How to File IRS Form 941 for Your 2020 4th Quarter

Tax season is here and it’s time to file Form 941 for the 4th and final Quarter of 2020! Here’s how to meet your IRS requirements easily and leave 2020 in the past.  

What is Form 941?

Form 941 is the Employer’s Quarterly Federal Tax Return, the form that allows employers to report the amounts they withhold from their employees’ paychecks for Social Security, income tax, and Medicare taxes. Businesses file this form every quarter to provide a record for the IRS.

Businesses can also use Form 941 to report COVID-19 tax relief such as employment tax deferment decisions and tax credits for employee retention credit or qualified sick and family leave wages. 

When is the 4th Quarter 941 Deadline? 

Since Form 941 is a quarterly form, employers file four times a year. The 941 deadline is usually determined by the last day of the month following the end of your business’s quarter, barring holidays and weekends. When these due dates do fall on a holiday or weekend, the IRS pushes them to the next business day. 

For the fourth quarter, employers are required to file Form 941 with the IRS by February 1, 2021. 

Click here for more Form 941 instructions and deadline tips.

Choose Your Filing Method 

To meet your business’s Form 941 filing requirements, you can choose to fill out a paper form and mail it to the IRS or file Form 941 online. The IRS recommends e-filing and it’s also faster and safer. When you e-file, you can file Form 941 in the following four steps. 

Check out this blog for the top 5 reasons e-filing is successful business owners’ number one choice. 

Step 1: Enter Your Form 941 Information

To start e-filing Form 941, select the correct quarter and enter your business’s information. For the February 1, 2021 deadline, choose the 4th Quarter of 2020. 

Information you’ll need to enter for your business:

  • Employer Identification Number (EIN)
  • Employee count, wages, and taxes withheld
  • Deposit schedule and tax liability for the 4th Quarter
  • Complete Schedule B and Form 8974 if required for your business
  • Choose Form 941

Step 2: Pay Any Balance Due 

If you need to make a tax payment to the IRS when you file Form 941, ExpressEfile offers multiple options for making your payment. You can choose to pay the IRS using EFW, EFTPS, or check or money order. 

Fill out your Form 941

Step 3: Sign Form 941

To authenticate your Form 941 when you e-file, provide your signature by either entering your Online Signature PIN or filing online signature Form 8453-EMP.

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Step 4: Review & Transmit Form 941

E-filing Form 941 is a great way to avoid mistakes because our software runs an internal audit, checking all your information for mistakes and discrepancies. After you complete your form, you’ll be able to review and resolve any errors that we find.

Once your forms are complete and mistake-free, you can transmit them directly to the IRS. Click here for our best advice on IRS acceptance and avoiding penalties. 

2020 was a difficult year for many businesses, but meeting your Form 941 deadline for the fourth quarter should be easy. At ExpressEfile, we’re excited to see what 2021 brings and we’re here to support you every step of the way!

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