News & Resources


IRS Releases Revised Form 941 for COVID-19-Related Tax Relief

BY: Curtis E. Tatum, Esq. | 06/29/20

The IRS released a revised Form 941, Employer’s Quarterly Federal Tax Return, and its instructions to be used beginning with the second quarter of 2020 (due July 31, 2020). The form has been updated to accommodate reporting of COVID-19-related employment tax credits and other relief.

The revised Form 941 includes lines to report the:

  • Credit for qualified sick leave and expanded family and medical leave wages
  • Employee retention credit
  • Deferrals of the employer share of social security tax during the quarter
  • Credits received from filing Form 7200, Advance Payment of Employer Credits Due to COVID-19, for the quarter

The revised instructions include a new Worksheet 1, which will be used to figure the credit for qualified sick and family leave wages. The credit will then be reported on Lines 11c and 13d of the Form 941.

APA Resources

Members received an APA Compliance Update about the revised Form 941 on June 29. Also, in-depth coverage of Form 941 will be featured in the July issue of Payroll Currently.

On July 8 and 10, a two-part webinar—Payroll Compliance Update Amid COVID-19—will help payroll professionals learn more about new requirements during the pandemic. The first part is a legislative and regulatory update and the second part will focus on new federal forms, including the revised Form 941. Each webinar is from 1:30-3:00 p.m. ET. There is an option to ask questions in advance. Submit questions to [email protected] by July 3.

To learn more about federal and state laws, regulations, and information to keep your company's payroll operations in compliance, check out Payroll Source Plus!

Curtis E. Tatum, Esq., is Director of Federal Payroll Compliance for the APA.