The IRS Form 941, Employer's QUARTERLY Federal Tax Return, must be filed by employers to report the federal income taxes withheld from employees, employee and employer share of social security and Medicare (FICA) taxes.
The employer should file Form 941 for every quarter. Usually, Form 941 due date falls by the last day of the month following the reporting quarter.
As an employer, you are liable to file Form 941 before the deadline regardless of whether you have tax amounts to report for a quarter or not, which means you have to e-file Form 941 with zero tax amounts.
You are exempted from filing Form 941, if
- You are a seasonal employer who has not paid any wages or tips to your employees for the reporting quarter.
- Your business is closed and filed your final return.
- You’re an agricultural employer. You have to file the annual return Form 943 with the IRS.
- You’ve been instructed by the IRS to file the annual return, Form 944.
Form 941 has been revised for quarter 2 and quarters 3 & 4 by the IRS to accommodate the relief measures passed by the federal government to overcome the COVID-19 pandemic.
Note: For each quarter, you can file only one Form 941 either by paper filing or electronically. The IRS recommends that you e-file Form 941 for easy and instant filing.