Small firms have the flexibility in choosing how often to file payroll tax returns. If you have a new business and expect your yearly federal employment taxes to be $1,000 or less, then you can select the option to file and annual Form 944 when you apply for an employer identification number. Those who don’t check the box for annual filing will be required to submit the 941 quarterly payroll tax returns. Existing businesses that now file the 941 but meet the 944 eligibility rules can contact the Revenue Service by April 1 in a given year to request to file the 944. Firms that receive written permission from the Service can shift to annual reporting.

Small Firm Payroll Taxes

by | Mar 17, 2020 | Tallahassee Tax Service | 0 comments