The NCUI 604 Employer Status Report is the form North Carolina businesses file with the Division of Employment Security (DES) to register as an employer and let the state determine whether they owe unemployment insurance taxes. You complete about 25 numbered fields covering business identification, ownership, and payroll history, then submit the form online through NCSUITS or by mail to DES in Raleigh. DES reviews the report, assigns a liability date and account number if you meet the coverage thresholds, and mails you a determination letter.
Who Has to File
Every business that hires workers in North Carolina submits the NCUI 604 so DES can check whether it crosses the coverage thresholds set by state law. Those thresholds vary by employer type.1North Carolina Division of Employment Security. Am I Required to Pay Taxes?
- General business: at least $1,500 in wages during any calendar quarter, or at least one worker in 20 different weeks in a calendar year.
- Domestic (household) employer: $1,000 or more in a calendar quarter for services in a private home, college club, or fraternity or sorority house.
- Agricultural employer: $20,000 or more in gross wages in any calendar quarter, or 10 or more workers in 20 different weeks in a calendar year.
- 501(c)(3) nonprofit: four or more workers in 20 different weeks in a calendar year, with at least one worker in North Carolina.
- Government entity: covered regardless of payroll size.
If you don’t meet any threshold, the form still lets you request voluntary coverage for your employees.
What to Gather Before You Start
Collect these items first. Missing data stalls the process because DES needs a complete file to assign an account number.2North Carolina Department of Commerce. NCUI 604 Employer Status Report
- Federal Employer Identification Number (FEIN), the nine-digit number the IRS assigned to your business.
- NC Department of Revenue withholding ID, if you already have one.
- Your legal entity name exactly as registered with the NC Secretary of State. Any trade name or DBA is reported separately.
- The physical NC street address where you operate, with the county. P.O. Boxes are not accepted for this field.
- The specific month, day, and year you first employed a worker in North Carolina. This is not the date the business was formed.
- Quarterly payroll totals showing when you first hit, or expect to hit, the liability threshold that matches your employer type.
- Ownership documentation: limited partnerships attach a list of general partners; nonprofits attach the IRS 501(c)(3) determination letter.
If you acquired an existing business, you also need the previous owner’s NC unemployment tax account number, the acquisition date, and the predecessor’s payroll records. DES uses that history to link the accounts, which affects the tax rate you inherit.
Working Through the Form
The NCUI 604 is organized in four blocks: business identification, ownership and activity, liability determination, and predecessor details.2North Carolina Department of Commerce. NCUI 604 Employer Status Report
Business Identification (Fields 1–10)
Field 1 takes your FEIN. Field 2 takes your NC withholding ID. Field 3 asks for any previously assigned NC unemployment tax account number; leave it blank if this is your first registration. Field 4 is your legal entity name; Field 5 is your trade name. Fields 6 through 9 cover your mailing address, phone and fax, and a contact person with title, phone, and email. Field 10 asks for the physical NC business address, the county, and the number of employees you expect to have over the next 12 months.
Ownership Type and Activity (Fields 11–13)
Field 11 is a checkbox list: individual, S corporation, C corporation, LLC (taxed as individual, partnership, or corporation), general partnership, limited partnership, 501(c)(3) nonprofit, governmental entity, Indian tribal government, or disregarded entity. Match your actual tax classification. An LLC taxed as a corporation checks a different box than an LLC taxed as a partnership. Field 12 asks you to describe the main activity or service your NC operation performs. Field 13 applies only if your location is a support unit (headquarters, warehouse, research facility) for a larger organization.
Liability Determination (Fields 14–22)
This is where DES decides whether you owe state UI taxes. Field 14 asks the date you first employed a worker in North Carolina. Fields 15 through 20 then route you to the section matching your employer type:
- Field 15 (general employers): two yes-or-no questions covering the $1,500 quarterly payroll and the one-worker-in-20-weeks tests. If yes to either, enter the date the condition occurred or will occur.
- Field 16: whether you are an employee leasing company.
- Field 17 (agricultural employers): the $20,000 quarterly payroll and 10-workers-in-20-weeks tests.
- Field 18 (domestic employers): the $1,000 quarterly household-services test.
- Field 19 (nonprofits): the four-workers-in-20-weeks test. Attach the IRS 501(c)(3) letter.
- Field 20 (government): federal, state, local, or other government entity.
Field 21 offers voluntary coverage if none of the mandatory thresholds apply. Field 22 asks whether you have ever paid Federal Unemployment Tax (FUTA) and, if so, for which years; DES cross-references this against your federal filing history.
The dates in this block matter more than any other data on the form. Your liability date is set by when you first met a coverage threshold, and that date determines which quarter your tax obligations begin. Check every date against your payroll records before you submit.
Predecessor and Acquisition Details (Fields 23+)
If you acquired an existing business, the remaining fields collect the previous owner’s name, address, UI tax account number, acquisition date, and the nature of the transaction. DES often transfers the predecessor’s experience rating to the successor, which directly affects your starting rate. Skip these fields if you launched a brand-new operation with no predecessor.
How to Submit the Form
You can file online or on paper.
Online Through NCSUITS
The North Carolina State Unemployment Insurance Tax System (NCSUITS) is the DES self-service portal for UI tax accounts.3North Carolina Division of Employment Security. North Carolina State Unemployment Insurance Tax System To register without an existing account number, go to the DES employer account page and select “Create an Online Account.” Choose the option for a business that does not yet have an Employer ID Number, complete the required fields, and watch for the activation email. After activation, follow the prompts to enter the same information the paper NCUI 604 asks for.4North Carolina Division of Employment Security. Create or Update an Employer Account Electronic submission gives you immediate confirmation that DES received your data.
By Mail
Download the form from the DES website, fill it out, and mail it to:
NC Department of Commerce
Division of Employment Security
Post Office Box 26504
Raleigh, NC 27611-65042North Carolina Department of Commerce. NCUI 604 Employer Status Report
Paper filings take longer because DES staff must open, sort, and key the data. If you can use NCSUITS, it is the faster route.
After You Submit
DES reviews your report and mails a determination letter that includes your liability date and assigned tax rate.4North Carolina Division of Employment Security. Create or Update an Employer Account If your report shows you meet a coverage threshold, DES assigns you a North Carolina UI tax account number. You will use that number on every quarterly report going forward.
New employers start at a standard beginning rate of 1.00%. For 2026, the beginning rate remains 1.00%, unchanged since at least 2021.5North Carolina Division of Employment Security. Tax Rate Information You pay that rate on the first $34,200 of each employee’s annual wages, and you keep the introductory rate until your account has been chargeable with benefits for at least 12 calendar months, which in practice means reporting wages for four completed quarters spanning at least parts of two consecutive calendar years.6North Carolina General Assembly. North Carolina Code 96-9.2 – Contribution Rates
Once you have an account number, you file a quarterly tax and wage report and remit contributions by the last day of the month following each calendar quarter: January 31, April 30, July 31, and October 31. If the amount due is less than $5.00, no payment is required for that quarter. Employers reporting wages for 10 or more employees must file the wage-detail portion electronically.7North Carolina General Assembly. North Carolina Code 96-9.15 – Report and Payment You file those reports through the same NCSUITS portal.8North Carolina Department of Commerce. File, Adjust or Review Quarterly Tax and Wage Report
Get Worker Classification Right Before You File
The NCUI 604 only counts people who are actually your employees, not independent contractors. Misclassifying an employee as a contractor means you underreport your workforce on the form and may skip a UI tax obligation you actually owe. Reclassifying workers later creates back-tax liability and penalties, so settle any borderline cases before you submit.
The IRS evaluates worker status using three categories of evidence: behavioral control (whether you direct how the work gets done), financial control (control over expenses, tools, and payment method), and the type of relationship (contracts, benefits, permanence). No single factor decides it; the IRS looks at the full picture.9Internal Revenue Service. Independent Contractor (Self-Employed) or Employee?
North Carolina law separately excludes certain workers from the definition of “employment” for UI purposes: independent contractors, licensed real estate brokers compensated solely by commission, securities salespersons paid solely by commission, and direct sellers, provided the statutory conditions are met.10North Carolina General Assembly. North Carolina Code 96-1 – Title and Definitions If a worker’s status is unclear, resolve it before you enter payroll figures on the form.