Here we are. The first of October. Does everyone know what that means? Yes, it means the leaves are falling and changing colors, and the holidays are quickly approaching. Payroll/Accounting departments know what it means, too: it’s time, once again, for quarter end.
At the end of September, the IRS issued an updated Form 941 and instructions to be used beginning third quarter of 2020. The Form 941 has been revised to allow employers, who have elected to defer the withholding and payment of the employee share of social security tax on wages paid on or after September 1, 2020, to include the deferral on line 13b. The following additional guidance was also released on completing Line 16, to avoid failure-to-deposit penalties: