{"id":5375,"date":"2022-03-08T18:23:06","date_gmt":"2022-03-08T18:23:06","guid":{"rendered":"https:\/\/www.irstaxapp.com\/?p=5375"},"modified":"2022-03-08T18:23:23","modified_gmt":"2022-03-08T18:23:23","slug":"penalties-by-irs-for-941","status":"publish","type":"post","link":"https:\/\/www.irstaxapp.com\/penalties-by-irs-for-941\/","title":{"rendered":"Penalties by IRS for 941 Defaults: Know How to Avoid It"},"content":{"rendered":"\n<figure class=\"wp-block-image size-large\"><picture><source srcset=\"https:\/\/www.irstaxapp.com\/wp-content\/uploads\/2022\/03\/irs-for-941-1-1024x576.webp 1024w,https:\/\/www.irstaxapp.com\/wp-content\/uploads\/2022\/03\/irs-for-941-1-300x169.webp 300w,https:\/\/www.irstaxapp.com\/wp-content\/uploads\/2022\/03\/irs-for-941-1-768x432.webp 768w,https:\/\/www.irstaxapp.com\/wp-content\/uploads\/2022\/03\/irs-for-941-1-495x279.webp 495w,https:\/\/www.irstaxapp.com\/wp-content\/uploads\/2022\/03\/irs-for-941-1-150x84.webp 150w,https:\/\/www.irstaxapp.com\/wp-content\/uploads\/2022\/03\/irs-for-941-1.webp 1200w\" sizes=\"(max-width: 1024px) 100vw, 1024px\" type=\"image\/webp\"><img src=\"https:\/\/www.irstaxapp.com\/wp-content\/uploads\/2022\/03\/irs-for-941-1-1024x576.png\" height=\"576\" width=\"1024\" srcset=\"https:\/\/www.irstaxapp.com\/wp-content\/uploads\/2022\/03\/irs-for-941-1-1024x576.png 1024w, https:\/\/www.irstaxapp.com\/wp-content\/uploads\/2022\/03\/irs-for-941-1-300x169.png 300w, https:\/\/www.irstaxapp.com\/wp-content\/uploads\/2022\/03\/irs-for-941-1-768x432.png 768w, https:\/\/www.irstaxapp.com\/wp-content\/uploads\/2022\/03\/irs-for-941-1-495x279.png 495w, https:\/\/www.irstaxapp.com\/wp-content\/uploads\/2022\/03\/irs-for-941-1-150x84.png 150w, https:\/\/www.irstaxapp.com\/wp-content\/uploads\/2022\/03\/irs-for-941-1.png 1200w\" sizes=\"(max-width: 1024px) 100vw, 1024px\" class=\"wp-image-5383 sp-no-webp\" alt=\"irs for 941\" decoding=\"async\" loading=\"lazy\"  > <\/picture><\/figure>\n\n\n\n<p>The penalties levied by IRS for 941 late filing or non filing or even the short payment of taxes as per Form 941 can be quite expensive for employers. so, in order to avoid harsh action by IRS , the only simple solution is to know things and then act within the time limit tax law provides.<\/p>\n\n\n\n<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_62 counter-hierarchy ez-toc-counter ez-toc-grey ez-toc-container-direction\">\n<p class=\"ez-toc-title\">Table of Contents<\/p>\n<label for=\"ez-toc-cssicon-toggle-item-662d98aee0a91\" class=\"ez-toc-cssicon-toggle-label\"><span class=\"\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #999;color:#999\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #999;color:#999\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/label><input type=\"checkbox\"  id=\"ez-toc-cssicon-toggle-item-662d98aee0a91\"  aria-label=\"Toggle\" \/><nav><ul class='ez-toc-list ez-toc-list-level-1 ' ><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/www.irstaxapp.com\/penalties-by-irs-for-941\/#Purpose_of_IRS_for_941_Form_Filing\" title=\"Purpose of IRS for 941 Form Filing\">Purpose of IRS for 941 Form Filing<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-2\" href=\"https:\/\/www.irstaxapp.com\/penalties-by-irs-for-941\/#Who_Must_File_Form_941\" title=\"Who Must File Form 941?\">Who Must File Form 941?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-3\" href=\"https:\/\/www.irstaxapp.com\/penalties-by-irs-for-941\/#Who_are_exempt_from_filing_For_941\" title=\"Who are exempt from filing For 941?\">Who are exempt from filing For 941?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-4\" href=\"https:\/\/www.irstaxapp.com\/penalties-by-irs-for-941\/#What_is_the_due_date_for_Form_941\" title=\"What is the due date for Form 941?\">What is the due date for Form 941?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-5\" href=\"https:\/\/www.irstaxapp.com\/penalties-by-irs-for-941\/#Can_a_penalty_be_imposed_by_IRS_for_941_late_filings\" title=\"Can a penalty be imposed by IRS for 941 late filings?\">Can a penalty be imposed by IRS for 941 late filings?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-6\" href=\"https:\/\/www.irstaxapp.com\/penalties-by-irs-for-941\/#Can_the_941_be_filed_electronically\" title=\"Can the 941 be filed electronically?\">Can the 941 be filed electronically?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-7\" href=\"https:\/\/www.irstaxapp.com\/penalties-by-irs-for-941\/#Where_do_I_send_my_941_Quarterly_reports\" title=\"Where do I send my 941 Quarterly reports?\">Where do I send my 941 Quarterly reports?<\/a><\/li><\/ul><\/nav><\/div>\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Purpose_of_IRS_for_941_Form_Filing\"><\/span>Purpose of IRS for 941 Form Filing<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>The Form 941 is devised by IRS so that every employer provides information like :<\/p>\n\n\n\n<ul><li>Salaries\/wages paid by you and also any income that employee reports to you(say tips receipt by them )<\/li><li>Total tax withheld from wages<\/li><li>Social security and Medicare taxes paid by employer &amp; employee. Also any additional Medicare Tax withheld from employees.<\/li><li>Qualified small business payroll tax credit for increasing research activities.<\/li><li>Credit for qualified sick and family leave wages paid in 2022 for leave taken after March 31, 2020, and before October 1, 2021.<\/li><li>Credit for COBRA premium assistance payments.<\/li><\/ul>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Who_Must_File_Form_941\"><\/span>Who Must File Form 941?<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>Every employer (except some . See next question below ) who paid wages subject to federal income tax withholding or social security and Medicare taxes, must file Form 941. If you are having a question like &#8220;<strong><em>Do you have to file form 941 if no payroll?<\/em><\/strong>&#8221; , the answer is simple. If you filed 941 once in any quarter because at that time there were payrolls, but later, in other quarters you do not pay any salary or wages,  <a href=\"https:\/\/www.irs.gov\/instructions\/i941\" target=\"_blank\" rel=\"noopener\">IRS instruction<\/a> says as under :<\/p>\n\n\n\n<blockquote class=\"wp-block-quote\"><p>After you file your first Form 941, you must file a return for each quarter, even if you have no taxes to report, unless you filed a final return or one of the exceptions listed next applies.<\/p><\/blockquote>\n\n\n\n<p>So, if you are not exempt from filing 941 , all kinds of employers are required to submit form 941 quarterly. So next time don&#8217;t ask &#8220;Do sole proprietors file 941? &#8221; . Yes ! Yes!<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Who_are_exempt_from_filing_For_941\"><\/span>Who are exempt from filing For 941?<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>In following situations, you are not required to file form 941.<\/p>\n\n\n\n<ol><li>If IRS sends you notice to file\u00a0<strong>Form 944,<\/strong>\u00a0 don&#8217;t file Form 941 quarterly. Only file 944 form.<\/li><li><strong>Seasonal employers<\/strong>\u00a0( <em>a business which generally runs during a periods of the year,for example a ski resort or a lawn care service or summer beach rental<\/em> ) don&#8217;t have to file a Form 941 for quarters in which they have no tax liability  For this, you need to check the box on <strong>line 18 every quarter you file Form 941<\/strong>. See section 12 of Pub. 15 for more information.<\/li><\/ol>\n\n\n\n<figure class=\"wp-block-image size-large\"><picture><source srcset=\"https:\/\/www.irstaxapp.com\/wp-content\/uploads\/2022\/03\/IRS-for-941-1024x378.webp 1024w,https:\/\/www.irstaxapp.com\/wp-content\/uploads\/2022\/03\/IRS-for-941-300x111.webp 300w,https:\/\/www.irstaxapp.com\/wp-content\/uploads\/2022\/03\/IRS-for-941-768x284.webp 768w,https:\/\/www.irstaxapp.com\/wp-content\/uploads\/2022\/03\/IRS-for-941-150x55.webp 150w,https:\/\/www.irstaxapp.com\/wp-content\/uploads\/2022\/03\/IRS-for-941.webp 1319w\" sizes=\"(max-width: 1024px) 100vw, 1024px\" type=\"image\/webp\"><img src=\"https:\/\/www.irstaxapp.com\/wp-content\/uploads\/2022\/03\/IRS-for-941-1024x378.png\" height=\"378\" width=\"1024\" srcset=\"https:\/\/www.irstaxapp.com\/wp-content\/uploads\/2022\/03\/IRS-for-941-1024x378.png 1024w, https:\/\/www.irstaxapp.com\/wp-content\/uploads\/2022\/03\/IRS-for-941-300x111.png 300w, https:\/\/www.irstaxapp.com\/wp-content\/uploads\/2022\/03\/IRS-for-941-768x284.png 768w, https:\/\/www.irstaxapp.com\/wp-content\/uploads\/2022\/03\/IRS-for-941-150x55.png 150w, https:\/\/www.irstaxapp.com\/wp-content\/uploads\/2022\/03\/IRS-for-941.png 1319w\" sizes=\"(max-width: 1024px) 100vw, 1024px\" class=\"wp-image-5382 sp-no-webp\" alt=\"\" decoding=\"async\" loading=\"lazy\"  > <\/picture><\/figure>\n\n\n\n<ol><li>If you employ household employees, you do not need to file Form 941 even though you are a <a href=\"https:\/\/www.irstaxapp.com\/household-employment-taxes-calculator-faqs\/\">household employer <\/a><\/li><li>Farm employers do not require to file Form 941 for wages paid for agricultural labor. <\/li><\/ol>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"What_is_the_due_date_for_Form_941\"><\/span>What is the due date for Form 941?<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>The due date for filing Form 941 is generally due\u00a0<strong>by the last day of the month following the end of the quarter<\/strong>. Following chart explains it better.<\/p>\n\n\n\n<figure class=\"wp-block-table is-style-tw-border-h-inner\"><table class=\"has-background has-fixed-layout\" style=\"background-color:#f6f8f9\"><tbody><tr><td><strong>Wages Paid in <\/strong><\/td><td><strong>Due date for Filing 941<\/strong><\/td><\/tr><tr><td>January to March<\/td><td>30th April <\/td><\/tr><tr><td>April to June<\/td><td>31st July<\/td><\/tr><tr><td>July to September<\/td><td>31st October <\/td><\/tr><tr><td>October to December<\/td><td>31st January of next calendar year<\/td><\/tr><\/tbody><\/table><\/figure>\n\n\n\n<p><\/p>\n\n\n\n<p class=\"has-background\" style=\"background-color:#d9f4e9\"><strong>What are the due dates for quarterly payroll taxes? <\/strong>Report your total\u00a0<em>taxes<\/em>\u00a0deposited for the\u00a0<em>quarter<\/em>, using Form 941 and Form 941\u00a0<em>Schedule<\/em>\u00a0B, by April 30, July 31, October 31 and January 31.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Can_a_penalty_be_imposed_by_IRS_for_941_late_filings\"><\/span>Can a penalty be imposed by IRS for 941 late filings?<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>IRS will impose a penalty for failure to file form 941. It should be noted the 941 penalty is not just for filature to file, but also for late filing of form 941. Basically the rule of 941 penalties is the same as law for imposing a penalty for failure to file tax return 1040. The penalty rate is 5% per month on the total amount due as per Form 941. The maximum number of months of delay for which the penalty is computed is 5 months. <\/p>\n\n\n\n<h4 class=\"wp-block-heading\">Where can I download Form 941? <\/h4>\n\n\n\n<p>You can download the <strong><em><a href=\"https:\/\/www.irs.gov\/pub\/irs-pdf\/f941.pdf\" target=\"_blank\" rel=\"noopener\">IRS form 941 for 2022<\/a><\/em><\/strong> and also Consult latest <a href=\"https:\/\/www.irs.gov\/pub\/irs-pdf\/i941.pdf\" target=\"_blank\" rel=\"noreferrer noopener\"><strong>IRS form 941 instructions<\/strong><\/a><\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Can_the_941_be_filed_electronically\"><\/span>Can the 941 be filed electronically?<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>Yes, you can file form 941 electronically by purchasing <em>IRS for 941 <\/em>approved software. The filing of 941 is validated through a digital signature. In fact, employers can file 941 on Eftps also. Basically , the  IRS e-file system allows filing form 941 through Modernized e-File (MeF) which is an electronic filing process that allows the Form 94x Family of Returns to be received through the Modernized e-File (MeF)\u00a0.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Where_do_I_send_my_941_Quarterly_reports\"><\/span>Where do I send my 941 Quarterly reports?<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p><strong>The address on which you can send by <\/strong>mail is given in the chart below . <\/p>\n\n\n\n<figure class=\"wp-block-table\"><table class=\"has-fixed-layout\"><tbody><tr><td><strong>Emp<span class=\"has-inline-color has-vivid-purple-color\">loyer based in<\/span><\/strong><\/td><td><span class=\"has-inline-color has-vivid-purple-color\"><strong>Mailing 941 Without a payment <\/strong><\/span><\/td><td><strong><span class=\"has-inline-color has-vivid-purple-color\">Mailing 941  With a payment . <\/span><\/strong><\/td><\/tr><tr><td>Connecticut, Delaware, District of Columbia, Georgia, Illinois, Indiana, Kentucky, Maine, Maryland, Massachusetts, Michigan, New Hampshire, New Jersey, New York, North Carolina, Ohio, Pennsylvania, Rhode Island, South Carolina, Tennessee, Vermont, Virginia, West Virginia, Wisconsin<\/td><td>Department of the Treasury<br>Internal Revenue Service<br>Kansas City, MO 64999-0005<\/td><td>Internal Revenue Service<br>P.O. Box 806532<br>Cincinnati, OH 45280-6532<\/td><\/tr><tr><td>Alabama, Alaska, Arizona, Arkansas, California, Colorado, Florida, Hawaii, Idaho, Iowa, Kansas, Louisiana, Minnesota, Mississippi, Missouri, Montana, Nebraska, Nevada, New Mexico, North Dakota, Oklahoma, Oregon, South Dakota, Texas, Utah, Washington, Wyoming<\/td><td>Department of the Treasury<br>Internal Revenue Service<br>Ogden, UT 84201-0005<\/td><td>Internal Revenue Service<br>P.O. Box 932100<br>Louisville, KY 40293-2100<\/td><\/tr><tr><td>No legal residence or principal place of business in any state<\/td><td>Internal Revenue Service<br>P.O. Box 409101<br>Ogden, UT 84409<\/td><td>Internal Revenue Service<br>P.O. Box 932100<br>Louisville, KY 40293-2100<\/td><\/tr><tr><td><strong>Special filing address<\/strong>&nbsp;for exempt organizations; federal, state, and local governmental entities; and Indian tribal governmental entities, regardless of location<\/td><td>Department of the Treasury<br>Internal Revenue Service<br>Ogden, UT 84201-0005<\/td><td>Internal Revenue Service<br>P.O. Box 932100<br>Louisville, KY 40293-2100<\/td><\/tr><\/tbody><\/table><\/figure>\n\n\n\n<p>Knowledge is power . The aforesaid article brings to you all the important information that you as an employer must . This itself will save you from penalty by <strong><em>IRS for 941<\/em><\/strong> failure to file or late filing.<\/p>\n\n\n\n<p><\/p>\n\n\n\n<p><\/p>\n","protected":false},"excerpt":{"rendered":"<p>The penalties levied by IRS for 941 late filing or non filing or even the short payment of taxes as per Form 941 can be quite expensive for employers. so, in order to avoid harsh action by IRS , the only simple solution is to know things and then act within the time limit tax [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":5383,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":[],"categories":[54],"tags":[],"amp_enabled":true,"_links":{"self":[{"href":"https:\/\/www.irstaxapp.com\/wp-json\/wp\/v2\/posts\/5375"}],"collection":[{"href":"https:\/\/www.irstaxapp.com\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.irstaxapp.com\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.irstaxapp.com\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.irstaxapp.com\/wp-json\/wp\/v2\/comments?post=5375"}],"version-history":[{"count":0,"href":"https:\/\/www.irstaxapp.com\/wp-json\/wp\/v2\/posts\/5375\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.irstaxapp.com\/wp-json\/wp\/v2\/media\/5383"}],"wp:attachment":[{"href":"https:\/\/www.irstaxapp.com\/wp-json\/wp\/v2\/media?parent=5375"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.irstaxapp.com\/wp-json\/wp\/v2\/categories?post=5375"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.irstaxapp.com\/wp-json\/wp\/v2\/tags?post=5375"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}