Employers use Form 940 – Employer’s Annual Federal Unemployment Tax Return to report FUTA taxes. Under federal law, employers who are responsible for paying FUTA taxes, as well as employers who haven’t made any payments for the tax year, must fill out Form 940 and report to the Internal Revenue Service.
So pretty much all employers who have employees working for them must fill out Form 940 and report it to the IRS. While FUTA taxes are paid on a quarterly basis, Form 940 is filed annually. It isn’t like Form 941 which is filed for every quarter reporting the income paid to employees and tax withheld.
See FUTA Tax Rate 2021.
Fill Out Form 940 Online
Form 940 can be filled out online below. Upon filling out Form 940, you can print out a paper copy and mail it to the Internal Revenue Service. Since the e-filing options are limited with Form 940 and it isn’t available on IRS Free File Fillable Forms, you will have to pay an e-file provider.
If filing Form 940 isn’t urgent for you, gather the information that needs to be entered on the form and fill out a copy online. Upon filling out Form 940, you can print out a paper copy to mail it to the Internal Revenue Service.
Form 940 instructions to file can help you guide where to mail as well as what to enter on Form 940 to figure out whether or not you have any liability to pay FUTA taxes.
Take note that this is not a way to e-file Form 940. You will simply be filling out the form online rather than filling it out on paper. By filing tax forms this way, – not just Form 940 – your return will look a lot more professional and you’ll be able to fulfill your tax obligations faster.
File Form 940 below and print out a paper copy once you’re done.
According to the IRS, it takes about 9 hours to gather information to enter on Form 940, and one and three hours for learning about the law, preparing, copying assembling, and sending the form to the Internal Revenue Service
Since you’ll be filing this tax form for the 2020 tax year in 2021, the “941 Form for 2020” refers to the 2021 tax season. File and submit Form 940 to the IRS by January 31, 2021.