Page 319 - Individual Forms & Instructions Guide

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The type and rule above prints on all proofs including departmental reproduction proofs. MUST be removed before printing.
more information on the different types of third-party payer includes the qualified sick leave wages on the third party's
arrangements, see section 16 of Pub. 15. aggregate Form 941, claims the sick leave credit on
COVID-19 employment tax credits when return filed behalf of the employer on the aggregate Form 941, and
by a third-party payer. If you're the common-law separately reports the credit allocable to the employers on
employer of the individuals that are paid qualified sick or Schedule R (Form 941). See section 6 of Pub. 15-A,
family leave wages, you're entitled to the credit for the sick Employer's Supplemental Tax Guide, for more information
and family leave wages regardless of whether you use a about sick pay reporting.
third-party payer (such as a PEO, CPEO, or section 3504 Work opportunity tax credit for qualified tax-exempt
agent) to report and pay your federal employment taxes. organizations hiring qualified veterans. Qualified
The third-party payer isn't entitled to the credits with tax-exempt organizations that hire eligible unemployed
respect to the wages and taxes it remits on your behalf veterans may be able to claim the work opportunity tax
(regardless of whether the third party is considered an credit against their payroll tax liability using Form 5884-C.
"employer" for other purposes). For more information, go to IRS.gov/WOTC.
Aggregate Form 941 filers. Approved section 3504 Correcting a previously filed Form 941. If you
agents and CPEOs must complete and file Schedule R discover an error on a previously filed Form 941, or if you
(Form 941) when filing an aggregate Form 941. Aggregate otherwise need to amend a previously filed Form 941,
Forms 941 are filed by agents approved by the IRS under make the correction using Form 941-X. Form 941-X is
section 3504. To request approval to act as an agent for filed separately from Form 941. For more information, see
an employer, the agent files Form 2678 with the IRS the Instructions for Form 941-X, section 13 of Pub. 15, or
unless you're a state or local government agency acting go to IRS.gov/CorrectingEmploymentTaxes.
as an agent under the special procedures provided in Federal tax deposits must be made by electronic
Rev. Proc. 2013-39, 2013-52 I.R.B. 830, available at funds transfer (EFT). You must use EFT to make all
IRS.gov/irb/2013-52_IRB#RP-2013-39. Aggregate Forms federal tax deposits. Generally, an EFT is made using the
941 are also filed by CPEOs approved by the IRS under Electronic Federal Tax Payment System (EFTPS). If you
section 7705. To become a CPEO, the organization must don't want to use EFTPS, you can arrange for your tax
apply through the IRS Online Registration System at professional, financial institution, payroll service, or other
IRS.gov/CPEO. CPEOs file Form 8973, Certified trusted third party to make electronic deposits on your
Professional Employer Organization/Customer Reporting behalf. Also, you may arrange for your financial institution
Agreement, to notify the IRS that they started or ended a to initiate a same-day wire payment on your behalf.
service contract with a customer. CPEOs must generally EFTPS is a free service provided by the Department of the
file Form 941 and Schedule R (Form 941) electronically. Treasury. Services provided by your tax professional,
For more information about a CPEO’s requirement to file financial institution, payroll service, or other third party
electronically, see Rev. Proc. 2017-14, 2017-3 I.R.B. 426, may have a fee.
available at IRS.gov/irb/2017-03_IRB#RP-2017-14. For more information on making federal tax deposits,
Other third-party payers that file aggregate Forms 941, see section 11 of Pub. 15. To get more information about
such as non-certified PEOs, must complete and file EFTPS or to enroll in EFTPS, go to EFTPS.gov or call
Schedule R (Form 941) if they have clients that are 800-555-4477. To contact EFTPS using
claiming the qualified small business payroll tax credit for Telecommunications Relay Services (TRS) for people
increasing research activities, and/or the credit for who are deaf, hard of hearing, or have a speech disability,
qualified sick and family leave wages. dial 711 and then provide the TRS assistant the
If both an employer and a section 3504 authorized 800-555-4477 number above or 800-733-4829. Additional
TIP agent (or CPEO or other third-party payer) paid information about EFTPS is also available in Pub. 966.
wages to an employee during a quarter, both the For an EFTPS deposit to be on time, you must
employer and the section 3504 authorized agent (or submit the deposit by 8 p.m. Eastern time the day
CPEO or other third-party payer, if applicable) should file ! before the date the deposit is due.
Form 941 reporting the wages each entity paid to the CAUTION
employee during the applicable quarter and issue Forms Same-day wire payment option. If you fail to submit a
W-2 reporting the wages each entity paid to the employee deposit transaction on EFTPS by 8 p.m. Eastern time the
during the year. day before the date a deposit is due, you can still make
your deposit on time by using the Federal Tax Collection
If a third-party payer of sick pay is also paying qualified Service (FTCS) to make a same-day wire payment. To
sick leave wages on behalf of an employer, the third party use the same-day wire payment method, you will need to
would be making the payments as an agent of the make arrangements with your financial institution ahead of
employer. The employer is required to do the reporting time. Please check with your financial institution regarding
and payment of employment taxes with respect to the availability, deadlines, and costs. Your financial institution
qualified sick leave wages and claim the credit for the may charge you a fee for payments made this way. To
qualified sick leave wages, unless the employer has an learn more about the information you will need to give
agency agreement with the third-party payer that requires your financial institution to make a same-day wire
the third-party payer to do the collecting, reporting, and/or payment, go to IRS.gov/SameDayWire.
paying or depositing employment taxes on the qualified Timeliness of federal tax deposits. If a deposit is
sick leave wages. If the employer has an agency required to be made on a day that isn't a business day, the
agreement with the third-party payer, the third-party payer deposit is considered timely if it is made by the close of

Instructions for Form 941 (Rev. 3-2023) -3-