Form 941 Worksheet for 2020 with
IRS COVID-19 changes

• Line 1a

  Enter the amount of social security tax from Form 941, Part 1, line 5a, column 2

• Line 1b

  Enter the amount of social security tax from Form 941, Part 1, line 5b, column 2

• Line 1c

  Add lines 1a and 1b

• Line 1d

  Multiply line 1c by 50% (0.50)

• Line 1e

  If you’re a third-party payer of sick pay, but not an agent, and you're claiming credits for amounts paid to your employees, enter the employer share of social security tax included on Form 941, Part 1, line 8 (only positive numbers are accepted)

• Line 1f

  Subtract line 1e from line 1d

• Line 1g

  If you received a Section 3121(q) Notice and Demand during the quarter, enter the amount of the employer share of social security tax from the notice

• Line 1h

  Employer share of social security tax

• Line 1i

  Enter the amount from Form 941, Part 1, line 11a (credit from Form 8974)

• Line 1j

  Enter the amount to be claimed on Form 5884-C, line 11, for this quarter

• Line 1k

  Total nonrefundable credits already used against the employer share of social security tax. Add lines 1i and 1j

• Line 1l

  Employer share of social security tax remaining. Subtract line 1k from line 1h

"The Worksheet 1 is built into the TaxBandits Form 941 filing flow, making the calculations much easier!" Get Started Now

• Line 2a

  Enter the qualified sick leave wages reported on Form 941, Part 1, line 5a(i), column 1

• Line 2a(i)

  Enter the qualified sick leave wages included on Form 941, Part 1, line 5c, but not included on Form 941, Part 1, line 5a(i), column 1, because the wages reported on that line were limited by the social security wage base

• Line 2a(ii)

  Enter the total qualified sick leave wages. Add lines 2a and 2a(i)

• Line 2b

  Enter the qualified health plan expenses allocable to qualified sick leave wages
  (Form 941, Part 3, line 19)

• Line 2c

  Enter the employer share of Medicare tax on qualified sick leave wages. Multiply
  line 2a(ii) by 1.45% (0.0145)

• Line 2d

  Enter the credit for qualified sick leave wages. Add lines 2a(ii), 2b, and 2c

• Line 2e

  Enter the qualified family leave wages reported on Form 941, Part 1, line 5a(ii), column 1

• Line 2e(i)

  Enter the qualified family leave wages included on Form 941, Part 1, line 5c, but not included on Form 941, Part 1, line 5a(ii), column 1, because the wages reported on that line were limited by the social security wage base

• Line 2e(ii)

  Enter the total qualified family leave wages. Add lines 2e and 2e(i)

• Line 2f

  Enter the qualified health plan expenses allocable to qualified family leave wages
  (Form 941, Part 3, line 20)

• Line 2g

  Enter the employer share of Medicare tax on qualified family leave wages.
  Multiply line 2e(ii) by 1.45% (0.0145)

• Line 2h

  Enter the credit for qualified family leave wages. Add lines 2e(ii), 2f, and 2g

• Line 2i

  Enter the credit for qualified sick and family leave wages. Add lines 2d and 2h

• Line 2j

  Non-refundable portion of the credit for qualified sick and family leave wages. Enter the smaller of line 1l or line 2i. Enter this amount on Form 941, Part 1, line 11b

• Line 2k

  Refundable portion of the credit for qualified sick and family leave wages. Subtract line 2j from line 2i and enter this amount on Form 941, Part 1, line 13

"The Worksheet 1 is built into the TaxBandits Form 941 filing flow, making the calculations much easier!" Get Started Now

• Line 3a

  Enter the qualified wages (excluding qualified health plan expenses) for the employee retention credit (Form 941, Part 3, line 21)

• Line 3b

  Enter the qualified health plan expenses allocable to qualified wages for the employee retention credit (Form 941, Part 3, line 22)

• Line 3c

  Add lines 3a and 3b

• Line 3d

  Retention credit. Multiply line 3c by 50% (0.50)

• Line 3e

  Enter the amount of the employer share of social security tax from Step 1, line 1l

• Line 3f

  Enter the amount of the non-refundable portion of the credit for qualified sick and family leave wages from Step 2, line 2j

• Line 3g

  Subtract line 3f from line 3e

• Line 3h

  Non-refundable portion of employee retention credit. Enter the smaller of line 3d or line 3g. Enter this amount on Form 941, Part 1, line 11c

• Line 3i

  Refundable portion of employee retention credit. Subtract line 3h from line 3d and enter this amount on Form 941, Part 1, line 13d

"The Worksheet 1 is built into the TaxBandits Form 941 filing flow, making the calculations much easier!" Get Started Now