Fillable Form 944

What is Form 944?

Form 944 is a tax form submitted by businesses to the Internal Revenue Service (IRS) in order to report their annual federal tax liability. This form is specifically tailored for employers whose annual liability for social security, Medicare, and withheld federal income taxes is $1,000 or less. Essentially, it provides a simplified alternative to the quarterly filing requirement of Form 941, catering to the needs of smaller businesses by reducing the frequency of tax reporting.

How do I fill out Form 944?

You can find a fillable copy of Form 944 here.

Employer Information

Employer Identification Number

Enter your Employer Identification Number (EIN).

Name

Enter your full legal name - not your trade name.

Trade Name

If you have a trade name, enter it here.

Address

Enter the following information on your address;

• Number
• Street
• Suite or Room Number
• City
• State
• ZIP Code
• Foreign Country Name (If applicable)
• Foreign Province/County (If applicable)
• Foreign Postal Code (If applicable)

Name and Employer Identification Number

At the top of each page of this form, enter your name (not your trade name) and your Employer Identification Number (EIN) in the space provided.

Part 1

Line 1

Enter the amount received in wages, tips, and other compensation.

Line 2

Enter the total federal income tax withheld from wages, tips, and other compensation.

Line 3

If no wages, tips, and compensation are subject to social security or medicare tax, check the box provided and skip to Line 5.

Line 4a

Enter the total amount of taxable social security wages in Column 1. Then multiply it by 0.124 and enter the product in Column 2.

Line 4a (i)

Enter the total amount of qualified sick leave wages in Column 1. Then multiply it by 0.062 and enter the product in Column 2.

Line 4a (ii)

Enter the total amount of qualified family leave wages in Column 1. Then multiply it by 0.062 and enter the product in Column 2.

Line 4b

Enter the total amount of taxable social security tips in Column 1. Then multiply it by 0.124 and enter the product in Column 2.

Line 4c

Enter the total amount of taxable Medicare wages and tips in Column 1. Then multiply it by 0.029 and enter the product in Column 2.

Line 4d

Enter the total amount of taxable wages and tips subject to additional medicare tax withholding in Column 1. Then multiply it by 0.009 and enter the product in Column 2.

Line 4e

Add Column 2 from Lines 4a, 4a(i), 4a(ii), 4b, 4c, and 4d and enter the sum.

Line 5

Add the amounts on Lines 2 and 4e and enter the sum.

Line 6

Enter the current year’s adjustments.

Line 7

Add the amounts on Lines 5 and 6 and enter the sum.

Line 8a

Enter the qualified small business payroll tax credit for increasing research activities. Attach Form 8974 to this form.

Line 8b

Enter the nonrefundable portion of the credit for qualified sick and family leave wages for leave taken before April 1, 2021.

Line 8c

Enter the nonrefundable portion of employee retention credit.

Line 8d

Enter the nonrefundable portion of credit for qualified sick and family leave wages for leave taken after March 31, 2021. Complete ALL pages of Form 944 and sign the form.

Line 8e

Enter the nonrefundable portion of the COBRA premium assistance credit.

Line 8f

Enter the number of individuals that have been provided with COBRA premium assistance.

Line 8g

Add the amounts on Lines 8a to 8e, and enter the sum.

Line 9

Subtract Line 8g from Line 7 and enter the difference.

Line 10a

Enter the total deposits for this quarter, including overpayment applied from a prior year and overpayments applied from Form 944-X, 944-X (SP), 941-X, or 941-X (PR).

Line 10b

This Line is reserved for future use.

Line 10c

This Line is reserved for future use.

Line 10d

Enter the refundable portion of the credit for qualified sick and family leave wages taken before April 1, 2021.

Line 10e

Enter the refundable portion of employee retention credit.

Line 10f

Enter the refundable portion of credit for qualified sick and family leave wages taken after March 31, 2021.

Line 10g

Enter the refundable portion of COBRA premium assistance credit.

Line 10h

Add the amounts on Lines 10a, 10d, 10e, 10f, and 10g, and enter the sum.

Line 10i

Enter the total amount in advances received from filing Form(s) 7200 for the year.

Line 10j

Subtract Line 10i from Line 10h and enter the difference.

Line 11

If Line 9 is greater than Line 10j, enter the difference and see the instructions section of this form for more information on how to proceed.

Line 12

If Line 10j is greater than Line 9, enter the difference and check the box that corresponds to whether or not you wish for this amount to be applied to your next return or if you wish to be sent a refund.

Part 2

Line 13

Check only one of the following boxes that applies.

• Line 9 is less than $2500. If you check this box, proceed to Part 3.
• Line 9 is greater than or equal to $2500. If you check this box, for Lines 13a to 13l, enter your tax liability for each month of the year, then enter the sum of all these tax liabilities in Line 13m (this amount must be the same as is entered on Line 9.) However, if you are a semiweekly schedule depositor or you became one because you accumulated $100,000 or more of liability on any day during a deposit period, complete Form 945-A instead of the boxes provided for Lines 13a to 13m.

Part 3

Line 14

If your business has closed, or you have otherwise stopped paying wages, check the box provided, and enter the final date that you paid wages. Then attach a statement to your return according to the instructions section of this form.

Line 15

Enter the amount of qualified health plan expenses allocable to qualified sick leave wages for leave taken before April 1, 2021.

Line 16

Enter the amount of qualified health plan expenses allocable to qualified family leave wages for leave taken before April 1, 2021.

Line 17

Enter the amount of qualified wages for employee retention credit.

Line 18

Enter the amount of qualified expenses for employee retention credit.

Line 19

Enter the amount of qualified sick leave wages for leave taken after March 31, 2021.

Line 20

Enter the amount of qualified health plan expenses allocable to qualified sick leave wages reported on Line 19.

Line 21

Enter the amounts under which certain collectively bargained agreements are allocable to the qualified sick leave wages reported on Line 19.

Line 22

Enter the amount of qualified family leave wages taken after March 31, 2021.

Line 23

Enter the amount of qualified health plan expenses allocable to the qualified family leave wages reported on Line 22.

Line 24

Enter the amounts under which certain collectively bargained agreements are allocable to the qualified family leave wages reported on Line 22.

Line 25

If you are eligible for the employee retention credit in the third quarter solely because your business is a recovery startup business, enter the total of any amounts included on Lines 8c and 10e for the third quarter.

Line 26

iF you are eligible for employee retention credit in the fourth quarter solely because your business is a recovery startup business, enter the total of any amounts included on Lines 8c and 10e for the fourth quarter.

Part 4

Do you wish to allow an employee, paid tax preparer, or another person to discuss this return with the IRS?

Check the box that corresponds to your answer, then provide any additional information as requested.

• Yes. If you select this option, enter the following information in the spaces provided.
  • Designee’s name and phone number
  • Agreed-upon 5-digit Personal Identification Number (PIN) that the designee will use when talking to the IRS.
• No

Part 5

Signature

Sign the form in the space provided. Then enter your name, your title, your daytime phone number, and the date that you signed this form.

Paid Preparer Use Only

Have the paid preparer check the box provided if they are self-employed. Then, have them sign the form in the space provided, then enter the following information about themselves:

• Name
• PTIN
• Date form was signed
• Firm’s Name (enter own name if self-employed)
• EIN
• Address
• Phone
• City
• State
• ZIP Code

Form Instructions and Information

The section after this contains information about various parts of the form, so make sure to read through it carefully.

Payment Voucher

Enter the following information about yourself and the payment attached to this voucher.

• Your EIN
• Amount of Payment (enter the exact amount in dollars and cents, and make sure that your check or money order is payable to the “United States Treasury”)
• Your business’ name
• Your address (street)
• Your city, state, and ZIP code. If you are overseas, enter your city, foreign country name, foreign province/county, and foreign postal code.

Frequently Asked Questions (FAQs)

What is the purpose of filing a tax return?

Filing a tax return is a legal requirement in many countries, including the United States, and it serves to report an individual's or business's income, deductions, and tax liabilities to the government.

What are some common types of tax returns?

Common types of tax returns include individual income tax returns (e.g., Form 1040 in the United States), corporate tax returns (e.g., Form 1120), and partnership tax returns (e.g., Form 1065). Each is filed under certain conditions, and are often filed alongside other tax returns.

What are tax deductions and credits?

Tax deductions and credits are incentives provided by the government to reduce a taxpayer's taxable income or tax liability. Deductions reduce taxable income, while credits directly reduce taxes owed.

How do tax brackets work?

Tax brackets represent different ranges of taxable income, each with its own corresponding tax rate. As income increases, taxpayers may move into higher tax brackets, resulting in a higher overall tax rate.

Are there tax professionals who can assist with filing tax returns?

Yes, tax professionals such as certified public accountants (CPAs) and tax preparers can assist individuals and businesses with preparing and filing their tax returns.

What eligibility criteria must a business meet to file Form 944?

Businesses must have an annual liability of $1,000 or less for social security, Medicare, and withheld federal income taxes to file Form 944.

Is filing Form 944 mandatory for all eligible businesses?

No, businesses must receive notification from the IRS of their eligibility to file Form 944. Otherwise, they should continue filing Form 941 quarterly.

What is the penalty for not filing Form 944?

Failure to file Form 944 or filing it late will result in a 5% penalty on the tax owed for each month the return is late, up to a maximum of 25%.

Can Form 944 be amended after filing?

Yes. Contact the IRS to learn more about the process of correcting erroneous information that may have been sent to them in Form 944. Do so as soon as possible in order to avoid any issues with your tax return documents and information.

When is the due date for Form 944?

Form 944 is always due on January 31st.

What are the deposit schedule options for businesses filing Form 944?

Businesses filing Form 944 can choose between semi-weekly or monthly deposit schedules for their tax obligations.

Can businesses file Form 944 electronically?

Yes, businesses can file Form 944 electronically through the IRS's e-file system.

Can a business be exempted from filing Form 944?

Yes, a business can be exempted from filing Form 944 if it does not meet the eligibility criteria set by the IRS. Otherwise, it is not possible to obtain an exemption from filing the form.

Can businesses opt out of filing Form 944 if they prefer quarterly filings?

Yes. If a business prefers quarterly filings, they can continue filing Form 941 even if they are eligible to file Form 944.

What are the advantages of filing Form 944 compared to Form 941?

Filing Form 944 reduces the frequency of tax filings for eligible businesses, simplifying the administrative burden associated with tax reporting.