Form 941 Schedule B Filing Instructions
for 2024 & 2023

1. What is IRS Form 941 Schedule B?

Schedule B accompanies Form 941, it’s a daily report of the employer's tax liability for federal income tax withheld from employees. It also reports the employer's share of Social Security and Medicare taxes withheld during the period. For each quarter, this withholding information has to be reported to the IRS using Form 941 Schedule B. If you are Filing Form 941-SS, and deposit taxes semiweekly, then you must file Form 941- SS Schedule B.

Don’t use IRS Form 941 Schedule B to show federal tax deposits.

With TaxBandits, e-file Form 941 along with 941 Schedule B for 2024 in minutes at $5.95/form. Also, get an instant filing status. E-file Form 941 now

2. Who must file Form 941 Schedule B?

Not every employer needs to file Schedule b form 941 with their quarterly tax form 941. It’s specifically for employers who fall under these tax liability categories:

• Reported more than $50,000 of employment taxes in the lookback period
• Accumulated a tax liability of $100,000 or more on any given day in the current or prior calendar year

3. Why should you File Form 941 Schedule B?

If you are a semiweekly schedule depositor, you must complete form 941 Schedule B so that the IRS is able to reconcile your business’ wages and withholdings and process your tax payments.

Businesses who deposit taxes semi-weekly and Filing Form 941-SS should attach Form 941-SS Schedule B with
their return.

4. How to file Schedule B with Form 941?

You have 2 different options for filing IRS Form 941 Schedule B:

• 1. Paper Filing (By Mail): If you opt for paper filing, you will need to send both Form 941 and Schedule B via traditional mail. It's important to note that this method may take longer and requires careful attention to ensure accurate and timely delivery to the IRS.
• 2. Electronic Filing (Recommended): The most convenient and efficient method is to file both your Schedule B and Form 941 electronically. This approach streamlines the process and ensures timely submission of
  your tax documents.

TaxBandits simplifies your 941 Filing accompanied with Schedule B (Form 941). Complete your Filing in a few simple steps. E-File 941 Now!

5. How to fill out Form 941 Schedule B for 2024?

Instructions to fill out Form 941 Schedule B are as follows:

• Enter Employer information: This includes Employer Identification Number (EIN), Name and Address of the business.
• Select Quarter: Check in the Quarter which is applicable to the calendar year. This should match Quarter selected on Form 941 or 941-X.
• Enter Tax liability Information by Month: Enter the wages paid on appropriate dates.
  

  Note: It shouldn’t be the date payroll liabilities were accrued or deposits were made.

• Calculate Total liability: It is simply the sum of your monthly tax liabilities. The total liability is for the quarter for which your return is filed.
• Adjust tax liability for the qualified small business payroll tax credit for increasing research activities (Form 941, line 11): This is to be filled, if you are a semiweekly schedule depositor. Attach Form 8974 in Line 11 of Form 941.
• Correct previously reported tax liability: This is applicable if you have received a failure-to-deposit (FTD) penalty and you made an error on 941 Schedule B.
• If needed, complete Form 941-X: Correct errors on Form 941 which includes underreported and overreported employment taxes.

6. When is the Deadline to file Form 941 Schedule B for 2024?

There is no specific deadline for filing IRS Form 941 Schedule B. It must be filed with your Form 941 by the quarterly deadline, which is the last day of the month that follows the end of the quarter.

• April 30th - First quarter Deadline (January, February, and March)
• July 31st - Second quarter Deadline (April, May, and June)
• October 31st - Third quarter Deadline (July, August, and September)
• January 31st - Fourth quarter Deadline (October, November, and December)

7. Are there any penalties for not filing Schedule B form 941?

With failure to provide form Schedule B 941, it may be impossible for the IRS to know exactly which penalty rates apply. Then the IRS will generally split the difference by assessing the average penalties. These are determined by distributing your total tax liability shown on IRS Form 941, line 12, equally throughout the tax period.

8. What are the changes to Form 941 for the 2024 Tax Year?

• The Social Security tax rate for both employers and employees is 6.2%. The Social Security wage base limit has risen from $160,200 to $168,600.
• The Medicare tax rate for employers and employees is 4.5%, which remains constant. There are no wage basis limitations for Medicare taxes.
• Social Security and Medicare taxes will be levied on household workers earning $2,700 or more in cash in 2024.
• Election workers who earn $2,300 or more in cash or equivalent compensation in 2024 will be liable to Social Security and Medicare taxes.
• Businesses can no longer claim COVID-19 related credits for qualifying sick and family leave wages on Form 941.
• Certain lines has been removed from 941 form.

To learn more about revised form 941 for 2024, click here.

9. E-file Form 941 Schedule B with TaxBandits in Minutes

E-file Form 941 for 2024 with TaxBandits along with 941 Schedule B and get instant updates on the IRS status of
your form.

Follow the below simple steps to e-file form 941 for 2024 & prior years (2023, & 2022).

• Create a free TaxBandits account!
• Choose "Form 941" and enter the details.
• If you are a semiweekly depositor, you must complete Form 941 Schedule B.
• Review and Transmit to the IRS.

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