Instructions For Form 945 - Annual Return Of Withheld Federal Income Tax

Line 6 — Overpayment. If you deposited more than the

correct amount for the year, you can have the overpayment

refunded or applied to your next return by checking the

Specific Instructions

appropriate box. The IRS may apply your overpayment to

any past due tax account under your EIN. If line 6 is under

State code. If you made your deposits using Form 8109 or

$1, we will send a refund or apply it to your next return only

by using an EFTPS bank account in a state other than that

on written request.

shown in your address on Form 945, enter the state code for

the state where you made deposits or initiated EFTPS

Line 7 — Monthly Summary of Federal Tax Liability.

transfers in the box provided in the upper left corner of

This is a summary of your monthly tax liability, not a

Form 945. Use the two-letter United States Postal Service

summary of deposits made. If line 3 is less than

state abbreviation as the state code. Enter the code “MU” in

$2,500, do not complete line 7 or Form 945-A.

CAUTION

the state code box if you deposit in more than one state. If

you deposit in the same state as shown in your address, do

Complete line 7 only if you were a monthly schedule

not make an entry in this box.

depositor for the entire year and line 3 is $2,500 or more.

See Determining your deposit schedule on page 2.

Line A — Final return. If you go out of business or end

operations and you will not have to file Form 945 in the

The amount entered on line 7M must equal the

future, file a final return. Be sure to check the box on

amount reported on line 3.

line A and enter the date that final nonpayroll payments

CAUTION

were made.

Report your liabilities on Form 945-A instead of on

Line 1 — Federal income tax withheld. Enter the federal

line 7 if either of the following apply.

income tax that you withheld (or were required to withhold)

•

You were a semiweekly schedule depositor

from pensions (including distributions from section 403(b)

during 2010. Do not complete entries A through M of

and governmental section 457(b) plans), annuities, IRA

line 7. Instead, complete and file Form 945-A with

distributions, military retirement, Indian gaming profits, and

Form 945.

gambling winnings (regular gambling withholding only). Also

•

You were a monthly schedule depositor for 2010 and

enter any voluntary amount that you withheld on certain

during any month you accumulated nonpayroll taxes of

government payments. If you are required to report federal

$100,000 or more. Because this converted you to a

income tax withholding on Forms 1099 (for example, Form

semiweekly schedule depositor for the remainder of 2010

1099-R or 1099-MISC) or Form W-2G, you must report the

(and for 2011), you must report your liabilities on

federal income tax withheld on Form 945.

Form 945-A for the entire year. Do not complete entries A

Note. Federal income tax withholding reported on

through M of line 7. For more information, see the $100,000

Form W-2 must be reported on Form 941, Form 943,

Next-Day Deposit Rule in section 11 of Pub. 15 (Circular E).

Form 944, or Schedule H (Form 1040), as appropriate.

Third-Party Designee. If you want to allow any individual,

corporation, firm, organization, or partnership to discuss

Line 2 — Backup withholding. Enter any backup

your 2010 Form 945 with the IRS, check the “Yes” box in the

withholding, including backup withholding on gambling

Third-Party Designee section of Form 945. Also, enter the

winnings.

name, phone number, and any five-digit personal

Regulated investment companies (RICs) and real estate

identification number (PIN) for the specific person to speak

investment trusts (REITs) must report any backup

with — not the name of the firm who prepared your return.

withholding on Form 945 in the year that the dividends are

By checking the “Yes” box, you are authorizing the IRS to

actually paid. This includes January payments of dividends

speak with the designee to answer any questions relating to

declared during October, November, and December of the

the information reported on your tax return. You are also

prior year. See the Instructions for Form 1099-DIV for

authorizing the designee to:

special reporting requirements.

•

Give the IRS any information that is missing from your

Line 3 — Total taxes. Add lines 1 and 2. If total taxes are

return,

$2,500 or more, the amount reported on line 3 must equal

•

Call the IRS for information about the processing of your

the total liability for the year reported on line 7M of the

return or the status of your refund or payments,

Monthly Summary of Federal Tax Liability, or line M of Form

•

Receive copies of notices or transcripts related to your

945-A.

return upon request, and

•

Line 4 — Total deposits. Enter your total Form 945

Respond to certain IRS notices about math errors, offsets,

deposits for the year, including any overpayment that you

and return preparation.

applied from filing Form 945-X and any overpayment that

You are not authorizing the designee to receive any

you applied from your 2009 return.

refund check, bind you to anything (including additional tax

Line 5 — Balance due. You do not have to pay if line 5 is

liability), or otherwise represent you before the IRS. If you

under $1. Generally, you should have a balance due only if

want to expand the designee’s authorization, see Pub. 947,

your total taxes for the year (line 3) are less than $2,500. If

Practice Before the IRS and Power of Attorney.

you made payments under the accuracy of deposits rule,

The authorization will automatically expire 1 year from the

see section 11 of Pub. 15 (Circular E). Enter your EIN,

due date (without regard to extensions) for filing your 2010

“Form 945,” and “2010” on your check or money order and

Form 945. If you or your designee wants to terminate the

make it payable to the “United States Treasury.” Complete

authorization, write to the IRS office for your locality using

Form 945-V, Payment Voucher, if you are making a

the address for Where to file (without a payment) in the

payment with Form 945. If line 3 is $2,500 or more and you

chart on page 2.

deposited all taxes when due, the amount on line 5 should

Who must sign. Form 945 must be signed as follows:

be zero.

•

Sole proprietorship — The individual who owns the

If you did not make required deposits (using EFTPS

business.

•

Corporation (including a limited liability company

or Form 8109, as required) and instead pay these

(LLC) treated as a corporation) — The president, vice

amounts with your return, you may be subject to a

CAUTION

penalty.

president, or other principal officer duly authorized to sign.

-3-

Instructions for Form 945 (2010)

Instructions For Form 945 - Annual Return Of Withheld Federal Income Tax - 2010 Page 3

Related Articles

Related forms

Related Categories