Having employees puts requirements on a business, and one of the most important is making sure you get your IRS 941 form filed on time each quarter. This is a form that’s due four times a year if you have a business that has employees. The requirements include making any 941 deposits deemed necessary by the IRS, according to what you’ve paid in the previous twelve months.
As an employer, you have to pay the IRS taxes on wages and tips, and your share of the Social Security and Medicare taxes for each employee. If you withheld Federal Income tax on your employees’ paychecks, the IRS 941 form is used for that too.
Here are some very important things to know about deposits and payments on the IRS 941 form. Often a business is required to make deposits to the IRS to cover the amounts due on the IRS 941 form. The deposit schedule is a regular payment made into the coffers of the IRS and is not to be confused with a payment. The 941 deposit vs payment difference is an important one, especially if there are disputes down the road with the IRS.