IRS Form 941 Fillable Worksheet 1 for Credit Calculation of Q2 2022

If you are an employer who files the Quarterly Employment Tax Form to the IRS, you should be aware of Worksheet 1. You should potentially use Worksheet 1 when claiming credits under the CARES Act and Employee Retention Credit for the second quarter of 2020 and beyond. Worksheet 1 will help in determining the following COVID-19 related tax credit:

  • The sick leave credit
  • The family leave credit

Note: For calculating the employee retention credit for the third quarter of 2022, use
Form 941 Worksheet 2

By completing this worksheet, you will be able to determine which tax credits are
refundable or non-refundable.

What are the changes to the 2022 fillable IRS Form 941 Worksheet 1 for Q3?

For the second quarter of 2022, IRS has released the changes for the fillable Form 941 Worksheet 1. The following are the changes:

  • Step 1 of Worksheet 1 is used to determine the employer share of social security tax which is reduced after the credit claimed on Form 8974 and any credit to be claimed on Form 5884-C and Form 5884-D
  • Step 2 of Worksheet 1 is to calculate the refundable and nonrefundable portions of sick and family leave credit for leave taken before April 1, 2022
  • Step 3 of Worksheet 1 is now made into a separate Worksheet 2 for calculating the employee retention credit.

Learn more about Worksheet 1 2022.

How to complete Worksheet 1 (Form 941)?

Basically, Form 941 worksheet 1 consists of 3 steps. Before you begin to complete Worksheet 1, you should know how you paid your employees for the reporting quarter. You will then need to fill out the applicable worksheet sections to determine the refundable and non-refundable portions of
these tax credits.

Learn more about Form 941 Worksheet 1 Step-by-Step Instructions at

The IRS introduced Worksheet 1 to help employers calculate the tax credits for which they are eligible. The IRS doesn’t require employers to attach worksheet 1 to their Form 941. It is only a tool to aid in the calculations while filing Form 941 for 2022.

TaxBandits offers in-built calculation of the 941 Worksheets and you can get an instant filing status if you e-file Form 941 with TaxBandits.

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