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Annual FUTA Tax Return Go to topics
Reconciles prior quarterly deposits of FUTA taxes and pays the balance due.

Forms to use  940 Annual Return for FUTA Tax
 
How often?   Annual requirement
 
Due date   January 31st
 
How to complete form 940  
Line  What to enter
ATotal unemployment paid to the state (do not include training taxes)
BState and state employer ID number
1Total wages for employees for the year
2Wages for any employees exempt from federal UI taxes. Do not include corporate officers.
3Wages over the $7,000 limit for all employees who paid UI taxes. For example, if Susan was paid $25,000 for the year, the excess wages for federal purposes is (25,000-7000)=18,000.
4Add lines 2 plus 3
5Subtract line 4 from line 1
6 Multiply line 5 by .006
7Total FUTA tax that you deposited during the year (if any).
8Amount you still owe, line 6 minus line 7.
 
How to pay   You can either mail the form or file it electronically through a private service.
 
Dated form   IRS form 940 is dated and is only available just before its required due date (January 31st).
 
To pay  
  • Pay electronically
  • Pay via credit card (with a service fee). There are two approved providers:
    • Link2Gov Corporation at (888) 729-1040. For questions call (888) 658-5465 or visit www.pay1040.com
    • Official Payments Corporation at (800) 272-9829. For questions call (877) 754-4413 or visit www.officialpayments.com.
  • Mail your check with Form 940 to the IRS.
 
Questions?  Call the IRS information hotline (800) 829-4933. For forms, call (800) 829-3676 or obtain them online at http://apps.irs.gov/app/picklist/list/formsPublications.html.