Some examples include Form 941 (sp), Form 944 (sp), Form SS-4 (sp), Form W-4 (sp), and Form W-9 (sp). Although these instructions don’t reference Spanish-language forms and instructions in each instance that one is available, you can see Pub. 15 (sp) and go to IRS.gov to determine if a Spanish-language version is available. The COVID-19 related credit for qualified sick and family leave wages is limited to leave taken after March 31, 2020, and before October 1, 2021, and may no longer be claimed on Form 941. Social security and Medicare taxes apply to the wages of household workers you pay $2,700 or more in cash wages in 2024.

Where Should You File?

• Since filling out Form 941 can be time-consuming and confusing, let’s go through each section and cover what you need to do.
• You must fill out Part 3 if your business has closed, you have stopped paying wages or you are a seasonal employer that does not file quarterly.
• Enter amounts on line 2 that would also be included in box 1 of your employees’ Forms W-2.
• To tell the IRS that a particular Form 941 is your final return, check the box on line 17 and enter the final date you paid wages in the space provided.
• If you file Form 941 electronically, you can e-file and use EFW to pay the balance due in a single step using tax preparation software or through a tax professional.

Check the box on the right-hand fillable form 941 side of the form that corresponds to the quarter you are reporting. In this article, we’ll break down everything you need to know about Form 941. From tax filing deadlines to best practices, we’ll help you keep your business compliant, avoid costly penalties, and ensure accurate tax payments. You can e-file employment tax returns Form 940, Form 941, Form 943, Form 944, and Form 945. You can also e-file corrected employment tax returns Form 941-X, Form 943-X, and Form 945-X. The Form 940 e-file program allows you to electronically file an amended Form 940.

Part 3: Tell Us About Your Business

See the General Instructions for Forms W-2 and W-3 for information on how to report the uncollected employee share of social security and Medicare taxes on tips and group-term life insurance on Form W-2. For the IRS mailing address to use if you’re using a PDS, go to IRS.gov/PDSstreetAddresses. Select the mailing address listed on the webpage that is in the same state as the address to which you would mail returns filed without a payment, as shown next. If you fail to submit a deposit transaction on EFTPS by 8 p.m.

Qualified Small Business Payroll Tax Credit for Increasing Research Activities

The Inflation Reduction Act of 2022 (the IRA) increases the election amount to $500,000 for tax years beginning after December 31, 2022. The payroll tax credit election must be made on or before the due date of the originally filed income tax return (including extensions). The portion of the credit used against payroll taxes is allowed in the first calendar quarter beginning after the date that the qualified small business filed its income tax return. The election and determination of the credit amount that will be used against the employer’s payroll taxes are made on Form 6765, Credit for Increasing Research Activities.

• For an EFTPS deposit to be on time, you must submit the deposit by 8 p.m.
• Form 941 is due on the last day of the month that follows the end of the quarter.
• For example, they must run payroll, file payroll taxes and submit several payroll forms, including Form 941, to the IRS.
• The easiest way to remember these dates is to note that filing deadlines always fall on the last day of the month following the end of each quarter.
• Be sure to include their complete name and telephone number.

Privacy Act and Paperwork Reduction Act Notice.

Seasonal employers are not required to file Form 941 for quarters in which they did not pay any employee wages. However, checking the “Seasonal employer” box on line 18 ensures the IRS is aware of your seasonal status, helping you avoid unnecessary notices about missing returns. Enter all reported employee tips in column 1, even if you were unable to withhold employee taxes for them.

We need it to ensure that you’re complying with these laws and to allow us to figure and collect the right amount of tax. Section 6011 requires you to provide the requested information if the tax is applicable to you. Section 6109 requires you to provide your identification number. You’re not required to provide the information requested on a form that is subject to the Paperwork Reduction Act unless the form displays a valid OMB control number.

Enter the qualified small business payroll tax credit for increasing research activities. If applicable, account for the additional 0.9% on line 5d by multiplying taxable wages and tips subject to additional Medicare tax withholding by 0.009. IRS Form 941, Employer’s Quarterly Federal Tax Return, reports payroll taxes and employee wages to the IRS. Form 941 reports federal income and FICA taxes each quarter.

You can face failure-to-file penalties of 5% of the return’s unpaid tax for each month or partial month that a tax return is late, with a maximum of 25% of the tax due. To avoid such fees, be sure to mark the filing deadlines on your calendar or set reminders in your payroll software to keep the form top-of-mind. The due date to file Form 941 is the same for all employers, regardless of whether you are a monthly or semiweekly depositor of FICA taxes. Form 941 is due on the last day of the month that follows the end of the quarter. If the due date falls on a weekend or holiday, the due date is the next business day. Anyone who runs a business and hires employees takes on new responsibilities for managing their staff.