Formulaire 945-A Instructions
Instructions pour le formulaire 945-A, Registre annuel de la responsabilité fiscale fédérale
Rév. Décembre 2023
Formulaires associés
- Formulaire 945-A - Registre annuel de la responsabilité fiscale fédérale
Department of the Treasury
Internal Revenue Service
Instructions for Form 945-A
(Rev. December 2023)
For use with the December 2020 revision of Form 945-A
Annual Record of Federal Tax Liability
Section references are to the Internal Revenue Code
unless otherwise noted.
quarter in which most employers may have been eligible
to claim the COBRA premium assistance credit.
Section 9501 of the American Rescue Plan Act of 2021
(the ARP) provided for COBRA premium assistance in the
form of a full reduction in the premium otherwise payable
by certain individuals and their families who elected
COBRA continuation coverage due to a loss of coverage
as the result of a reduction in hours or an involuntary
termination of employment (assistance eligible
Future Developments
For the latest information about developments related to
Form 945-A and its instructions, such as legislation
enacted after they were published, go to IRS.gov/
individuals). This COBRA premium assistance was
available for periods of coverage beginning on or after
April 1, 2021, through periods of coverage beginning on or
before September 30, 2021. A premium payee was
entitled to the COBRA premium assistance credit at the
time an eligible individual elected coverage. Therefore,
due to the COBRA notice and election period
What’s New
Qualified small business payroll tax credit for in-
creasing research activities (Form 944 only). For tax
years beginning before January 1, 2023, a qualified small
business may elect to claim up to $250,000 of its credit for
increasing research activities as a payroll tax credit. The
Inflation Reduction Act of 2022 (the IRA) increases the
election amount to $500,000 for tax years beginning after
December 31, 2022. The payroll tax credit election must
be made on or before the due date of the originally filed
income tax return (including extensions). The portion of
the credit used against payroll taxes is allowed in the first
calendar quarter beginning after the date that the qualified
small business filed its income tax return. The election
and determination of the credit amount that will be used
against the employer’s payroll taxes are made on Form
6765, Credit for Increasing Research Activities. The
amount from Form 6765, line 44, must then be reported
on Form 8974, Qualified Small Business Payroll Tax Credit
for Increasing Research Activities.
requirements (generally, employers had 60 days to
provide notice and assistance eligible individuals had 60
days to elect coverage), the first quarter of 2022 was the
last quarter in which most employers may have been
eligible to claim the COBRA premium assistance credit.
Reminders
Adjusting tax liability for nonrefundable credits
claimed on Form CT-1, lines 16 and 17b; or Form 944,
and 17b; or Form 944, Lines 8a, 8b, and 8d, later, for
instructions on how to report on Form 945-A adjustments
to your tax liabilities for the qualified small business payroll
tax credit for increasing research activities (Form 944
only); the nonrefundable portion of the credit for qualified
sick and family leave wages paid in 2023 for leave taken
after March 31, 2020, and before April 1, 2021; and the
nonrefundable portion of the credit for qualified sick and
family leave wages paid in 2023 for leave taken after
March 31, 2021, and before October 1, 2021.
Starting in the first quarter of 2023, the payroll tax credit
is first used to reduce the employer share of social
security tax up to $250,000 per quarter and any remaining
credit reduces the employer share of Medicare tax for the
quarter. Any remaining credit, after reducing the employer
share of social security tax and the employer share of
Medicare tax, is then carried forward to the next quarter.
Form 8974 is used to determine the amount of the credit
that can be used in the current year. The amount from
Form 8974, line 12 or, if applicable, line 17, is reported on
Form 944, line 8a. For more information about the payroll
tax credit, see the Instructions for Form 8974 and go to
later.
Reporting prior period adjustments. Prior period
adjustments are reported on Form 945-X, Adjusted
Annual Return of Withheld Federal Income Tax or Claim
for Refund; Form CT-1 X, Adjusted Employer's Annual
Railroad Retirement Tax Return or Claim for Refund; or
Form 944-X, Adjusted Employer's ANNUAL Federal Tax
Return or Claim for Refund, and aren't taken into account
when figuring the tax liability for the current year.
When you file Form 945-A with your Form 945, CT-1, or
944, don't change your current year tax liability by
adjustments reported on any Form 945-X, CT-1 X, or
944-X.
Adjusting tax liability for the nonrefundable portion
of the COBRA premium assistance credit. The
instructions for adjusting tax liability for the nonrefundable
portion of the COBRA premium assistance credit reported
on Form CT-1, line 17c, and Form 944, line 8e, have been
deleted because the first quarter of 2022 was the last
Amended Form 945-A. If you have been assessed a
failure-to-deposit (FTD) penalty, you may be able to file an
Oct 19, 2023
Cat. No. 74488U
amended Form 945-A. See Correcting Previously
When Must You File?
File Form 945-A with your Form 945, CT-1, or 944 every
year when Form 945, CT-1, or 944 is due. See the
instructions for these forms for their due dates.
General Instructions
Purpose of Form 945-A
Specific Instructions
Completing Form 945-A
Enter Your Business Information
Carefully enter your employer identification number (EIN)
and name at the top of the form. Make sure that they
exactly match the name of your business and the EIN that
the IRS assigned to your business and also agree with the
name and EIN shown on the attached Form 945, 945-X,
CT-1, CT-1 X, 944, or 944-X.
These instructions tell you about Form 945-A. Use Form
945-A to report your federal tax liability (based on the
dates payments were made or wages were paid) for the
following tax returns.
Forms 945 and 945-X for federal income tax
•
withholding on nonpayroll payments. Nonpayroll
withholding includes backup withholding and federal
income tax withholding on pensions, annuities, IRAs,
Indian gaming profits, gambling winnings, military
retirement, certain government payments on which the
recipient elected voluntary income tax withholding, and
dividends and other distributions by an Alaska Native
Corporation on which the recipient elected voluntary
income tax withholding.
Calendar Year
Enter the calendar year of the Form 945, 945-X, CT-1,
CT-1 X, 944, or 944-X to which Form 945-A is attached.
Forms CT-1 and CT-1 X for both the employee share
•
and the employer share of Tier 1 and Tier 2 taxes.
Form 945 Filers
Forms 944 and 944-X for federal income tax withheld
•
Don't complete entries A through M of the Monthly
Summary of Federal Tax Liability (Form 945, line 7). Be
sure to mark the semiweekly schedule depositor
checkbox above line 7 on Form 945.
plus both the employee share and the employer share of
social security and Medicare taxes.
Don't use Form 945-A to show federal tax deposits. The
IRS gets deposit data from electronic funds transfers.
Form CT-1 Filers
Don't complete the Monthly Summary of Railroad
Retirement Tax Liability (Part II of Form CT-1).
The IRS uses Form 945-A to match the tax liability
you reported on the returns indicated earlier with
!
CAUTION
your deposits. The IRS also uses Form 945-A to
determine if you’ve deposited your tax liabilities on time.
Unless your Form 945-A is properly completed and filed (if
applicable) with your tax return, the IRS may propose an
“averaged” FTD penalty. See Deposit Penalties in section
11 of Pub. 15, Employer’s Tax Guide, for more information.
Form 944 Filers
On Form 944, check the box for “Line 9 is $2,500 or more”
on line 13, and leave lines 13a through 13m blank.
Enter Your Tax Liability by Month
Enter your tax liabilities in the spaces that correspond to
the dates you paid wages to your employees or made
nonpayroll payments, not the date payroll liabilities were
accrued or deposits were made. The total tax liability for
the year (line M) must equal net taxes on Form 945, line 3;
Form CT-1, line 19 (line 15 for years before 2020); or Form
944, line 9. Enter the monthly totals on lines A, B, C, D, E,
F, G, H, I, J, K, and L. Enter the total for the year on line M.
For example, if you're a Form 945 filer, and you became
liable for a pension distribution on December 31, 2022,
but didn't make the distribution until January 6, 2023, you
would:
Who Must File?
File Form 945-A if you’re a semiweekly schedule
depositor. Monthly schedule depositors who accumulate
$100,000 or more of tax liability on any day of a calendar
month become semiweekly schedule depositors on the
next day and remain so for at least the remainder of the
year and for the next year, and must also complete and file
Form 945-A for the entire year. The $100,000 tax liability
threshold requiring a next-day deposit is determined
before you consider any reduction of your liability for
nonrefundable credits. For more information, including an
example, see frequently asked question 17 at IRS.gov/
ETD.
Go to January on Form 945-A filed with your 2023
•
return, and
Enter your tax liability on line 6 because line 6
•
The deposit rules, including the $100,000 Next-Day
Deposit Rule, are explained in section 11 of Pub. 15 and in
the instructions for your tax return.
represents the sixth day of the month.
Example 1. Cedar Co., which has a semiweekly
deposit schedule, makes periodic payments on gambling
winnings on the 15th day of each month. On December
24, 2023, in addition to its periodic payments, it withheld
from a payment on gambling winnings under the backup
withholding rules. Since Cedar Co. is a semiweekly
schedule depositor, it must record these nonpayroll
withholding liabilities on Form 945-A. It must report tax
liabilities on line 15 for each month and line 24 for
December.
Don't complete Form 945-A if your net tax liability
for the return period is less than $2,500. Don't file
!
CAUTION
this form if you're a monthly schedule depositor
unless you accumulated a tax liability of $100,000 during
any month of the year.
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Instructions for Form 945-A (Rev. 12-2023)
Cedar Co. enters the monthly totals on lines A through
L. It adds these monthly subtotals and enters the total tax
liability for the year on line M. The amount on line M
should equal Form 945, line 3.
business payroll tax credit for increasing research
activities is first used to reduce the employer share of
social security tax (up to $250,000) for the quarter and any
remaining credit is then used to reduce the employer
share of Medicare tax for the quarter until it reaches zero.
In completing Form 945-A, you take into account the
payroll tax credit against the liability for the employer
share of social security tax starting with the first payroll
payment of the quarter that includes payments of wages
subject to social security tax to your employees until you
use up to $250,000 of credit against the employer share of
social security tax and you then take into account any
remaining payroll tax credit against the liability for the
employer share of Medicare tax starting with the first
payroll payment of the quarter that includes payments of
wages subject to Medicare tax to employees. Consistent
with the entries on Form 945-A, the payroll tax credit
should be taken into account in making deposits of
employment tax. If any payroll tax credit is remaining at
the end of the quarter that hasn’t been completely used
because it exceeds $250,000 of the employer share of
social security tax and the employer share of Medicare tax
for the quarter, the excess credit may be carried forward to
the succeeding quarter and allowed as a payroll tax credit
for the succeeding quarter. The payroll tax credit may not
be taken as a credit against income tax withholding, the
employee share of social security tax, or the employee
share of Medicare tax.
Example 2. Fir Co. is a semiweekly schedule
depositor. During January, it withheld federal income tax
on pension distributions as follows: $52,000 on January 6
and $35,000 on January 20. Since Fir Co. is a semiweekly
schedule depositor, it must record its federal income tax
withholding liabilities on Form 945-A. It must record
$52,000 on line 6 and $35,000 on line 20 for January.
Example 3. Elm Co. is a new business and monthly
schedule depositor for 2023. During January, it withheld
federal income tax on nonpayroll payments as follows:
$2,000 on January 6 and $99,000 on January 20. The
deposit rules require that a monthly schedule depositor
begin depositing on a semiweekly deposit schedule when
a $100,000 or more tax liability is accumulated on any day
within a month (see section 11 of Pub. 15 for details).
Since Elm Co. accumulated $101,000 ($2,000 + $99,000)
on January 20, 2023, it became a semiweekly schedule
depositor on January 21, 2023. Elm Co. must complete
Form 945-A and file it with Form 945. It must record
$2,000 on line 6 and $99,000 on line 20 for January. No
entries should be made on Form 945, line 7, even though
Elm Co. was a monthly schedule depositor until January
21.
Form 944 filers. Your total liability for the year
Also, the remaining payroll tax credit may not be carried
back and taken as a credit against wages paid from
preceding quarters that are reported on the same Form
944 or on Forms 944 for preceding years. If an amount of
payroll tax credit is unused at the end of the calendar year
because it is in excess of the applicable employer share of
social security tax and employer share of Medicare tax on
wages paid during the applicable quarters in the calendar
year, the remaining payroll tax credit may be carried
forward to the first quarter of the succeeding calendar
year as a payroll tax credit against the applicable
must equal line 9 on Form 944; therefore, don't
!
CAUTION
reduce your total liability reported on Form 945-A
by the refundable portion of the credit for qualified sick
and family leave wages. See the Instructions for Form 944
for more information.
Form CT-1 filers. Your total liability for the year
must equal line 19 on Form CT-1; therefore, don't
!
CAUTION
reduce your total liability reported on Form 945-A
by the refundable portion of the credit for qualified sick
and family leave compensation. See the Instructions for
Form CT-1 for more information.
employer share of social security tax and employer share
of Medicare tax on wages paid in that quarter. For more
information about the payroll tax credit, go to IRS.gov/
Adjusting Tax Liability for Nonrefundable
Credits Claimed on Form CT-1, Lines 16 and
17b; or Form 944, Lines 8a, 8b, and 8d.
Example. Rose Co. is an employer with a calendar tax
year that filed its timely 2022 income tax return on April
18, 2023. Rose Co. elected to take the qualified small
business payroll tax credit for increasing research
activities on Form 6765. The third quarter of 2023 is the
first quarter that begins after Rose Co. filed the income tax
return making the payroll tax credit election. Therefore, the
payroll tax credit applies against Rose Co.'s share of
social security tax (up to $250,000) and Medicare tax on
wages paid to employees in the third quarter of 2023.
Rose Co. completes Form 945-A by reducing the amount
of liability entered for the first payroll payment in the third
quarter of 2023 that includes wages subject to social
security tax by the lesser of (1) its share of social security
tax (up to $250,000) on the wages, or (2) the available
payroll tax credit. If the payroll tax credit elected is more
than Rose Co.'s share of social security tax on the first
payroll payment of the quarter, the excess payroll tax
credit would be carried forward to succeeding payroll
payments in the third quarter until it is used against up to
The credits discussed in this section aren't
available on Form 945. The qualified small
TIP
business payroll tax credit for increasing research
activities is available only on Form 944.
Semiweekly schedule depositors must account for
nonrefundable credits claimed on Form CT-1, lines 16 and
17b; or Form 944, lines 8a, 8b, and 8d, when reporting
their tax liabilities on Form 945-A. The total tax liability for
the year must equal the amount reported on Form CT-1,
line 19; or Form 944, line 9. Failure to account for the
nonrefundable credits on Form 945-A may cause Form
945-A to report more than the total tax liability reported on
Form CT-1, line 19; or Form 944, line 9. Don't reduce your
daily tax liability reported on Form 945-A below zero.
Qualified small business payroll tax credit for in-
creasing research activities (Form 944, line 8a).
Beginning with the first quarter of 2023, the qualified small
Instructions for Form 945-A (Rev. 12-2023)
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$250,000 of Rose Co.'s share of social security tax for the
quarter. If the amount of the payroll tax credit exceeds
Rose Co.'s share of social security tax (up to $250,000) on
wages paid to its employees in the third quarter, any
remaining credit is used against Rose Co.'s share of
Medicare tax on the first payroll payment of the quarter
and then the excess payroll tax credit would be carried
forward to succeeding payroll payments in the third
quarter until it is used against Rose Co.'s share of
Medicare tax for the quarter. If Rose Co. still has credit
remaining after reducing its share of social security tax (up
to $250,000) and Medicare tax for the third quarter, the
remainder would be treated as a payroll tax credit against
its share of social security tax (up to $250,000) and
Medicare tax on wages paid in the fourth quarter. If the
amount of the payroll tax credit remaining exceeded Rose
Co.'s share of social security tax (up to $250,000) and
Medicare tax on wages paid in the fourth quarter, it could
be carried forward and treated as a payroll tax credit for
the first quarter of 2024.
March 31, 2020, and before April 1, 2021. The
nonrefundable portion of the credit for qualified sick and
family leave wages for the year is $300. On Form 945-A,
Maple Co. will use the $300 to reduce the liability for the
January 6 pay date, but not below zero. If any
nonrefundable portion of the credit remains, Maple Co.
applies it to the liability for the January 13 pay date, then
the January 20 pay date, and so forth until the entire $300
is used.
Nonrefundable portion of credit for qualified sick and
family leave compensation for leave taken after
March 31, 2021, and before October 1, 2021 (Form
CT-1, line 17b). Follow the instructions under Part II.
Record of Railroad Retirement Tax Liability in the
Instructions for Form CT-1 to adjust your tax liability on
Form 945-A.
Nonrefundable portion of credit for qualified sick and
family leave wages for leave taken after March 31,
2021, and before October 1, 2021 (Form 944, line 8d).
The nonrefundable portion of the credit for qualified sick
and family leave wages paid in 2023 for leave taken after
March 31, 2021, and before October 1, 2021, is limited to
the employer share of Medicare tax on wages paid during
the year that is remaining after that share is first reduced
by any credit claimed against the employer share of
Medicare tax on Form 8974, line 16, for the qualified small
business payroll tax credit for increasing research
Nonrefundable portion of credit for qualified sick and
family leave compensation for leave taken after
March 31, 2020, and before April 1, 2021 (Form CT-1,
line 16). Follow the instructions under Part II. Record of
Railroad Retirement Tax Liability in the Instructions for
Form CT-1 to adjust your tax liability on Form 945-A.
Nonrefundable portion of credit for qualified sick and
family leave wages for leave taken after March 31,
2020, and before April 1, 2021 (Form 944, line 8b).
The nonrefundable portion of the credit for qualified sick
and family leave wages paid in 2023 for leave taken after
March 31, 2020, and before April 1, 2021, is limited to the
employer share of social security tax on wages paid
during the year that is remaining after that share is first
reduced by any credit claimed against the employer share
of social security tax on Form 8974, line 12, for the
qualified small business payroll tax credit for increasing
research activities; any credit to be claimed on Form
5884-C, line 11, for the work opportunity credit for
qualified tax-exempt organizations hiring qualified
veterans; and/or any credit to be claimed on Form 5884-D
for the disaster credit for qualified tax-exempt
activities. In completing Form 945-A, you take into account
the nonrefundable portion of the credit for qualified sick
and family leave wages paid in 2023 against the liability for
the first payroll payment of the year, but not below zero.
Then reduce the liability for each successive payroll
payment in the year until the nonrefundable portion of the
credit is used. Any credit for qualified sick and family leave
wages paid in 2023 for leave taken after March 31, 2021,
and before October 1, 2021, that is remaining at the end
of the year because it exceeds the employer share of
Medicare tax is claimed on Form 944, line 10f, as a
refundable credit. The refundable portion of the credit
doesn't reduce the liability reported on Form 945-A. For
more information about the credit for qualified sick and
organizations. In completing Form 945-A, you take into
account the nonrefundable portion of the credit for
qualified sick and family leave wages paid in 2023 against
the liability for the first payroll payment of the year, but not
below zero. Then reduce the liability for each successive
payroll payment in the year until the nonrefundable portion
of the credit is used. Any credit for qualified sick and
family leave wages paid in 2023 for leave taken after
March 31, 2020, and before April 1, 2021, that is
You may reduce your deposits by the amount of
the nonrefundable and refundable portions of the
credit for qualified sick and family leave wages
TIP
(compensation). For more information on reducing
deposits, see Notice 2020-22, 2020-17 I.R.B. 664,
Notice 2021-24, 2021-18 I.R.B. 1122, available at
remaining at the end of the year because it exceeds the
employer share of social security tax is claimed on Form
944, line 10d, as a refundable credit. The refundable
portion of the credit doesn't reduce the liability reported on
Form 945-A. For more information about the credit for
Example. Maple Co. is a semiweekly schedule
Correcting Previously Reported Tax Liability
Semiweekly schedule depositors. If you have been
assessed an FTD penalty and you made an error on Form
945-A and the correction won't change the total liability
you reported on Form 945-A, you may be able to reduce
your penalty by filing an amended Form 945-A.
Example. You reported a tax liability of $3,000 on
January 1. However, the liability was actually for March.
Prepare an amended Form 945-A showing the $3,000
liability on March 1. Also, you must enter the liabilities
depositor that pays employees every Friday. In 2023,
Maple Co. had pay dates every Friday starting on January
6, 2023. Maple Co. paid qualified sick and family leave
wages on March 10 and March 17 for leave taken after
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Instructions for Form 945-A (Rev. 12-2023)
previously reported for the year that didn't change. Write
“Amended” at the top of Form 945-A. The IRS will refigure
the penalty and notify you of any change in the penalty.
Monthly schedule depositors. You can file Form 945-A
if you have been assessed an FTD penalty and you made
an error on the monthly tax liability section of Form 945,
CT-1, or 944. When completing Form 945-A for this
situation, only enter the monthly totals. The daily entries
aren't required.
Where to file. File your amended Form 945-A, or, for
monthly schedule depositors, your original Form 945-A at
the address provided in the penalty notice you received. If
you're filing an amended Form 945-A, you don't have to
submit your original Form 945-A.
the error, you must file the form with an amended Form
945-A. Otherwise, the IRS may assess an “averaged” FTD
penalty.
The total tax reported on line M of Form 945-A must
match the corrected tax (Form 945, line 3; Form 944,
line 9; Form CT-1, line 19 (line 15 for years before 2020)),
combined with any correction reported on Form 945-X,
line 5; Form 944-X, line 22; or Form CT-1 X, line 21, for the
year, less any previous abatements and interest-free tax
assessments.
Paperwork Reduction Act Notice. We ask for the
information on this form to carry out the Internal Revenue
laws of the United States. You're required to give us the
information. We need it to ensure that you're complying
with these laws and to allow us to figure and collect the
right amount of tax.
Forms 945-X, CT-1 X, and 944-X
You may need to file an amended Form 945-A with Form
945-X, CT-1 X, or 944-X to avoid or reduce an FTD
penalty.
Tax decrease. If you're filing Form 945-X, CT-1 X, or
944-X, you can file an amended Form 945-A with the form
if both of the following apply.
You're not required to provide the information requested
on a form that is subject to the Paperwork Reduction Act
unless the form displays a valid OMB control number.
Books or records relating to a form or its instructions must
be retained as long as their contents may become
material in the administration of any Internal Revenue law.
Generally, tax returns and return information are
1. You have a tax decrease.
2. You were assessed an FTD penalty.
confidential, as required by Code section 6103.
The time needed to complete and file this form will vary
depending on individual circumstances. The estimated
average time is:
File your amended Form 945-A with Form 945-X, CT-1
X, or 944-X. The total liability reported on your amended
Form 945-A must equal the corrected amount of tax
reported on Form 945-X, CT-1 X, or 944-X. If your penalty
is decreased, the IRS will include the penalty decrease
with your tax decrease.
Tax increase—Form 945-X, CT-1 X, or 944-X filed
timely. If you're filing a timely Form 945-X, CT-1 X, or
944-X showing a tax increase, don't file an amended Form
945-A, unless you were assessed an FTD penalty caused
by an incorrect, incomplete, or missing Form 945-A. Don't
include the tax increase reported on Form 945-X, CT-1 X,
or 944-X on an amended Form 945-A you file.
Recordkeeping .
Learning about the law or the form.
Preparing and sending the form to the IRS
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6 hr., 27min.
6 min.
12 min.
If you have comments concerning the accuracy of
these time estimates or suggestions for making this form
simpler, we would be happy to hear from you. You can
write to the IRS at the address listed in the Privacy Act
Notice for your tax return.
Tax increase—Form 945-X, CT-1 X, or 944-X filed late.
If you owe tax and are filing late, that is, after the due date
of the return for the filing period in which you discovered
Instructions for Form 945-A (Rev. 12-2023)
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