Employer’s Quarterly Federal Payroll Tax Form 941 has changed for COVID-19
Form 941 reports federal payroll tax withholding and employer taxes on wages paid to employees. If you pay wages subject to federal income tax withholding or social security and medicare taxes, you must file Form 941 quarterly. Recently, the Form 941 has undergone changes for COVID-19 related employment tax credits and other tax relief. The staff at Wilson Toellner CPA is sharing with you the changes you'll see when filing the Form 941. You will notice the following changes: Include the Qualified Sick and Family Leave Wages separately on Form 941. These wages were required to be paid to employees due to the Families First Coronavirus Response Act (if applicable) and will reduce your tax by the employer share of the Social Security tax (6.2%). You will only pay tax on the employee share. Report the credit for Qualified Sick and Family Leave Wages. The credit on the Qualified Sick and Family Leave Wages consists of the Qualified Sick and Family Leave Wages, Qualified He...