Form 941 (March 2023)

How To Fill Out Form 941 (March 2023)

With revisions as of March 2023, employers must be familiar with the form's requirements to ensure accurate and timely filings. This guide aims to simplify the process of filling out Form 941 for the first quarter of 2023.

Part 1: Answering Questions for This Quarter

1. Employee Count: Start by indicating the number of employees who received wages, tips, or other compensation for the pay period, including March 12, 2023.

2. Total Compensation: Enter the total wages, tips, and other compensation paid to employees during this quarter.

3. Federal Income Tax Withheld: Report the total federal income tax withheld from employees' wages, tips, and other compensation.

4. Wages Subject to Social Security and Medicare Tax: If applicable, indicate whether any wages, tips, and other compensation are not subject to Social Security or Medicare tax.

5. Calculate Taxes:

   • 5a to 5d: Enter taxable wages and tips for Social Security and Medicare taxes, including qualified sick leave wages and qualified family leave wages. Calculate the taxes using the provided rates.
   • 5e: Sum the totals from lines 5a through 5d to determine total Social Security and Medicare taxes.

6. Total Taxes: Add the amounts from lines 3 and 5e (and 5f if applicable) to determine the total taxes before adjustments.

7. Adjustments: Make any necessary adjustments for fractions of cents, sick pay, and tips and group-term life insurance.
8. Total Taxes After Adjustments: Combine lines 6 through 9 to find the total taxes after adjustments.

Part 2: Deposit Schedule and Tax Liability

This section determines if you're a monthly scheduled depositor or a semiweekly scheduled depositor based on your tax liability. Follow the instructions to indicate your deposit schedule and report your tax liability for the quarter.

Part 3: Business Information

Report any business changes, such as closure or cessation of paying wages, seasonal employment status, and any applicable health plan expenses related to qualified sick and family leave wages.

Part 4: Third-Party Designee

If you want to allow someone else to discuss this return with the IRS, provide their name and phone number, and select a 5-digit PIN.

Part 5: Signature

The form must be signed by the employer or an authorized representative, affirming that the information provided is accurate.

Payment Voucher (Form 941-V)

If making a payment with Form 941, complete the Form 941-V to ensure your payment is processed accurately. Include your EIN, the payment amount, the tax period, and your business name and address.

Final Checklist

• Ensure all required parts of Form 941 are completed and the information is accurate.
• Sign and date the form.
• If applicable, complete and attach Form 941-V along with your payment.
• Submit the form to the IRS by the required deadline.

Remember, staying informed of changes and requirements for forms like Form 941 is crucial for compliance and avoiding penalties. For the most current information and detailed instructions, always refer to the official IRS website and documentation.