In Part 4, you’ll be asked whether you authorize a third-party designee to speak with the IRS on behalf of your business with regard to this return. A third-party designee might be your CPA, enrolled agent or tax advisor. If you are granting authorization to a third-party designee, check the “Yes” box and fill in the person’s name and phone number. Then, on lines 13a to 13i, you’ll tally your total deposits and refundable advances. If your liability is higher than the deposits you’ve already made, the form will indicate a balance due on line 14. The most complicated section of Form 941 involves lines 5a to 5d, where you calculate your taxable Social Security and Medicare wages.

Current quarter’s adjustment for sick pay.

• For information on the employment tax treatment of fringe benefits, see Pub.
• Line 1 of Form 941 indicates the number of employees you paid wages, tips, or other compensation to during the quarter.
• Jack left employment in October 2024 (after only 1 month of service).
• If no wages, tips, and other compensation on line 2 are subject to social security or Medicare tax, check the box on line 4.
• However, see the Caution under Is There a Deadline for Filing Form 941-X, later, if you’re correcting overreported tax amounts during the last 90 days of a period of limitations.
• Installment Agreement RequestUse this form to request a monthly installment plan if you cannot pay the full amount you owe shown on your tax return (or on a notice we sent you).

When reporting a negative amount in columns 3 and 4, use a minus accounting sign instead of parentheses. For example, enter “-10.59” instead of “(10.59).” However, if you’re completing the return on your computer and your software only allows you to use parentheses to report negative amounts, you may use them. You must provide all of the information requested at the top of page 1 of Form 941-X.

Credit for State Unemployment Tax Paid to a State Unemployment Fund

If you’re an agricultural employer or have few employees, consider filing Form 943 (Agricultural Employer’s Annual Federal Tax Return) or Form 944 (Employer’s Annual Federal Tax Return), respectively. Additionally, Form 945 (Annual Return of Withheld Federal Income Tax) may be required for non-payroll taxes withheld. Generally, the period of limitations for correcting the refundable portion of credit for qualified sick and family leave wages paid in the second and third quarters of 2021 expired on April 15, 2025, for most employers.

• This form also helps employers report any current quarterly adjustments to Social Security and Medicare taxes affected by sick pay, reported tips and payments for group term life insurance for employees.
• You’re a semiweekly schedule depositor if you reported more than $50,000 of employment taxes in the lookback period or accumulated a tax liability of $100,000 or more on any given day in the current or prior calendar year.
• Once you complete these calculations in lines 5a through 5d, you’ll add Column 2 from these lines and fill in the total on line 5e.
• Request for Transcript of Tax ReturnUse this form to order a transcript or other return information free of charge, or designate a third party to receive the information.
• Section 3509 rates aren’t available if you intentionally disregarded the requirements to withhold taxes from the employee, or if you withheld federal income tax but didn’t withhold social security and Medicare taxes.

Where can I access copies of filed 94x forms?

If you file by mail, your return will be tracked according to the date of postage. You get an additional 10 business days to file if you’ve paid your employment tax deposits in full and on time for the entire quarter that’s covered by the return. Federal Tax Form 941, also known as the Employer’s Quarterly Federal Tax Return, is crucial for businesses with employees. It allows you to report income taxes, Social Security tax, and Medicare tax withheld from employees’ paychecks, as well as the employer’s portion of these taxes. You must describe the events that caused the underreported or overreported amounts. Example—Nonrefundable portion of credit for qualified sick and family leave wages increased.

Addresses Without a Payment

No adjustment is reported on line 8 for sick pay that is paid through a third party as an employer’s agent. An employer’s agent bears no insurance risk and is reimbursed on a https://www.bookstime.com/articles/what-is-expense-management cost-plus-fee basis for payment of sick pay and similar amounts. The Stephen Beck, Jr., Achieving a Better Life Experience (ABLE) Act of 2014 required the IRS to establish a voluntary certification program for PEOs. In addition to reporting these taxes, employers must also make federal tax deposits on a monthly or semi-weekly basis using the Electronic Federal Tax Payment System (EFTPS).

These schedules tell you when a deposit is due after you have a payday. You may have to deposit the federal income taxes you withheld and both the employer and employee social security taxes and Medicare taxes. File your initial Form 941 for the quarter in which you first paid wages that are subject to social security and Medicare taxes or subject to federal income tax withholding. Other third-party payers that file aggregate Forms 941, such as non-certified PEOs, must complete and file Schedule R (Form 941) if they have clients that are claiming the qualified small business payroll tax credit for increasing research activities.

Generally, the period of limitations for correcting qualified health plan expenses allocable to qualified family leave wages paid in the second, third, and fourth quarters of 2020 expired on April 15, 2024, for most employers. Generally, the period of limitations for correcting qualified health plan expenses allocable to qualified family leave wages paid in the first quarter of 2021 expired on April 15, 2025, for most employers. If you’re correcting the qualified small business payroll tax credit for increasing research activities that you reported on Form 941, line 11a (line 11 for quarters beginning after December 31, 2023), enter the total corrected amount in column 1. Monthly schedule depositors and semiweekly schedule depositors must account for the qualified small business payroll tax credit for increasing research activities (line 11) when reporting their tax liabilities on line 16 or Schedule B (Form 941). The total tax liability for the quarter must equal the amount reported on line 12.

When Should Form 941 Be Filed?

Only the first $7,000 you paid to each employee in a calendar year, after subtracting any payments exempt from FUTA tax, is subject to FUTA tax. The U.S. Department of Labor determines which states are credit reduction states. If any line applies to you, check the appropriate box to tell us which type of return you’re filing. Write to the IRS office where you filed your return (using the Without a payment address under Where Do You File, earlier) to notify the IRS of any name change.

For the latest information about developments related to Schedule B and its instructions, such as legislation enacted after they were published, go to IRS.gov/Form941. Then, enter the date and the best daytime telephone number, including area code, where we can reach where to mail form 941 2023 you if we have any questions. To figure your total FUTA tax before adjustments, multiply line 7 by 0.006 and then enter the result on line 8. If you pay a tax preparer to fill out Form 940, make sure the preparer shows your business name exactly as it appeared when you applied for your EIN.