The IRS 941 form is a quarterly tax return that employers in the United States use to report income taxes, Social Security tax, and Medicare tax withheld from employees' wages. This form plays a crucial role in ensuring compliance with federal tax obligations. Timely and accurate submission of the 941 form is essential for maintaining good standing with the IRS and avoiding penalties.
The IRS 941 form, also known as the Employer's Quarterly Federal Tax Return, plays a crucial role in the landscape of payroll tax reporting for businesses in the United States. Employers use this form to report income taxes withheld from employee paychecks, as well as the employer and employee portions of Social Security and Medicare taxes. This quarterly filing is essential for maintaining compliance with federal tax regulations and helps ensure that the government receives the necessary funds to support social programs. Each quarter, employers must accurately calculate their tax liabilities, which involves not only reporting wages and tips but also reconciling any adjustments made throughout the year. Additionally, the form includes sections for claiming tax credits, such as the Employee Retention Credit, which can significantly impact a business's financial responsibilities. Understanding the requirements and deadlines associated with Form 941 is vital for employers, as failure to file accurately and on time can lead to penalties and interest charges, further complicating their tax obligations.
Form 941 for 2023:
Employer’s QUARTERLY Federal Tax Return
950122
(Rev. March 2023)
Department of the Treasury — Internal Revenue Service
OMB No. 1545-0029
Employer identification number (EIN)
—
Name (not your trade name)
Trade name (if any)
Address
Number
Street
Suite or room number
City
State
ZIP code
Foreign country name
Foreign province/county
Foreign postal code
Report for this Quarter of 2023
(Check one.)
1: January, February, March
2: April, May, June
3: July, August, September
4: October, November, December
Go to www.irs.gov/Form941 for instructions and the latest information.
Read the separate instructions before you complete Form 941. Type or print within the boxes.
Part 1: Answer these questions for this quarter.
1
Number of employees who received wages, tips, or other compensation for the pay period
including: Mar. 12 (Quarter 1), June 12 (Quarter 2), Sept. 12 (Quarter 3), or Dec. 12 (Quarter 4) 1
2
Wages, tips, and other compensation
.
3
Federal income tax withheld from wages, tips, and other compensation
4
If no wages, tips, and other compensation are subject to social security or Medicare tax
Column 1
Column 2.
5a
Taxable social security wages* . .
× 0.124 =
(i)
Qualified sick leave wages* .
× 0.062 =
(ii)
Qualified family leave wages* .
5b
Taxable social security tips . . .
5c
Taxable Medicare wages & tips. .
× 0.029 =
5d
Taxable wages & tips subject to
× 0.009 =
Additional Medicare Tax withholding
5e
Total social security and Medicare taxes. Add Column 2 from lines 5a, 5a(i), 5a(ii), 5b, 5c, and 5d
5f
Section 3121(q) Notice and Demand—Tax due on unreported tips (see instructions) .
6
Total taxes before adjustments. Add lines 3, 5e, and 5f
7
Current quarter’s adjustment for fractions of cents
8
Current quarter’s adjustment for sick pay
9
Current quarter’s adjustments for tips and group-term life insurance
10
Total taxes after adjustments. Combine lines 6 through 9
11a
Qualified small business payroll tax credit for increasing research activities. Attach Form 8974
11b
Nonrefundable portion of credit for qualified sick and family leave wages for leave taken
before April 1, 2021
. . . . . . . . . . . . . . . . . . . . . .
Check and go to line 6.
*Include taxable qualified sick and family leave wages paid in this quarter of 2023 for leave taken after March 31, 2021, and before October 1, 2021, on line 5a. Use lines 5a(i) and 5a(ii) only for taxable qualified sick and family leave wages paid in this quarter of 2023 for leave taken after March 31, 2020, and before April 1, 2021.
11c Reserved for future use . . . . . . . . . . . . . . . . . . . . . . 11c
You MUST complete all three pages of Form 941 and SIGN it.
For Privacy Act and Paperwork Reduction Act Notice, see the back of the Payment Voucher.
Cat. No. 17001Z
Form 941 (Rev. 3-2023)
951222
–
Part 1:
Answer these questions for this quarter. (continued)
11d Nonrefundable portion of credit for qualified sick and family leave wages for leave taken after March 31, 2021, and before October 1, 2021 . . . . . . . . . . . . . 11d
11e
Reserved for future use
. . . . . . . . . 11e
11f
11g
Total nonrefundable credits. Add lines 11a, 11b, and 11d
12
Total taxes after adjustments and nonrefundable credits. Subtract line 11g from line 10 .
13a
Total deposits for this quarter, including overpayment applied from a prior quarter and
overpayments applied from Form 941-X, 941-X (PR), 944-X, or 944-X (SP) filed in the current quarter
13b
13c Refundable portion of credit for qualified sick and family leave wages for leave taken
13c
13d Reserved for future use
13d
13e Refundable portion of credit for qualified sick and family leave wages for leave taken after March 31, 2021, and before October 1, 2021 . . . . . . . . . . . . . . 13e
13f
13g
Total deposits and refundable credits. Add lines 13a, 13c, and 13e
13h
13i
14Balance due. If line 12 is more than line 13g, enter the difference and see instructions . . . 14
15
Overpayment. If line 13g is more than line 12, enter the difference
Check one:
Apply to next return.
Send a refund.
Part 2: Tell us about your deposit schedule and tax liability for this quarter.
If you’re unsure about whether you’re a monthly schedule depositor or a semiweekly schedule depositor, see section 11 of Pub. 15.
16 Check one:
Line 12 on this return is less than $2,500 or line 12 on the return for the prior quarter was less than $2,500, and you didn’t incur a $100,000 next-day deposit obligation during the current quarter. If line 12 for the prior quarter was less than $2,500 but line 12 on this return is $100,000 or more, you must provide a record of your federal tax liability. If you’re a monthly schedule depositor, complete the deposit schedule below; if you’re a semiweekly schedule depositor, attach Schedule B (Form 941). Go to Part 3.
You were a monthly schedule depositor for the entire quarter. Enter your tax liability for each month and total
liability for the quarter, then go to Part 3.
Tax liability: Month 1
Month 2
Month 3
Total liability for quarter
Total must equal line 12.
You were a semiweekly schedule depositor for any part of this quarter. Complete Schedule B (Form 941),
Report of Tax Liability for Semiweekly Schedule Depositors, and attach it to Form 941. Go to Part 3.
Page 2
950922
Part 3: Tell us about your business. If a question does NOT apply to your business, leave it blank.
17 If your business has closed or you stopped paying wages . . . . . . . . . . . . . . .
Check here, and
enter the final date you paid wages
/ /
; also attach a statement to your return. See instructions.
18 If you’re a seasonal employer and you don’t have to file a return for every quarter of the year . . .
Check here.
19Qualified health plan expenses allocable to qualified sick leave wages for leave taken before April 1, 2021
20Qualified health plan expenses allocable to qualified family leave wages for leave taken before April 1, 2021
21
22
23Qualified sick leave wages for leave taken after March 31, 2021, and before October 1, 2021
24Qualified health plan expenses allocable to qualified sick leave wages reported on line 23
25Amounts under certain collectively bargained agreements allocable to qualified sick
leave wages reported on line 23 . . . . . . . . . . . . . . . . . . .
26Qualified family leave wages for leave taken after March 31, 2021, and before October 1, 2021
27Qualified health plan expenses allocable to qualified family leave wages reported on line 26
28Amounts under certain collectively bargained agreements allocable to qualified family leave wages reported on line 26 . . . . . . . . . . . . . . . . . . .
19
20
23
24
25
26
27
28
Part 4: May we speak with your third-party designee?
Do you want to allow an employee, a paid tax preparer, or another person to discuss this return with the IRS? See the instructions
for details.
Yes. Designee’s name and phone number
Select a 5-digit personal identification number (PIN) to use when talking to the IRS.
No.
Part 5: Sign here. You MUST complete all three pages of Form 941 and SIGN it.
Under penalties of perjury, I declare that I have examined this return, including accompanying schedules and statements, and to the best of my knowledge and belief, it is true, correct, and complete. Declaration of preparer (other than taxpayer) is based on all information of which preparer has any knowledge.
Sign your name here
Date
Print your name here
Print your title here
Best daytime phone
Paid Preparer Use Only
Preparer’s name
Preparer’s signature
Firm’s name (or yours if self-employed)
Check if you’re self-employed . . .
PTIN
/
EIN
Phone
Page 3
951020
This page intentionally left blank
Form 941-V, Payment Voucher
Purpose of Form
Complete Form 941-V if you’re making a payment with Form 941. We will use the completed voucher to credit your payment more promptly and accurately, and to improve our service to you.
Making Payments With Form 941
To avoid a penalty, make your payment with Form 941 only if:
•Your total taxes after adjustments and nonrefundable credits (Form 941, line 12) for either the current quarter or the preceding quarter are less than $2,500, you didn’t incur a $100,000 next-day deposit obligation during the current quarter, and you’re paying in full with a timely filed return; or
•You’re a monthly schedule depositor making a payment in accordance with the Accuracy of Deposits Rule. See section 11 of Pub. 15 for details. In this case, the amount of your payment may be $2,500 or more.
Otherwise, you must make deposits by electronic funds transfer. See section 11 of Pub. 15 for deposit instructions. Don’t use Form 941-V to make federal tax deposits.
▲! Use Form 941-V when making any payment with Form 941. However, if you pay an amount with
CAUTION Form 941 that should’ve been deposited, you may be subject to a penalty. See Deposit Penalties in section 11 of Pub. 15.
Specific Instructions
Box 1—Employer identification number (EIN). If you don’t have an EIN, you may apply for one online by visiting the IRS website at www.irs.gov/EIN. You may also apply for an EIN by faxing or mailing Form SS-4 to the IRS. If you haven’t received your EIN by the due date of Form 941, write “Applied For” and the date you applied in this entry space.
Box 2—Amount paid. Enter the amount paid with Form 941.
Box 3—Tax period. Darken the circle identifying the quarter for which the payment is made. Darken only one circle.
Box 4—Name and address. Enter your name and address as shown on Form 941.
•Enclose your check or money order made payable to “United States Treasury.” Be sure to enter your
EIN, “Form 941,” and the tax period (“1st Quarter 2023,” “2nd Quarter 2023,” “3rd Quarter 2023,” or “4th Quarter 2023”) on your check or money order. Don’t send cash.
Don’t staple Form 941-V or your payment to Form 941 (or to each other).
•Detach Form 941-V and send it with your payment
and Form 941 to the address in the Instructions for Form 941.
Note: You must also complete the entity information above Part 1 on Form 941.
Detach Here and Mail With Your Payment and Form 941.
Form
941-V
Payment Voucher
Department of the Treasury
Don’t staple this voucher or your payment to Form 941.
2023
Internal Revenue Service
1 Enter your employer identification
Dollars
Cents
number (EIN).
Enter the amount of your payment.
Make your check or money order payable to “United States Treasury.”
Tax Period
4 Enter your business name (individual name if sole proprietor).
1st
3rd
Quarter
Enter your address.
2nd
4th
Enter your city, state, and ZIP code; or your city, foreign country name, foreign province/county, and foreign postal code.
Privacy Act and Paperwork Reduction Act Notice. We ask for the information on Form 941 to carry out the Internal Revenue laws of the United States. We need it to figure and collect the right amount of tax. Subtitle C, Employment Taxes, of the Internal Revenue Code imposes employment taxes on wages and provides for income tax withholding. Form 941 is used to determine the amount of taxes that you owe. 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. If you fail to provide this information in a timely manner, or provide false or fraudulent information, you may be subject to penalties.
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. Books and records relating to a form or its instructions must be retained as long as their contents may become material in the administration of any Internal Revenue law.
Generally, tax returns and return information are confidential, as required by section 6103. However, section 6103 allows or requires the IRS to disclose or give the information shown on your tax return to others as described in the Code. For example, we may disclose your tax information to the Department of
Justice for civil and criminal litigation, and to cities, states, the District of Columbia, and U.S. commonwealths and possessions for use in administering their tax laws. We may also disclose this information to other countries under a tax treaty, to federal and state agencies to enforce federal nontax criminal laws, or to federal law enforcement and intelligence agencies to combat terrorism.
The time needed to complete and file Form 941 will vary depending on individual circumstances. The estimated average time is:
Recordkeeping . . . . . . . . . . 22 hr., 28 min.
Learning about the law or the form . .
. . 53 min.
Preparing, copying, assembling, and
sending the form to the IRS
1 hr., 18 min.
If you have comments concerning the accuracy of these time estimates or suggestions for making Form 941 simpler, we would be happy to hear from you. You can send us comments from www.irs.gov/FormComments. Or you can send your comments to Internal Revenue Service, Tax Forms and Publications Division, 1111 Constitution Ave. NW, IR-6526, Washington, DC 20224. Don’t send Form 941 to this address. Instead, see Where Should You File? in the Instructions for Form 941.
The IRS 941 form is essential for employers in the United States, as it is used to report income taxes, Social Security tax, and Medicare tax withheld from employee paychecks. However, several other forms and documents are commonly used alongside the 941 form to ensure compliance with federal tax regulations. Below is a list of these important documents.
Understanding these forms and their purposes can help employers navigate their tax obligations more effectively. Staying organized and compliant with these documents is crucial for maintaining good standing with the IRS and ensuring accurate reporting of employee compensation and tax liabilities.
B/l Meaning - The form aids in making sure that no items are left unaccounted for.
For those looking to create a Non-disclosure Agreement, resources such as Illinois Templates PDF provide essential templates that can streamline the process and ensure that all necessary legal elements are included, further safeguarding the confidential information shared between parties.
Youth Baseball Player Evaluation Form - This section gathers all the necessary player information, ensuring proper identification for assessment.
Employee Application - A well-filled application reflects your professionalism.
When it comes to the IRS 941 form, understanding its purpose and proper use is crucial for employers. Here are some key takeaways to keep in mind:
By following these guidelines, employers can ensure compliance with federal tax regulations and avoid potential issues down the line.
IRS Form 941 is a quarterly tax form used by employers to report income taxes, Social Security tax, and Medicare tax withheld from employee wages. This form also helps employers report their share of Social Security and Medicare taxes. It's essential for ensuring compliance with federal tax obligations.
Any business that pays wages to employees must file Form 941. This includes corporations, partnerships, and sole proprietorships. If you have employees and withhold federal income tax, Social Security tax, or Medicare tax, you are required to submit this form.
Form 941 is due four times a year, with deadlines falling on the last day of the month following the end of each quarter. The due dates are:
To fill out Form 941, you will need the following information:
If you miss the filing deadline, you may incur penalties and interest on any unpaid taxes. The IRS can impose a failure-to-file penalty and a failure-to-pay penalty. It’s crucial to file on time or to request an extension if needed.
Yes, you can file Form 941 electronically using the IRS e-file system. Many payroll service providers also offer electronic filing as part of their services. Filing electronically can help ensure accuracy and speed up the processing time.
If you discover an error after filing, you can correct it by filing Form 941-X, Adjusted Employer’s QUARTERLY Federal Tax Return or Claim for Refund. This form allows you to make adjustments to previously reported amounts, ensuring your tax records are accurate.
Seasonal employers can file Form 941 for only the quarters they have employees. If you do not have employees during a quarter, you can skip filing Form 941 for that period. However, you must indicate your seasonal status when you file.
If you no longer have employees, you should stop filing Form 941. However, you may need to file a final return to report any final wages and taxes. It's important to ensure that your business records are up to date with the IRS.
The IRS website offers comprehensive resources about Form 941, including instructions, FAQs, and related forms. Additionally, consulting with a tax professional can provide personalized guidance tailored to your specific situation.
Understanding the IRS Form 941 is essential for employers who need to report payroll taxes. However, several misconceptions about this form can lead to confusion. Below are ten common misconceptions clarified.
This is not true. Form 941 is required for all employers who pay wages to employees and withhold taxes, regardless of the size of the business.
In reality, Form 941 is filed quarterly. Employers need to submit it four times a year, not monthly.
This form actually reports several types of taxes, including Social Security and Medicare taxes, not just federal income tax.
Filing late can result in penalties. The IRS imposes fines for late submissions, which can accumulate over time.
Some employers, such as those who pay wages only to household employees or who have no payroll tax liability, may not need to file this form.
These forms serve different purposes. Form 944 is designed for smaller employers with a lower payroll tax liability, allowing them to file annually instead of quarterly.
Employers can amend a filed Form 941 using Form 941-X to correct any errors made in the original submission.
While it primarily covers U.S. employees, foreign employees who work in the U.S. and are subject to U.S. taxes also need to be reported.
In addition to wages, this form also reports tips, other compensation, and tax withholdings.
Filing this form does not prevent the IRS from auditing a business. Audits can occur for various reasons unrelated to the accuracy of Form 941.
It is important for employers to have accurate information regarding Form 941 to ensure compliance with IRS regulations. Understanding these misconceptions can help prevent issues down the line.