Arkansas Payroll Taxes: 2026 Employer Guide
Quick Facts
Key payroll tax details at a glance.
State Income Tax
Progressive (up to 3.90%)
SUI New Employer Rate
Varies by industry
SUI Wage Base
$7,000 per employee
SUI Rate Range
0.2% to 5.1%
Employee SUI Contribution
No
Local Taxes
No
Overview: Arkansas Payroll Landscape
Arkansas keeps payroll relatively simple with a two-bracket income tax, no local payroll taxes, and a wage base that matches the federal FUTA minimum of $7,000. The state has been on a steady path of tax reform, reducing its top income tax rate from 5.9% in 2022 to 3.9% in 2026.
This guide breaks down each of Arkansas's employer obligations: registration requirements, 2026 tax rates and wage bases, filing deadlines, and the compliance pitfalls that catch expanding startups off guard.
Arkansas State Income Tax
Withholding rates, brackets, and forms.
Tax Type
Progressive
Top Rate
3.90%
Withholding Form
AR4EC
Arkansas Unemployment Insurance (SUI)
Employer rates, wage bases, and contribution details.
New Employer Rate
Varies by industry
Wage Base
$7,000 per employee
Rate Range
0.2% to 5.1%
Employee Contribution
—
Arkansas SUI (State Unemployment Insurance) is an employer-paid tax that funds unemployment benefits for workers who lose their jobs. It is administered by the Arkansas Division of Workforce Services. Registration: Employers must register with the Arkansas Division of Workforce Services as soon as they hire their first Arkansas employee. Registration can be completed online.
Arkansas Compliance Checklist
Deadlines, filing requirements, and official resources.
Key Deadlines
Withholding deposits
Due Varies by liability
Quarterly returns (Q1)
Due April 30
Quarterly returns (Q2)
Due July 31
Quarterly returns (Q3)
Due October 31
Quarterly returns (Q4)
Due January 31
Annual reconciliation
Due February 28
W-2 state copies
Due January 31
New hire report
Due Within 20 days of start date
How Warp Handles Arkansas Payroll
Warp is the only AI-native HR & Payroll platform built for ambitious companies. Instead of clicking through clunky dashboards or Arkansas's .gov websites for taxes, Warp's AI agents open your Arkansas tax accounts, file every payroll form, and resolve every tax notice automatically.
What Warp handles for Arkansas employers:
- Arkansas tax account registration and setup
- Automated income tax withholding calculations and deposits
- SUI registration and quarterly filings
- Annual W-2 and reconciliation filing
- Tax notice resolution directly with Arkansas agencies, so you never spend hours on hold
Every Warp customer gets a dedicated Account Manager and Benefits Advisor included to guide them through payroll setup, multi-state expansion, and benefits selection. You'll never visit a government website, negotiate with tax agencies, or pay an accountant $150 per quarterly filing.
If you don't want to deal with navigating Arkansas .gov portals, check out a demo of Warp to see how we can help you stop worrying about compliance and get back to building.
Tax data last verified: March 12, 2026