What Employers Need to Know about Form 941-X?

Quarterly Federal Tax Form 941


If you are an employer, you have to file the quarterly Form 941 on time with the IRS for reporting your employees wages and taxes withheld from their paychecks.

What if you have observed an error on your filed Form 941?

You have to correct the errors of your Form 941 as soon as you discover them. The correction has to be reported on Form 941-X. Let’s see about Form 941-X in detail.

What is Form 941-X?


Form 941-X, Adjusted Employer’s Quarterly Federal Tax Return or Claim for Refund, is the form used to correct errors on a previously filed Form 941.

You might have either reported less amount of taxes or more than the tax that you owe on your Form 941. You can use Form 941-X to correct and report both the types of underreported and overreported amounts.

Don’t file the Form 941-X for the errors on number of employees or for the errors under the part 2 of Form 941.

Form 941-X can also be used to correct the following types of errors that was reported on your previously submitted 941:

  • Wages, tips, and other compensation
  • Income tax withheld from wages, tips, and other compensation
  • Taxable social security wages
  • Taxable social security tips
  • Taxable Medicare wages and tips
  • Taxable wages and tips subject to Additional Medicare Tax withholding
  • Qualified small business payroll tax credit for increasing research activities
  • Credits for COBRA premium assistance payments

When is Form 941-X due?


The due date for Form 941-X based on the type of error you made on Quarterly Form 941.

For both the type of underreported & overreported errors, the IRS set a certain period of time to correct the errors with Form 941-X. This time period is called the period of limitations.

These limitations in due dates will apply to both the underreported & overreported errors. By default, the Form 941-X must be filed within 3 years from the date of original return filed.

Click here to know more about the due date to correct your 941 Form.

Is there a penalty for underreported taxes?

In most cases, correcting an underreported amount will not lead you for the late filing penalties or interest if you follow these guidelines:

  • File Form 941-X on time
  • Pay the amount shown on line 21 by the time you file the 941-X form
  • Enter the date you discovered the error
  • Explain your corrections in detail

You will be subject to pay interest if:

  • The underreported taxes related to an issue raised in an examination of a prior period
  • You knowingly underreported taxes
  • You received a notice and demand for payment
  • You received a Notice of Determination of Worker Classification
  • If you receive a notice after you file your 941-X form, reply with an explanation

Did you find any errors on your Form 941?


  • Just visit expressefile.com and choose Form 941-X.
  • Then enter your Form 941-X details.
  • Once you complete, you can download your Form for free.
  • Finally, send the Form 941-X to the IRS on your own.

Click here to enter and download Free Fillable Form 941-X.

Click here to know Form 941-X mailing address.

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Your IRS Form 941 is due!

The deadline to file IRS Form 941 for 1st Quarter is on April 30th, 2020.