All employers that pay wages subject to income taxes, Medicare taxes, and social security taxes are required to file Form 941 to report these withholdings. Once a business files their first Form 941, they are required to file one for every quarter regardless of whether or not they have paid wages.
There are a few exceptions to this rule, for example, seasonal employers are only required to file for the quarters in which they operate. There are also different filing requirements when it comes to household employees and farmworkers.
When is Form 941 for the Third Quarter due?
The deadline to file Form 941 for the third quarter with the IRS is October 31. This year, October 31 falls over a weekend, so the deadline for filing is the next business day. The third quarter deadline for 2021 is November 1, 2021.
Are there any changes to Form 941 for the Third Quarter of 2021?
For the most part, the answer to this question is no. The Form itself has not changed since last quarter, however, employers that are claiming the employee retention credit will calculate this credit differently.
Last quarter, employers used Worksheet 2 to calculate their refundable and nonrefundable portions of the employee retention credit, but this is no longer the case for the third quarter. Now employers should use Worksheet 4 to calculate the employee retention credit for the third quarter and next quarter as well.
How should I file Form 941?
While you have the option to file a paper copy with the IRS, it is important to keep in mind that there are significant delays in processing. E-filing 941 is the preferred IRS method for a reason, it is easier for you to file this way and easier for them to process the form when they receive it.
When e-filing, it’s key to choose a provider that is not only IRS authorized but offers the features you need for accurate and easy filing. With TaxBandits, you get both secure and accurate filing!
Here are some awesome perks of e-filing with TaxBandits!
Instant updates on the status of your form with the IRS
Built-in data checks against the IRS business rules
All 941 Worksheets are included in the filing process