# Form 941: Quarterly Employer Tax Return

Country: United States
When: Last day of the month following each quarter: 30 April, 31 July, 31 October and 31 January. When that day falls on a weekend or holiday the due date moves to the next business day, so the third quarter 2026 return is due Monday 2 November 2026 and the fourth quarter return is due Monday 1 February 2027.

Quarterly federal payroll tax return for employers with W-2 employees. Reports Social Security, Medicare and federal income tax withholding. Due last day of month following quarter end. Semiweekly depositors also file Schedule B (Form 941) with each return to show their daily tax liability.

## Who this applies to

- Employers with W-2 employees (including S-corp owner-employees)
- All wages subject to FICA and federal income tax withholding

## What to file

Form 941 reporting wages, FICA taxes, federal income tax withheld, COBRA premium assistance (if applicable), and reconciling deposits made.

## How to file

E-file through authorized e-file provider (most payroll software). Paper filing accepted with limitations.

## Payment due

Federal payroll taxes are deposited via EFTPS on a semi-weekly or monthly schedule based on prior-year tax liability. The 941 reconciles deposits. Additional liability may be due with the return. An employer is a semiweekly depositor if it reported more than $50,000 of employment taxes in the lookback period, or if it accumulates $100,000 or more on any day. The $100,000 amount must be deposited by the next business day. Others deposit monthly. The 2026 Social Security wage base is $184,500, with 6.2% each for employer and employee, and Medicare is 1.45% each with no wage base limit.

## What happens if you miss it

Late filing: 5% per month (max 25%) of unpaid tax. Late deposit (much more common): 2% (1–5 days late), 5% (6–15 days), 10% (16+ days), 15% (after IRS demand). Trust Fund Recovery Penalty makes responsible persons personally liable for unpaid employee withholding. The failure to deposit penalties do not stack: it is 2% for 1 to 5 days late, 5% for 6 to 15 days late and 10% for more than 15 days, and 15% if the amount is still unpaid more than 10 days after the first IRS notice. No penalty applies when the failure was due to reasonable cause.

## Submission checklist

- Aggregate quarterly wages, FICA, federal withholding from payroll system
- Reconcile deposits made via EFTPS
- Calculate any quarterly liability shortfall
- File Form 941 electronically by last day of next month
- Pay any balance via EFTPS
- File Schedule B (Form 941) if the business is a semiweekly depositor

## Documents you need

- Payroll registers for the quarter
- Records of EFTPS deposits and dates
- Form W-4 for each employee
- Form 8974 if a qualified small business claims the payroll tax credit for increasing research activities

## Common mistakes to avoid

- Missing the deposit schedule (semi-weekly for larger employers)
- Not depositing same-day for $100,000+ accumulated liability
- Forgetting to file even if wages are zero (must file Form 941 unless filed final)
- Misclassifying contractors as employees (or vice versa)

Source: https://www.irs.gov/forms-pubs/about-form-941