News & Resources


New York ECET Sample Notice for Employees

BY: Lia Coniglio, Esq. | 11/27/19

The New York Department of Taxation and Finance (DTF) has a sample notice that employers electing to participate in the Employer Compensation Expense Tax (ECET) Program may use to communicate to their covered employees. The deadline for employers to opt-in to the ECET Program for 2020 is December 1, 2019 [DTF, Email, 11-21-19].

Employers that enroll for 2020 can use the sample notice to let covered employees know where to find the amount of wages and compensation needed to compute the ECET wage credit. Employers may also create their own statement to communicate the relevant information to their covered employees.

The employer-paid ECET was enacted in 2018 in response to federal tax reform. The ECET rate for tax year 2020 is 3%. The DTF has more information about the ECET on its website.

Interested in more state and local payroll coverage? APA’s PayState Update eNewsletter is perfect for you.

Lia Coniglio, Esq., is Managing Editor of PayState Update and Manager of State Payroll Information Resources for the APA