QB Online will not allow me to enter a Texas unemployment state tax rate of 6.25%. It errors out and states it can only be as high as 6.23%

Hello there, BusyBee75.

I'll provide insights on how the unemployment tax rate works in QuickBooks Online. I've also got steps to help you ensure you can update the rate efficiently.

Please know that QuickBooks will automatically update the new unemployment state tax rate if there are anything changes in your state. Then, this will usually happen effectively in January 2024. Since you can't change the current year's rate, I recommend sending your notice to QuickBooks to help you update your account.

Here's how:

1. Handwrite your Federal Employer Identification Number (EIN) on the first page of your tax notice. If you have more than one notice of discrepancy, send each one separately.
2. Upload your notice by going to Taxes, then select Payroll tax.
3. Select Resources.
4. Select Tax Notice.
5. Follow the on-screen steps to send your notice to us.

Once done, you can refer to this article to see additional steps to be taken to finish the process: Send in your payroll tax notice. It also contains the steps to check the status of your notices and common questions about sending notices to QuickBooks.

In case you need steps on how to authorize QuickBooks as your payroll agent with the state so we can pay and file unemployment taxes on your behalf and update your rate, you can read this article: Authorize QuickBooks as your Texas unemployment Third Party Agent.

Let me know if you have further questions about updating the unemployment tax rate in QuickBooks Online. I'm always here to help, BusyBee75. Have a great day.