When Is the 4th Quarter Form 941 Due?

Understanding Form 941

Form 941, the Employer’s Quarterly Federal Tax Return, is a document employers use to report various payroll taxes to the Internal Revenue Service (IRS). This form summarizes the federal income tax, Social Security, and Medicare taxes an employer withholds from employee paychecks. It also accounts for the employer’s share of Social Security and Medicare taxes.

Most employers who pay wages subject to federal income tax withholding, Social Security, or Medicare taxes are required to file Form 941 quarterly. This includes reporting employee wages, tips, and other compensation. Businesses must continue to file quarterly even if they have no employees during some quarters, with exceptions for seasonal employers, household employers, and agricultural employers who use other forms like Form 943 or Form 944.

For 2025, the Social Security tax rate is 6.2% each for the employee and employer, up to a wage base limit of $176,100, while the Medicare tax rate is 1.45% for each, with no wage base limit.

Quarterly Filing Deadlines

Employers must file Form 941 four times a year, with specific due dates corresponding to each calendar quarter. The first quarter (January 1 to March 31) is due by April 30. For the second quarter (April 1 to June 30), the deadline is July 31.

The third quarter, covering July 1 to September 30, has a filing deadline of October 31. For the fourth quarter, which spans October 1 to December 31, Form 941 is due by January 31 of the following calendar year.

A common rule applies if any of these due dates fall on a Saturday, Sunday, or legal holiday. In such cases, the deadline automatically shifts to the next business day. This adjustment ensures employers have a full business day to meet their filing obligations.

Timely Filing and Payment

Filing Form 941 and depositing the associated taxes are distinct obligations for employers. While Form 941 is a quarterly report, tax deposits are generally required more frequently, often on a monthly or semi-weekly basis, depending on the employer’s tax liability. These deposits are primarily made through the Electronic Federal Tax Payment System (EFTPS).

Employers determine their deposit schedule based on their reported tax liability during a “lookback period,” typically the prior four quarters. For instance, if the tax liability was $50,000 or less, the employer is usually a monthly depositor, otherwise, they are semi-weekly.

A provision known as the “timely payment rule” can extend the filing deadline for Form 941. If an employer has made timely deposits of all taxes due for the quarter in full, they are granted an additional 10 calendar days to file Form 941. For example, the first quarter Form 941 would be due by May 10 instead of April 30 if all deposits were made on time.

Penalties for Non-Compliance

Failing to meet Form 941 filing and payment deadlines can result in various penalties from the IRS. A failure-to-file penalty applies if the form is not submitted by its due date, amounting to 5% of the unpaid tax for each month or part of a month the return is late, capped at 25% of the unpaid taxes.

A separate failure-to-pay penalty is assessed when taxes are not paid by the deadline, typically 0.5% of the unpaid taxes for each month or part of a month they remain unpaid, also capped at 25%.

The IRS also imposes a failure-to-deposit penalty for not making timely or correct tax deposits. This penalty varies based on the lateness: 2% for deposits 1 to 5 days late, 5% for 6 to 15 days late, and 10% for over 15 days late. If the payment is not made within 10 days of an IRS notice, the penalty can increase to 15%.

Additionally, interest may accrue on underpaid taxes from the due date until paid in full. The IRS sets interest rates quarterly, which can vary, and interest is compounded daily. The interest rate on underpayments for individuals was 7% for the first two quarters of 2025.