Learn how to complete Form 943, the Employer’s Annual Federal Tax Return for Agricultural Employees, including requirements for filing, step-by-step instructions, and payment methods. This form is due annually on January 31 of the subsequent year.
What is Form 943?
Form 943 is an IRS form used to report taxes withheld from agricultural employee’s paychecks. Employers must file this form if they have paid one agricultural worker at least $150 or all agricultural workers a collective amount of $2,500 in a calendar year. The form is due annually on January 31, with the option of filing electronically or through mail. Due to the pandemic, certain benefits may be tax-credited and reflected on Form 943. Employers must also deposit taxes into the Electronic Federal Tax Payment System, depending on if they are monthly or semiweekly depositors. There are penalties and interest assessed if employers fail to file or pay correctly, though abatement may be requested.
IRS Form 943 – Who Needs to Fill It Out?
Form 943 is the annual tax return for agricultural employees. It is a required form for employers who paid one agricultural worker $150 or more, or if they paid a total of $2,500 in wages to all agricultural workers in a calendar year. This form must then be submitted annually to the IRS, usually by January 31 of the subsequent year. Electronic filing is preferred, but you can submit it via mail if necessary. When filing, make sure to include all relevant information such as your name, address, EIN, and total wages paid, including qualified sick and family leave paid. Be sure to check out the step-by-step instructions on how to fill the form out, and take advantage of the worksheets provided. If you owe more than $2,500 in taxes, be sure to sign up for the Electronic Federal Tax Payment System to make your deposits. Don’t forget to take note of the deadlines and penalties to avoid paying interest charges.
Step-by-Step: Form 943 Instructions For Filling Out the Document
Filling out Form 943 can seem overwhelming at first, but it’s important to remember that it is designed to be fairly straightforward. Gather the necessary information first, such as your business’ name, address, and EIN, as well as the total wages paid to each employee and total deposits made for the year. Be aware of certain benefits due to the pandemic such as tax credits for qualified sick and family leave, as well as COBRA premiums, which all must be reported accurately. Once all this information is accounted for, remember to mark the box in the upper right if you have updated your address, and if you are no longer using agricultural employees and will not have to file Form 943 in the future. Afterwards, use worksheets 1, 2, and 3 to determine nonrefundable and refundable amounts, as these will affect the final total due or refundable. Finally, use the provided line-by-line instructions to properly submit Form 943 by the due date of January 31, and be sure to make the necessary electronic deposits if the amount due is more than $2,500. Be sure to file on time and correctly to avoid hefty penalties or interest charges.
Below, we present a table that will help you understand how to fill out Form 943.
| Information Required for Form 943 | Details |
|---|---|
| Business Name | Your business’s full legal name |
| Address | Business’s current mailing address |
| Employer Identification Number (EIN) | Unique identification number for your business |
| Total Wages Paid | Total wages paid to each employee for the year |
| Total Deposits Made | Total tax deposits made for the year |
| Pandemic Benefits | Report any tax credits for qualified sick and family leave, as well as COBRA premiums |
| Updated Address | Check the box if your business address has been updated |
| Use of Agricultural Employees | Indicate if you are no longer using agricultural employees and won’t file Form 943 in the future |
| Worksheets 1, 2, and 3 | Use these worksheets to determine nonrefundable and refundable amounts |
| Submission Instructions | Follow line-by-line instructions to properly submit Form 943 by the due date of January 31 |
| Electronic Deposits | If the amount due is over $2,500, make the necessary electronic deposits |
Do You Need to File Form 943 Each Year?
Do You Need to File Form 943 Each Year? Two tests determine if you need to file Form 943 – if you paid at least one agricultural worker $150 or more in a calendar year, or if the total wages paid to all agricultural workers is $2,500 or more in a calendar year. It is important to note you only need to meet one of the two tests to be required to file the form. It is due annually on January 31 of the subsequent year, and can be filed electronically, through the IRS-approved software, or by an IRS-authorized provider, or by mail. If you fail to file or make timely deposits, you may be subject to penalties between 2% and 15%.
Download the official IRS Form 943 PDF
On the official IRS website, you will find a link to download Form 943, the Employer’s Annual Federal Tax Return for Agricultural Employees. This form is required to report federal income tax, Social Security and Medicare withholdings from agricultural employees who have been paid at least $150 in cash wages in a given calendar year. However, to make it easier for you, we are providing the link in our article, which comes directly from the official irs.gov website! Click to download: Form 943
Sources:
https://www.irs.gov/forms-pubs/about-form-943
https://www.irs.gov/instructions/i943
