7shifts Payroll: Prohibited and Restricted Businesses

Within the regulatory framework we operate in, there are specific business types and products that we are unable to accommodate on our platform.

In addition to our Terms of Service, this article provides insights into the industries, company categories, and jurisdictions that 7shifts Payroll currently does not support due to legal constraints. 

Industries

These are industries that 7shifts Payroll does not support based on legal restrictions:

• Gambling, such as physical locations, online gaming, lottery, games of chance, fantasy sports leagues, etc.
• Marijuana sales or dispensaries
• Sale of guns and ammunition
• Sale of flammable and combustible substances
• Drug paraphernalia used to produce or consume controlled substances, including bongs or glass pipes commonly used to consume marijuana
• Adult entertainment business which either directly or indirectly provides sex-related services
• Virtual currency (such as Bitcoin) and related services
• Sales, distribution, or access to counterfeit music, movies, software, or other licensed materials without the appropriate authorization from the rights holder
• Shell banks
• Bearer share companies (and Employers operating as such), except for those that are publicly traded on a recognized exchange

Company & Employee Types

These are company and employee types that 7shifts Payroll does not currently support but may expand to support in the future.

Type of Employees:

• Household employees and employers (Domestic Payroll).
• Railroad employees.
• H-2B visa workers.
• H-2A visa workers (Only supported in California, Florida, and Georgia).
• Agricultural workers (Supported in California, Florida, and Georgia).
• Government entities and federal contractors.
• Professional employer organizations (PEOs).
• Tax withholding for contractors (commonly referred to as backup withholding).
• Courtesy withholding.
• SIMPLE IRA nonelective employer contributions.

Types of Companies:

• Special taxation for American Indians or individuals working on tribal reservations.
• Non-resident foreigners.
• We only support 501(c)(3) non-profit organizations established on or after January 1, 2025. We support qualifying organizations in all 50 U.S. states.
• We only support Agricultural employers in California, Florida, and Georgia (all workplaces need to be in these states).
• Government and federal contractors.
• PEOs.
• Nevada Financial Institutions.
• Companies located in Puerto Rico and the US Territories.
• Pass-through entities.

Jurisdictions

7shifts Payroll supports all 50 states + Washington D.C. The following is an additional broader set of exceptions:

• State-specific service member (or spouse) exemption forms.
• Employees or companies located in Puerto Rico.
• Employees or companies located outside the United States.

Forms and Taxes

Forms we do not support:

• Form 8027 - Tip Reporting.

Taxes we do not remit. We can support these companies, but companies must manage pay on their own:

Taxes we do not calculate. We can support these companies but companies will need to manage taxes, update pay, and paystubs for the impacted employees: