation of reporting agent, and while the purpose is similar, Form 8655 is specifically for designating a payroll company as your reporting agent for electronic tax filings. It does not grant broad legal authority the way a traditional power of attorney document does.
What happens if I do not complete Form 8655?
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If the form is not filed, your business will need to manage all federal tax filings and deposits independently. This includes submitting forms like the 941 quarterly return and making tax deposits on the IRS-required schedule. Completing the form during onboarding ensures a smooth handoff of these responsibilities to DaySmart Payroll.
Do I need to do anything after signing the form?
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No additional action is needed on your end after signing. DaySmart Payroll handles the submission of Form 8655 to the IRS as part of the onboarding process.