The IRS Employment Taxes – How it all works – What you need to know
Fresh Start Tax is asked over and over about the requirements for business start up, hope this helps.
Question: We are about to hire employees and need to know how much tax to take out and where to send this money.
You will need to secure a completed Form W-4 (PDF), Employee’s Withholding Allowance Certificate, from each employee.
This is a helpful, Publication 15, Circular E, Employer’s Tax Guide, and Publication 15-A (PDF), Employer’s Supplemental Tax Guide, to determine the amount of withholding and for directions on depositing the withholding amounts and other employment taxes. This is the most helpful guide.
Generally, employers are required to quarterly file Form 941 (PDF), Employer’s Quarterly Federal Tax Return, and annually file Form 940 (PDF), Employer’s Annual Federal Unemployment Tax Return (FUTA), and Form W-2 (PDF), Wage and Tax Statement, with Form W-3 (PDF), Transmittal of Wage and Tax Statements. Some small employers (those whose annual liability for social security, Medicare, and withheld Federal income taxes is $1,000 or less) may file Form 944-SS (PDF), Employer’s Annual Federal Tax Return, instead of Form 941, if the IRS has notified them to Form 944 instead of Form 941. New employers are also eligible to file Form 944, if they will meet the eligibility requirements. New employers filing Form SS-4 Form SS-4(PDF), Application for Employer Identification Number, must check the “Yes” box or “No” box on line 14 to indicate whether they expect to have $1,000 or less in employment tax liability for the calendar year.
The Employment Tax e-file System offers an improved way to file Forms 940,941, and 944 electronically. Prospective participants must first complete and submit an IRS e-file application. You can complete the IRS e-file application online after registering for e-services. You should contact a local professional to help you through the process.
Fresh Start Tax is one of the premier tax resolution firms in the country. We deal with all types of cases, individuals, business and high dollar corporate entities. We have a staff that specializes in every type of case. Some of our specialties include the following:
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Our company resume:
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