E-File 941 Online for 2024

IRS Form 941, Employer’s Quarterly Federal Tax Return

Federal tax Form 941, Employer’s Quarterly Federal Tax Return, is the form employers use to report employee wages and payroll taxes. Form 941 contains information about the withholding made from employee wages, as well as the employer contributions made for Social Security and Medicare taxes. Employers must mail or e-file 941 Form to the IRS every quarter.

Visit, https://www.taxbandits.com/form-941/what-is-form-941/ to learn more about IRS Form 941.

Who Needs to File Form 941

Federal law requires employers to withhold certain taxes from their employees’ pay. Each time employers pay wages, they must withhold certain amounts for federal income tax, social security tax, and Medicare tax. Employers must also withhold additional Medicare tax from wages paid to employees in excess of $200,000 in the calendar year. Under the withholding system, taxes withheld from employees are credited to the employees in payment of their tax liabilities.

Federal law also requires employers to pay any liability for the employer’s portion of social security and Medicare taxes, which isn’t withheld from employees. Employers who pay salaries and withhold these taxes must file Form 941 online or on paper to report doing so.

Exemption to File Form 941:

Employers that aren’t required to file Form 941 are:

• Seasonal employers during quarters when they have no tax liability (they are still required to file in order to tell the IRS they won’t be filing a return for one or more quarters)
• Employers of household employees
• Employers of farm employees

Information Needed to File Payroll Tax Form 941

The following is required to file IRS Form 941:-

• Wages paid to employees
• Reported tips employees earned
• Federal income taxes withheld
• Social Security and Medicare taxes withheld and contributed to
• Additional Medicare taxes withheld
• Adjustments to Social Security and Medicare taxes, sick pay, tips, and group-life insurance

With this information, IRS Form 941 can be filed for 2024. For easy and quick filing, line by line Form 941 instructions must be known.

Form 941 Schedule B

Form 941 Schedule B

Report of Tax Liability for Semiweekly Schedule Depositors

Semiweekly schedule depositor should complete 941 Schedule B along with Form 941. You’re a semiweekly schedule depositor if:

• Reported more than $50,000 of employment taxes in the lookback period.
• Accumulated tax liability of $100,000 or more on any given day in the current or prior calendar year.

Visit https://www.taxbandits.com/form-941/form-941-schedule-b/ to learn about Form 941 Schedule B for 2024.

When is Form 941 Due for 2024

Federal tax Form 941 must be filed each quarter. The following are the 941 due dates:

• First quarter (January-March) forms are due April 30, 2024
• Second quarter (April-June) forms are due July 31, 2024
• Third quarter (July-September) forms are due October 31, 2024
• Fourth quarter (October-December) forms are due January 31, 2025

If the deadline falls on a Saturday, Sunday, or legal holiday, 941 tax forms are due by the next business day.

If you fail to file 941 on time, you may have to pay a penalty. You may also face penalties if you make late tax payments.

Learn more about Form 941 Deadlines.

What are the updates on Form 941 for the 2024 Tax Year?

The Form 941 for 2024 has undergone a few changes as follows:

Social Security and Medicare taxes apply to the wages of household workers who are paid $2,700 or more, and Election workers who receive $2,300 or more in cash in 2024.

Businesses can no longer claim COVID-19-related credits for qualified sick and family leave wages on Form 941.

It is also important to note that the social security wage base limit for the 2024 tax year is now $168,600.

Forms 941-PR and 941-SS are to be discontinued after the 2023 tax year. Instead, Employers can file using Form 941 or if they prefer a Form in spanish they can file using new form 941 (sp).

Visit https://www.taxbandits.com/revised-form-941-changes-for-2024/ learn more about the changes in Form 941 for 2024.

Completing Form 941

Every time you prepare a 941 Form for the quarter, you must report the number of employees you have, the total wages paid, and the amount of taxes withheld to arrive at the amount you must send to the IRS. Before starting your return, you’ll need your payroll records plus documentation for any taxable tips your employees report.

To file Form 941 online or on paper, you’ll need to include totals for:

• Number of employees
• Pay for the period being reported
• Amounts withheld from employees’ pay for the period
• Taxable Social Security and MEdicare wages for the period
• Calculations of totals of Social Security and Medicare wages
• Adjustments for sick pay, tips, group-term life insurance, etc.

When you calculate your amounts sent to the IRS, in addition to federal income tax, the payment must reflect 6.2% of each employee’s wages for Social Security insurance. It must also include 1.45% of all taxable wages for Medicare tax. As the employer, you’re responsible for making any additional payments to the IRS equal to all Medicare and Social Security taxes withheld. Employers must also withhold from wages any additional Medicare Tax, along with any other taxes withheld, if those wages exceed $200,000.

Learn more about Form 941 Instructions.

Form 941 Filing Methods

There are two methods for filing Form 941 with the IRS: paper filing and e-filing. Comparatively, e-filing Form 941 is the ideal choice for quick and secure filing.

E-filing Form 941:

The IRS recommends electronic filing of Form 941 for quick, easy, and secure processing. Employers will be able to get instant updates from the IRS about the status of filing. Also filing 941 online would greatly reduce the risk of making errors during filing.

Paper file Form 941

If you choose the traditional paper filing method, your return should be sent to the correct 941 mailing address of your state.

Disadvantages of paper filing Form 941 involve more time, increased risk of making errors, and hidden costs like printing, and mailing charges. Also one of the major drawbacks includes the inability to track the filing status from the IRS. This could be stressful for employers, as they might not know whether or not the IRS accepts the return.

The mailing address or where to mail 941 will vary based on:

• The state in which the business operates
• Whether payment is included with Form 941 or not

Features

• Step by Step Interview Style Filing
• Accurate Calculation
• Current & Prior Year Filing
• Built In Error Check
• Support Schedule B (Form 941) - Report of Tax Liability for Semiweekly Schedule Depositors
• Support Schedule R (Form 941) - Allocation Schedule for Aggregate Form 941 Filers
• Support Form 941-V Payment Voucher
• E-sign Form 941 using 94x Online Signature PIN or Form 8453-EMP
• Balance Due payment option through EFW/EFTPS
• Free 94x Online Signature PIN
• Multiple ways to add Form 941
• Interview style and Form Based Entry
• Supports prior year filings of Form 941 for 2023, 2022 and 2021

What is the late filing and late Payment Penalty for Form 941?

Failing to file: If you fail to file Form 941 by deadline, it will result in a 5% penalty on the tax return for each month the return is late. This penalty would cap at 25%.

Failure to pay: If you filed your Form 941 but didn't pay the balance due, you will have heavy IRS penalties for both late payments and for not paying the full amount owed. You will be charged 2-15% of the unpaid tax determined by the number of days it remains unpaid.

Here’s what you could end up paying if you don’t file a 941 tax form:

• 2% of the amount due if your payment is 1-5 days late.
• 5% of the amount due if your payment is 6-15 days late.
• 10% of the amount due if your payment is 16 or more days late.
• 15% of the amount due if you’re notified of your delinquency and pay within 10 days of notice.

You can avoid paying penalties if you do all of the following:

• Pay your taxes when they’re due.
• Fully complete and file Form 941 online or on paper on time.
• Report any and all tax liability as accurately as possible.
• Send valid checks to make tax payments.
• Send completed W-2 Forms to employees.
• File Copy A of W-2 Forms and Form W-3 (if paper filing) with the SSA on time and accurately.

Visit https://www.taxbandits.com/payroll-forms/form-941-penalty/ to learn more about Form 941 Penalty.

Correction Form 941-X

Form 941-X, Adjusted Employer’s Quarterly Federal Tax Return or Claim for Refund, is used to correct errors on a paper filed or e-filed IRS Form 941.

The following information can be corrected using Form 941-X:

• Wages, tips, and other compensation
• Income tax withheld from wages, tips, and other compensation
• Social Security wages and tips that are taxed
• Medicare wages and tips that are taxed
• Wages and tips that are subject to Additional Medicare Tax that are taxed
• Credits for COBRA premium assistance payments

Form 941 Pricing

Pricing includes Automatic calculation, Form 941 Schedule B, Form 941-V & Form 8453-EMP.

Apply your 94x Online Signature PIN for FREE or e-sign Form 8453-EMP to complete your Form 941.