Staying Compliant with Employment Taxes: A Quick Refresher for Employers

Even seasoned employers can’t afford to overlook the importance of employment tax compliance. While your organization may have been handling payroll for years, the rules and requirements surrounding employment taxes demand ongoing attention.

Most employers are required to report five types of employment taxes on Form 941, Employer’s Quarterly Federal Tax Return. However, if your business has a smaller tax liability, you may qualify to file Form 944, Employer’s Annual Federal Tax Return, instead.

For those using Form 941, it’s essential to know your deposit schedule—whether semiweekly or monthly—based on your company’s total liability during the IRS-designated “lookback period.”

Even minor errors in payroll tax calculations or filing can lead to costly penalties or unnecessary stress. Regularly reviewing your payroll processes helps ensure you’re not only compliant but also operating efficiently.

Our team can help you evaluate your current procedures, identify potential problem areas, and uncover opportunities to streamline your payroll operations. Contact us today to strengthen your compliance practices and keep your payroll on track.

About Bruce & Company, P.S.C.

Founded in 1976 by Gregory T. Bruce, Bruce & Company, P.S.C. is a full-service accounting firm proudly serving clients regionally, nationally, and globally, with our central office located in Madisonville, KY. For more than four decades, we’ve delivered trusted expertise in tax, financial planning, and auditing. Our knowledgeable team is dedicated to providing personalized service and practical solutions to help individuals and businesses achieve their financial goals. Contact us to learn more about how we can support you!