Department of the Treasury
Internal Revenue Service
Employer’s Annual Federal Unemployment
(FUTA) Tax Return
Section references are to the Internal Revenue Code unless otherwise noted.
Items To Note
Electronic deposit requirement. You may be required
Who May Use Form 940-EZ
to deposit Federal taxes, such as employment tax, excise
tax, and corporate income tax, using the Electronic
Federal Tax Payment System (EFTPS). See Electronic
The following chart will lead you to the right form
deposit requirement on page 3.
Electronic filing option. File electronically using Form
940 and receive proof of filing acknowledgement.
Did you pay unemployment
Electronic payment options may also be available. Visit
contributions to only one
the IRS website at for details.
Enhanced Third Party Designee authority. The
authority given to a representative when a filer completes
the Third Party Designee section of Form 940-EZ has
been enhanced and is now revocable. Third-party
Did you pay all state
designees will now be able to exchange information with
the IRS concerning Form 940-EZ. They may also request
by February 2, 2004?**
and receive written tax information relating to Form
940-EZ including copies of specific notices,
correspondence, and account transcripts. The named
third-party designee may now be any individual,
corporation, firm, organization, or partnership. As a
Were all wages that were
result, the enhanced Third Party Designee authorization
taxable for FUTA tax also
will be substantially equivalent to Form 8821, Tax
taxable for your state’s
Information Authorization. See Third Party Designee on
page 5 for details.
FUTA rate. The (net) FUTA rate of .8% (FUTA tax rate
of 6.2% less state credit of 5.4%) is shown as .008 on
line 6 of Form 940-EZ. If you qualify to file Form 940-EZ,
You may use
You must use
you are entitled to the full 5.4% state credit regardless of
your actual experience rate.
Mailing address change. You may need to mail the
return to a different address than in previous years
*Do not file Form 940-EZ if —
because the IRS has changed the filing location for
You owe FUTA tax only for household work in a private
several areas. If an envelope was received with the tax
home. See Household employers on page 2.
package, please use it. Otherwise, see Where To File
You are a successor employer claiming a credit for
on page 2.
state unemployment contributions paid by a prior
Signature on Form 940-EZ. Only an authorized
employer. File Form 940.
individual may sign Form 940-EZ. See Signature on
**If you deposited all FUTA tax when due, you may
answer “Yes” if you paid all state unemployment
contributions by February 10, 2004.
State unemployment information. You must contact
You can get Form 940 and the Instructions for Form
your state unemployment tax office to receive your state
940 by calling the IRS at 1-800-TAX-FORM
reporting number, state experience rate, and details
(1-800-829-3676) or by visiting the IRS website at
about your state unemployment tax obligations.
Web-based application for an EIN. You may now apply
for an employer identification number (EIN) online by
visiting the IRS website at See
also Employer identification number (EIN) on page 4.
Cat. No. 25947I