How to Avoid Form 941 Late Filing Penalty Fees

Staying organized and finding software solutions can help small businesses avoid Form 941 late filing penalty fees. Form 941 is one of the many forms that businesses must submit to the IRS. Managing multiple business obligations — from forms to withholdings to possible fines — may feel overwhelming. One of the worst things to do is let your other obligations allow for Form 941 to slip through the cracks. The IRS can and will issue harsh, yet avoidable penalties to business entities that fail to file the quarterly federal tax return.

Advanced Micro Solutions’ software supports multiple federal payroll forms, including Form 941. Whether you need help preparing your forms or submitting them on time, we offer customizable solutions with small businesses in mind. We realize that all businesses want to avoid paying any IRS penalties, but it is especially imperative for the success of small businesses.

 

What are Form 941 Late Filing Penalty Costs?

Understand the basics of Form 941 late charges to avoid submission oversights as a business. The late deposit penalty will range anywhere from 2% to 15% based on a business’s delay.

  • 2% Penalty – A company made its deposits 1 to 5 days late.
  • 5% Penalty – A company made its deposits 6 to 15 days late.
  • 10% Penalty – A company made its deposits 16 or more days late, but prior to the 10-day mark since the IRS’ first tax reminder notice.
  • 10% Penalty – A company paid its amounts to the IRS or with a tax return instead of depositing them. Keep in mind that you can sometimes pay a small tax liability with a tax return. Reference Section 11 of Pub 15 to see whether your business qualifies for that.
  • 15% Penalty – A company failed to make its full deposits for more than 10 days after the first IRS tax due notice. A business will also incur a 15% penalty if it received notice and demand for an immediate payment.

Referencing an IRS penalties table to understand Form 941 late filing penalty fees may seem preferable. Yet finding software to keep you up-to-date on any changes and deadlines prevents you from also needing to worry about any adjustments and abatements.

 

AMS Support for Form 941

Invest in reliable and hassle-free software as you prepare to submit Form 941. The general 941 deposit date is the last day of the month following the completion of each quarter. Businesses can use our software as a trustworthy method for submitting their forms on time. Pair AMS Payroll with one of our e-file options to electronically and efficiently file 941, 944, and 940 forms. We also have tools that let users correct Form 941 and any other quarterly returns as needed.

You do not need to take just our word for it. Explore the full capabilities of our accounting and payroll software with our free 1099-etc demo. Learn how our menu-driven format can help your business avoid needing to pay any 941 late filing penalty charges. If you find that you have any questions, give us a call at (405) 340-0697.

Software Solutions from AMS

Our W-2 and 1099 Forms Filer is our only required platform. From there, users pick the services they need. Choose from the tools below to build out your customized accounting software.