Here’s a simple approach to preparing and filing Form 941 for any given tax year.
Form 941 is popularly known with its self-explanatory title ‘the Employer’s Quarterly Federal Tax Return’ which primarily reports certain federal taxes withheld from the incomes of the employees in addition to reporting the employer’s share of the social security or Medicare tax.
This federal tax return must be filed every quarter, enabling the IRS to understand and assess the employer’s track of federal tax payments and filings.
Form 941 can be filed electronically and by paper. However, due to the safety measures brought into action considering the virus outbreak, the IRS is encouraging filers to choose the electronic filing method to report and submit the 941 forms.
The following will discuss in detail if Form 941 can be filed electronically and a simple approach to eFiling.
So, let’s get started.
What Is Form 941?
Form 941 is an IRS return that specifically deals with the tax withholdings reported by the employers.
If an employer withholds certain federal taxes, such as social security tax or Medicare tax from the employee’s income, the same must be reported on Form 941.
Additionally, employers are also required to pay the employer’s share of the social security and Medicare tax on Form 941.
In a nutshell, Form 941 deals with employee compensations and helps employers figure out the tax credit for paid sick leave.
Why Do You Report With Form 941?
As a part of the Families First Coronavirus Response Act, the IRS exempts the tax burden on the employer for providing sick and paid leaves and family leaves to the employee.
Employers are required to report the number of leaves provided to each employee and the sick leave wages paid to each employee along with the employee compensations.
This regime is followed for every quarter, and the IRS uses this information to figure and credit the tax refund for certain exempt cases (if any).
Form 941, Worksheet 1 and Form 941, Worksheet 2 can be used to figure out the employer’s portion of social security tax and the sick and family leave the credit.
- Learn more about reporting with Form 941 here
- Learn how to use Worksheet 1 here
When To File Form 941?
eFile Form 941 for every quarter is as follows
| Quarter | Due Date |
| January, February, March | April 30 |
| April, May, June | July 31 |
| July, August, September | October 31 |
| October, November, December | January 31 |
How To File Form 941 Electronically
Form 941 can be filed by paper and electronically via an IRS-authorized agent, such as Tax1099.
We recommend eFiling Form 941 with Tax1099 because it’s trusted by 100,000+ businesses like yours.
It’s a convenient approach to tax compliance and enables secure and convenient solutions.
You can start by creating your free account with Tax1099 here
Follow the 3-step process as follows to file your 941 forms easily.
Step 1: Import Your Tax-Sensitized Data
Import your payroll and tax-sensitized data to Tax1099 in a quick second with the available sleek integrations. Don’t worry. Your data is safe with us. Tax1099 is secured with 256-bit end-to-end encryption.
Step 2: Validate Your Reports
Tax1099 will populate the 941 forms appropriately to reduce manual efforts and errors. You can choose to disable this feature from your Tax1099 dashboard and enter the data manually.
Step 3: eFile!
Once you’ve validated your reports, it’s time to eFile. Make secure payment and submit your forms to the IRS directly.
No third parties. No mess.