Tips for Filing Your Form 941 Accurately and On Time This Quarter

Tips to help you ace your filing for the third quarter of 2020. 

The Form 941 deadline is right around the corner, now there’s a spooky thought. Especially if you haven’t begun filing yet. November 2 will be here before you know it!

Here are some tips to help you ace your filing for the third quarter of 2020. 

File Electronically

If you are still trying to decide the method by which you want to file your Form 941 this quarter, electronic filing is the way to go. This is what the IRS recommends, especially now, as they are processing paper tax forms at a much slower rate due to the pandemic. If you choose to mail in your Form 941 in paper form, it may take weeks or months for you to get an IRS update on the status of your form. When you file electronically, with TaxBandits, not only can you e-file for under $5, but you will get an instant update from the IRS. 

Use Worksheet 1

Last quarter, the IRS completely overhauled the Form 941 to enable employers to report the portions of their refundable and nonrefundable credits. These credits were made available to employers under the CARES Act. 

When you file your Form 941 with TaxBandits, we include Worksheet 1 in the e-filing process, making it easy to use this worksheet to calculate your tax credits. 

Use the Zero Filing Feature

Are you an employer that hasn’t paid wage to your employees during the third quarter? You still have to file your Form 941 to the IRS, but there is an easy option. When filing with TaxBandits, you can take advantage of the Zero Filing feature. This allows you to skip through the entire form to the summary page, our application enters the zeros where they need to go. 

To use this feature just select, “I have no taxes to report” when beginning your tax return. This will trigger the Zero Filing feature and take you to the summary page. All you will need to do from this point is to review your Form 941 and transmit your form to the IRS. 

Don’t Forget Your Attachment Forms

If you are a semiweekly depositor, you will need to attach Schedule B to your Form 941. This attachment must be filed if your business has reported over $50,000 in employment taxes for during the previous lookback period, or have accumulated over $100,000 in tax liabilities during the current or previous calendar year. TaxBandits allows you to easily complete Schedule B at no additional cost and e-file it to the IRS during the Form 941 filing process. 

Reporting agents and service providers who are filing on behalf of their many clients must also file the Schedule R. Schedule R is designed to capture the wages paid to employees by all the clients of the reporting agency.

As most CPEOs and other reporting agencies are required to file this attachment form electronically to the IRS, TaxBandits created a solution that allows service providers to easily enter all of their clients’ information and reconcile it before transmitting Schedule R to the IRS. 

As you can see, TaxBandits offers e-filing solutions for businesses of all sizes and tax professionals with specific needs. To get started, create your free TaxBandits account to begin e-filing Form 941 today!

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