2025 Arkansas Taxes
Employee Withholding Requirements
Withholding Method
: FormulaStandard deduction
: $2,410 for 2025Withholding allowance
: $29 for 2025- Requires rounding to the nearest dollar per the Withholding Tax Formula Method
Supplemental Wage / Bonus Rate
: 3.9% for 2025- 0% for Texarkana residents
- Register as an employer on the Arkansas Division of Workforce Services website
Employee's Withholding Tax Exemption Certificate
: AR4EC
Arkansas State Unemployment Insurance (SUI)
Arkansas Wage Base
: $7,000 for 2025Arkansas new employer rate
: 2% for 2025- Get your unemployment insurance rate: Arkansas UI agency website
Arkansas State Disability Insurance (SDI)
- None
Arkansas Family Leave Insurance (FLI)
- None
Arkansas Local Taxes
- None
Arkansas Minimum Wage
Arkansas Minimum Wage
: $11.00 per hour, applicable to employers with 4 or more employees since 2021
Arkansas State Labor Laws
Arkansas Termination Pay
:- Employee is fired: pay within seven working days.
- Employee quits: pay next regular payday
Arkansas New Hire Reporting
- Arkansas New Hire Reporting Center
PO Box 2540
Little Rock, AR 72203 - Phone: 800-259-2095
- Fax: 501-376-2682
Remit Withholding for Child Support to
- Department of Finance and Administration
Division of Revenue
Child Support Enforcement Unit
PO Box 8125
Little Rock, AR 72203 - Phone: 800-216-0224
- Fax: 501-683-7954
Arkansas Reciprocal States
- None
These free resources should not be taken as tax or legal advice. Content provided is intended as general information. Tax regulations and laws change and the impact of laws can vary. Consult a tax advisor, CPA or lawyer for guidance on your specific situation.
