The year is coming to an end, but before you start making plans for ringing in the new year, there are some IRS filing deadlines that your business is required to meet.
These IRS filing requirements include the annual payroll tax forms. Your business may file a quarterly Form 941, but there are also some annual forms you must complete.
The annual payroll forms are all a part of the 94x Series of IRS tax forms. To learn more about these forms and whether or not your business must file, keep reading, this information is for you!
What is Form 940?
This form is used to report the Federal Unemployment Tax Act or FUTA amounts that employers are required to pay. All employers must pay into this fund so that there is money available from the federal government for unemployed individuals to collect.
FUTA requires that employers pay a 6% tax rate on the first $7,000 that they pay each of their employees.
There is a specific update to Form 940 for the 2022 tax year that employers should be aware of. For the 2022 tax year, the credit reduction rate for California, Connecticut, Illinois, and New York is 0.3% and for the U.S. Virgin Islands is 3.6%
What is Form 943?
This form is required to be filed by agricultural employers (Form 943)that hire farm workers over the course of the tax year. The IRS requires employers that meet the following conditions to file this form:
Employers that pay a single farm worker $150 or more in cash wages.
Employers that make total cash or non-cash payments of $2,500 to farm workers.
What is Form 944?
The IRS requires small employers with $1,000 or less in tax liability to file this form. Much like the quarterly Form 941 for larger employers, Form 944 is used to report the Medicare, social security, and income taxes withheld from their employee’s wages.
What is Form 945?
Form 945 is used to report backup withholding to the IRS on an annual basis. Employers that hire independent contractors or vendors and are required to follow the backup withholding rules for these individuals are required to report the amounts of withholding on Form 945.
What are the Deadlines for Filing Annual Payroll Forms?
The deadline to file these payroll forms with the IRS is January 31, 2023. This date may sound familiar and that’s because it is! In addition to the forms in this article, there are several other forms that businesses must file with deadlines on this day. This includes the quarterly Form 941, From W-2 the Wage and Tax Statement, and 1099-NEC used to report nonemployee compensation.
Complete your Annual Payroll Forms with TaxBandits!
The holidays are almost here and this means you probably have exciting plans that don’t involve filling out tax forms. This is where TaxBandits comes in! These forms are available from TaxBandits. This gives you plenty of time to complete your forms and ring in the new year without worrying about your IRS tax filings.
TaxBandits simplifies the process of filing and helps improve the accuracy of your forms. We offer time-saving features such as bulk upload options, built-in error checks using the IRS Business Rules, and easy e-signature options.