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Arkansas General Assembly· SB 503Notification that SB503 is now Act 616

An act TO AMEND THE ARKANSAS INCOME TAX WITHHOLDING 10 ACT OF 1965, the official text

Shown verbatim: the complete text as captured from the official PDF posted by the Arkansas General Assembly, fetched 2026-07-23. Page and line markers are part of the official record; nothing is edited or removed. The official bill page.
Stricken language would be deleted from and underlined language would be added to present law.

1 State of Arkansas         A Bill
2 95th General Assembly

3 Regular Session, 2025                                            SENATE BILL 503

4

5 By: Senator Crowell

6 By: Representative Eaton

7

8                           For An Act To Be Entitled

9   AN ACT TO AMEND THE ARKANSAS INCOME TAX WITHHOLDING

10  ACT OF 1965; TO REDUCE THE NUMBER OF EMPLOYEES AN

11  EMPLOYER MUST HAVE TO BE MANDATED TO FILE AN ANNUAL

12  WITHHOLDING STATEMENT ELECTRONICALLY; TO REQUIRE THE

13  ELECTRONIC FILING OF A WITHHOLDING RETURN FOR CERTAIN

14  EMPLOYERS; AND FOR OTHER PURPOSES.

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16

17                          Subtitle

18                       TO REDUCE THE NUMBER OF EMPLOYEES AN

19                       EMPLOYER MUST HAVE TO BE MANDATED TO

20                       FILE AN ANNUAL INCOME TAX WITHHOLDING

21                       STATEMENT ELECTRONICALLY; AND TO REQUIRE

22                       THE ELECTRONIC FILING OF A WITHHOLDING

23                       RETURN FOR CERTAIN EMPLOYERS.

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25 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF ARKANSAS:

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27  SECTION 1. Arkansas Code � 26-51-908, concerning an employer's

28 withholding return and payment of withheld taxes, is amended to add an

29 additional subsection to read as follows:

30  (i)(1) An employer that is required to file the annual statement of

31 withholding under � 26-51-909(b) electronically shall file the withholding

32 return required under this section electronically.

33  (2) A company or other business enterprise that provides the

34 service of reporting and remitting withholding tax on the wages paid to

35 Arkansas employees by another employer for a withholding tax reporting period

36 shall file the withholding return required under this section with the

    *JLL317*                                                     03/18/2025 1:18:20 PM JLL317
                                                                          SB503

1 secretary electronically if the other employer is required to file the annual

2 statement of withholding under � 26-51-909(b) electronically.

3   (3) The secretary may waive the requirements of this subsection

4 if the secretary determines, on the basis of an application by an employer,

5 that filing the withholding return electronically would cause an undue

6 hardship on the employer.

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8   SECTION 2. Arkansas Code � 26-51-909(b)(2)(B), concerning the annual

9 income tax withholding statement, is amended to read as follows:

10  (B) An employer who has one hundred twenty-five (125)

11 seventy-five (75) or more employees during the employer's income year shall

12 file the statement electronically.

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14  SECTION 3. EFFECTIVE DATES.

15  (a) Section 1 of this act is effective for tax years beginning on or

16 after January 1, 2026.

17  (b) Section 2 of this act is effective for tax years beginning on or

18 after January 1, 2025.

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