Instructions For Form 940 - 2016 (Page 2 of 12) in pdf

paid cash wages of $1,000 or more in any calendar quarter in

Photographs of missing children. The IRS is a proud partner

2015 or 2016.

with the National Center for Missing and Exploited Children.

Photographs of missing children selected by the Center may

A household employee performs household work in a:

appear in instructions on pages that would otherwise be blank.

Private home,

You can help bring these children home by looking at the

Local college club, or

photographs and calling 1-800-THE-LOST (1-800-843-5678) if

Local chapter of a college fraternity or sorority.

you recognize a child.

Generally, employers of household employees must file

How Can You Get More Help?

Schedule H (Form 1040) instead of Form 940.

If you want more information about this form, see Pub. 15, visit

However, if you have other employees in addition to

our website at IRS.gov, or call the Business and Specialty Tax

household employees, you can choose to include the FUTA

Line toll free at 1-800-829-4933 or 1-800-829-4059 (TDD/TTY

taxes for your household employees on Form 940 instead of

for persons who are deaf, hard of hearing, or have a speech

filing Schedule H (Form 1040). If you choose to include

disability) Monday–Friday from 7:00 a.m. to 7:00 p.m. local time

household employees on your Form 940, you must also file

(Alaska and Hawaii follow Pacific time).

Form 941, Employer's QUARTERLY Federal Tax Return; Form

943, Employer's Annual Federal Tax Return for Agricultural

For a list of related employment tax topics, visit IRS.gov and

Employees; or Form 944, Employer's ANNUAL Federal Tax

enter “employment taxes” in the search box. You can order

Return; to report social security, Medicare, and any withheld

forms, instructions, and publications at

federal income taxes for your household employees. See Pub.

General Instructions:

926 for more information.

For Agricultural Employers . . .

What's the Purpose of Form 940?

File Form 940 if you answer “Yes” to either of these questions.

Did you pay cash wages of $20,000 or more to farmworkers

These instructions give you some background information about

during any calendar quarter in 2015 or 2016?

Form 940. They tell you who must file the form, how to fill it out

Did you employ 10 or more farmworkers during some part of

line by line, and when and where to file it.

the day (whether or not at the same time) during any 20 or more

Use Form 940 to report your annual Federal Unemployment

different weeks in 2015 or 20 or more different weeks in 2016?

Tax Act (FUTA) tax. Together with state unemployment tax

Count wages you paid to aliens who were admitted to the

systems, the FUTA tax provides funds for paying unemployment

United States on a temporary basis to perform farmwork

compensation to workers who have lost their jobs. Most

(workers with H-2A visas). However, wages paid to “H-2A visa

employers pay both a federal and a state unemployment tax.

workers” aren't subject to FUTA tax. See Pub. 51 for more

Only employers pay FUTA tax. Don't collect or deduct FUTA tax

information.

from your employees' wages.

The FUTA tax applies to the first $7,000 you pay to each

For Indian Tribal Governments . . .

employee during a calendar year after subtracting any payments

Services rendered by employees of a federally recognized

exempt from FUTA tax.

Indian tribal government employer (including any subdivision,

Who Must File Form 940?

subsidiary, or business enterprise wholly owned by the tribe) are

exempt from FUTA tax and no Form 940 is required. However,

Except as noted below, if you answer “Yes” to either one of

the tribe must have participated in the state unemployment

these questions, you must file Form 940.

system for the full year and be in compliance with applicable

Did you pay wages of $1,500 or more to employees in any

state unemployment law. For more information, see section

calendar quarter during 2015 or 2016?

3309(d).

Did you have one or more employees for at least some part of

For TaxExempt Organizations . . .

a day in any 20 or more different weeks in 2015 or 20 or more

different weeks in 2016? Count all full-time, part-time, and

Religious, educational, scientific, charitable, and other

temporary employees. However, if your business is a

organizations described in section 501(c)(3) and exempt from

partnership, don't count its partners.

tax under section 501(a) aren't subject to FUTA tax and don't

If your business was sold or transferred during the year, each

have to file Form 940.

employer who answered “Yes” to at least one question above

For Employers of State or Local

must file Form 940. However, don't include any wages paid by

the predecessor employer on your Form 940 unless you’re a

Governments. . .

successor employer. For details, see Successor employer under

Services rendered by employees of a state, political subdivision

Type of Return.

or instrumentality of the state are exempt from FUTA tax and no

If you’re not liable for FUTA tax for 2016 because you made

Form 940 is required.

no payments to employees in 2016, check box c in the top right

When Must You File Form 940?

corner of the form. Then go to Part 7, sign the form, and file it

with the IRS.

The due date for filing Form 940 for 2016 is January 31, 2017.

If you won’t be liable for filing Form 940 in the future because

However, if you deposited all your FUTA tax when it was due,

your business has closed or because you stopped paying

you may file Form 940 by February 10, 2017.

wages, check box d in the top right corner of the form. See Final:

Business closed or stopped paying wages under Type of Return

If we receive your return after the due date, we will treat your

for more information.

return as filed on time if the envelope containing your return is

properly addressed, contains sufficient postage, and is

For Employers of Household Employees . . .

postmarked by the U.S. Postal Service on or before the due date

If you’re a household employer, you must pay FUTA tax on

or sent by an IRS-designated private delivery service on or

wages that you paid to your household employees only if you

before the due date. However, if you don't follow these

Instructions for Form 940 (2016)

Instructions For Form 940 - 2016 Page 2

Related Articles

Related forms

Related Categories