Instructions on How to Fill Out Form 941

By Tiffany Raiford
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Form 941 is an employer’s quarterly federal tax return. Form 941 is filed by businesses every quarter, stating wages paid to each employee of the business during the previous quarter. The return is required for any business that pays wages to any employee. Filing late will result in penalties for the business.

Enter the federal identification number and the name and address of the business in the box at the top of Form 941. Check the box signifying the quarter for which you are filing the form.

Enter the number of employees that received wages during the year in box one. In box two, enter the total amount of wages for the quarter. In box three, enter the amount of withholding taken from the wages of each employee for the quarter.

Determine whether any of the wages paid during the quarter are subject to tax from Medicare and/or Social Security. If not, check the box next to line four and skip the remainder of the lines until line 6E. If any of the wages are subject to these taxes, you will need to enter the amounts on lines 5a through 6d and multiply the numbers by the percentages next to each box.

Fill out the remainder of the form by following the instructions next to each line if they apply to you ( some will and some will not). For lines 14 and 15, you will need to determine whether or not the amount on line 10 is more or less than the amount of line 13. If the amount on line 10 is larger, you will need to subtract from line 10 the amount on line 13 and enter the total on line 14. This is the amount you will have to pay with your 941 form. If line 13's total is greater than that of line 10, subtract line 10 from line 13 and enter the amount on line 15, which is the amount that the IRS will refund you.

Determine whether or not you made a monthly 941 deposit to your bank. If you did, enter the amounts of each monthly deposit on line 17 and enter the total of your deposits. The amount must match the amount on line 10 or your return has a mistake and will need to be re-figured.

Fill out or skip the remainder of the boxes if your business has closed or if you wish to designate a third party to discuss your taxes. You must sign and date the bottom of the return. If your 941 shows an amount due, you will need to fill out the attached 941 voucher and include a check made payable to the U.S. Department of Treasury. Mail the return to the address on the envelope you received along with your form 941.