Form 940 Penalties for Late Filing and Payment

What is the penalty for late payment of 940 taxes?

You may be charged with penalties if you do not make required FUTA tax deposits on time or make deposits for less than the actual amount.

The table below has the penalty rates for amounts not properly or timely deposited:

Tips to Avoid 940 Penalties

The IRS penalties can be avoided if you follow the correct way to make payments to the IRS. To avoid hefty penalties from the IRS, follow the tips below:

• Deposit & pay the taxes on time when they are due.
• File Form 940 before the due date.
• Attach Form 940 Schedule R if required.
• Attach Form 940 Schedule A if required.

To ensure timely filing before the due date, the IRS recommends e-filing Form 940.

Make Timely Deposits and E-File 940 with TaxBandits to Avoid Penalties!

TaxBandits will notify you of crucial IRS deadlines via email or phone, helping you stay compliant and avoid late filing penalties. TaxBandits also simplifies your tax payments with the EFTPS payment solution. When you e-file 940 with TaxBandits, your return is checked for errors using IRS Business Rules, ensuring accurate filing.

Click here to learn how to pay your taxes and e-file Form 940 with TaxBandits.