IRS Releases New 2020 Form 941 Accommodates Reporting of COVID-19 Employment Tax Credits

New 2020 Form 941 Accommodates Reporting of COVID-19 Employment Tax Credits:  Are you ready to meet these changes and handle them correctly?

At the end of April, the IRS issued drafts of the 2020 Form 941, Employer’s Quarterly Federal Tax Return, and its instructions to be used beginning with the second quarter return (April 1 to June 30) that must be filed by July 31. The revised form has “significant changes” to allow reporting of new employment tax credits and other tax relief related to the novel coronavirus (COVID-19). 

The form 941 is an essential form for all employers that pay employees and withhold federal and FICA (Social security and Medicare) taxation. The importance of reconciliation and completing not only the Form 941, but Schedule B is becoming increasingly important for employers to avoid costly disputes with the IRS resulting in penalty and interest. This topic will also explain proper withholding taxation and reporting.

• What’s New for Q2-Q4 2020 
  
• Families First Act: Credits for Paid Sick Leave and Paid Family Leave
• CARES Act: including deferring Employer’s Social Security
• IRS Form 7200: Purpose for the form and how it applies to you 
• Line by line review of the massive changes of the New Revised Form 941
• Schedule B Requirements and Tips
• Reconciliation of Form 941 and W-2's
• 941-X Forms and How to Deal With Them
• IRS Notices, Disputes and How to Deal With Them