IRS releases rules for filing, reproducing substitute forms 941

The IRS has provided the general rules and specifications for reproducing paper and computer-generated paper substitutes of Form 941, Employer’s QUARTERLY Federal Tax Return, Schedule B, Report of Tax Liability for Semiweekly Schedule Depositors, Schedule D, Report of Discrepancies Caused by Aquisitions, Statutory Mergers, or Consolidations, and Schedule R, Allocation Schedule for Aggregate Form 941 Filers. Employers should follow the specifications as set forth.

What’s new

Future developments. The IRS has created a page on for information about Form 941 at www.irs/gov/form 941. Information about any future development affecting Form 941 (such as legislation enacted after we release it) will be posted on that page.

IRS mailing address change. The address for the Substitute Forms Program has changed to: Internal Revenue Service, Attn: Substitute Forms Program, SE:W:CAR:MP:P:TP, 5000 Ellin Road, C7-263, Lanham, MD 20706.

IRS DVD. The DVD containing IRS tax products will no longer be produced. Official IRS forms and information copies of federal tax materials can be obtained at local IRS offices, by calling the National Distribution Center, or by accessing Further details are provided in Section 1.7 – Order Forms and Instructions.

Form 941. Section 4 of the payment voucher, text has been added for a business to report their foreign address, when applicable.

Form 941, Page 1, Line 3. “Federal” was added at the beginning of the Line 3 title to provide clarity. Form 941 may be filed by employers in the U.S. territories and those employers may be subject to income tax withholding that is not “federal” income tax withholding.

Form 941, Page 1. Three new fields were added to the entity sections to capture, Foreign Country Name, Foreign province/country, and Foreign postal code.

Form 941, Page 1. Lines 12a, 12b and 13 have been removed. As a result, subsequent lines were renumbered.

Form 941, Page 3. Box 1-Employer Identification Number (EIN). It was clarified that Form SS-4 is faxed or mailed to the IRS.

Form 941, Page 4 under the Privacy and Paperwork Reduction Act Notice, the language was updated to clarify that Substitle C, Employment Tax, of the IRC “provides for income taxwithholding.”

Schedule B, Page 1, in the introductory instructions, employers are advised NOT to change their tax liability by adjustments reported on Form 944-X.

Schedule B, Page 1, at the bottom center of the page, a link to the product page was added.

Schedule R, Pages 1 and 2. The reference to “COBRA payments” was removed from column (g). All references to the COBRA premium assistance credit were removed from all employment tax products (Except amended returns) beginning with tax year 2014.

Schedule R, Pages 1 and 2. Column G was updated for the Form 941, Line 13 to Form 941, Line 11.

• Schedule R. Under the section Client and Employee Information, the reference to Form 941, Line 11 was changed (formerly Line 13) as a result of removing the COBRA premium assistance credit lines from Form 941.

• COBRA premium assistance credit. Effective for tax periods beginning after December 31, 2013, the credit for COBRA premium assistance payments cannot be claimed on Form 941. Instead, after filing Form 941, file Form 941-X, Adjusted Employer’s QUARTERLY Federal Tax Return or Claim for Refund, to claim the COBRA premium assistance credit. Filing a Form 941-X before filing a Form 941 for the quarter may result in errors or delays in processing the Form 941-X. For more information, visit the and enter “COBRA” in the search box.

• Editorial changes. Editorial changes were made throughout, including updated references. Redundancies were eliminated as much as possible. (IRS Rev. Proc. 2014-57 IRB 2014-45, 777, (IRS Pub. 4436), November 3, 2014.)

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