IRS 940 Employer’s Annual Federal Unemployment (FUTA) Tax Return Form

IRS 940 Employer’s Annual Federal Unemployment (FUTA) Tax Return.pdf Use Form 940 to report your annual Federal Unemployment Tax Act (FUTA) tax. Together with state unemployment tax systems, the FUTA




Form 940 for 2012:


Employer’s Annual Federal Unemployment (FUTA) Tax Return


Department of the Treasury — Internal Revenue Service




OMB No. 1545-0028


Employer identification number (EIN) 





Read the separate instructions before you complete this form. Please type or print within the boxes.Name (not your trade name) Trade name (if any) Number Street Suite or room number City State ZIP code


Type of Return (Check all that apply.)


a. Amended


b. Successor employer


c. No payments to employees in 2012


d. Final: Business closed or stopped paying wages


Instructions and prior-year forms are available at


Part 1: 


Tell us about your return. If any line does NOT apply, leave it blank.





If you had to pay state unemployment tax in one state only, enter the state abbreviation . 







If you had to pay state unemployment tax in more than one state, you are a multi-state employer ………………………




Check here. Complete Schedule A (Form 940).



If you paid wages in a state that is subject to CREDIT REDUCTION ……..



Check here. Complete Schedule A (Form 940).


Part 2: 


Determine your FUTA tax before adjustments for 2012. If any line does NOT apply, leave it blank. 



Total payments to all employees ……………….




Payments exempt from FUTA tax …….



Check all that apply:




4b Fringe benefits




4d Retirement/Pension





Total of payments made to each employee in excess of $7,000 …………….




Subtotal (line 4 + line 5 = line 6) ………………..




Total taxable FUTA wages (line 3 – line 6 = line 7) (see instructions) ……..




FUTA tax before adjustments (line 7 x .006 = line 8) ………….



Part 3: 


Determine your adjustments. If any line does NOT apply, leave it blank. 



If ALL of the taxable FUTA wages you paid were excluded from state unemployment tax, multiply line 7 by .054 (line 7 . .054 = line 9). Go to line 12 ………..





If SOME of the taxable FUTA wages you paid were excluded from state unemployment tax, OR you paid ANY state unemployment tax late (after the due date for filing Form 940), complete the worksheet in the instructions. Enter the amount from line 7 of the worksheet ..






If credit reduction applies, enter the total from Schedule A (Form 940) …….




Part 4: 


Determine your FUTA tax and balance due or overpayment for 2012. If any line does NOT apply, leave it blank. 




Total FUTA tax after adjustments (lines 8 + 9 + 10 + 11 = line 12) ………






FUTA tax deposited for the year, including any overpayment applied from a prior year .






Balance due (If line 12 is more than line 13, enter the excess on line 14.)


• If line 14 is more than $500, you must deposit your tax.


• If line 14 is $500 or less, you may pay with this return. (see instructions) …….






Overpayment (If line 13 is more than line 12, enter the excess on line 15 and check a box below.) ……………………….




▶ You MUST complete both pages of this form and SIGN it.


Check one:


Next ■▶


For Privacy Act and Paperwork Reduction Act Notice, see the back of Form 940-V, Payment Voucher. 


Cat. No. 11234O


Form 940 (2012) . . Group-term life insurance Dependent care Other . . . . . . . . . . . Apply to next return. Send a refund.




Part 5: 


Report your FUTA tax liability by quarter only if line 12 is more than $500. If not, go to Part 6. 




Report the amount of your FUTA tax liability for each quarter; do NOT enter the amount you deposited. If you had no liability fora quarter, leave the line blank. 




1st quarter (January 1 – March 31) ………






2nd quarter (April 1 – June 30) ……….






3rd quarter (July 1 – September 30) ……..






4th quarter (October 1 – December 31) …….






Total tax liability for the year (lines 16a + 16b + 16c + 16d = line 17)




Total must equal line 12.


Part 6: 


May we speak with your third-party designee? 


Do you want to allow an employee, a paid tax preparer, or another person to discuss this return with the IRS? See the instructions for details. 


Designee’s name and phone number


Select a 5-digit Personal Identification Number (PIN) to use when talking to IRS


Part 7: 


Sign here. You MUST complete both pages of this form and SIGN it. 


Under penalties of perjury, I declare that I have examined this return, including accompanying schedules and statements, and to the best of my knowledge and belief, it is true, correct, and complete, and that no part of any payment made to a state unemployment fund claimed as a credit was, or is to be, deducted from the payments made to employees. Declaration of preparer (other than taxpayer) is based on all information of which preparer has any knowledge.



Sign your name here 


Print your name here


Print your title here


Best daytime phone




/ /


Paid Preparer Use Only 


Check if you are self-employed …


Preparer’s name




Preparer’s signature




/ /


Firm’s name (or yours if self-employed)












ZIP code




Form 940 (2012)Name (not your trade name) Employer identification number (EIN) . . . . . Yes. No. 


Form 940-V, Payment Voucher 


Purpose of Form 


Complete Form 940-V, Payment Voucher, if you are making a payment with Form 940, Employer’s Annual Federal Unemployment (FUTA) Tax Return. We will use the completed voucher to credit your payment more promptly and accurately, and to improve our service to you.


Making Payments With Form 940 


To avoid a penalty, make your payment with your 2012 Form 940 only if your FUTA tax for the fourth quarter (plus any undeposited amounts from earlier quarters) is $500 or less. If your total FUTA tax after adjustments (Form 940, line 12) is more than $500, you must make deposits by electronic funds transfer. See When Must You Deposit Your FUTA Tax? in the Instructions for Form 940. Also see sections 11 and 14 of Pub. 15 (Circular E), Employer’s Tax Guide, for more information about deposits.


Caution. Use Form 940-V when making any payment with Form 940. However, if you pay an amount with Form 940 that should have been deposited, you may be subject to a penalty. See Deposit Penalties in section 11 of Pub. 15 (Circular E).


Specific Instructions


Box 1—Employer Identification Number (EIN). If you do not have an EIN, you may apply for one online. Go to and click on the Apply for an EIN Online link under Tools. You may also apply for an EIN by calling 1-800-829-4933, or you can fax or mail Form SS-4, Application for Employer Identification Number. If you have not received your EIN by the due date of Form 940, write “Applied For” and the date you applied in this entry space.


Box 2—Amount paid. Enter the amount paid with Form 940.


Box 3—Name and address. Enter your name and address as shown on Form 940.


• Enclose your check or money order made payable to the “United States Treasury.” Be sure to enter your EIN, “Form 940,” and “2012” on your check or money order. Do not send cash. Do not staple Form 940-V or your payment to Form 940 (or to each other).


• Detach Form 940-V and send it with your payment and Form 940 to the address provided in the Instructions for Form 940.


Note. You must also complete the entity information above Part 1 on Form 940.




Detach Here and Mail With Your Payment and Form 940.








Payment Voucher


Department of the Treasury Internal Revenue Service


Do not staple or attach this voucher to your payment.


OMB No. 1545-0028





Enter the amount of your payment. ▶ Make your check or money order payable to “United States Treasury” 


3 Enter your employer identification number (EIN). Dollars Cents

Enter your business name (individual name if sole proprietor). Enter your address. Enter your city, state, and ZIP code.


Form 940 (2012)


Privacy Act and Paperwork Reduction Act Notice. We ask for the information on this form to carry out the Internal Revenue laws of the United States. We need it to figure and collect the right amount of tax. Chapter 23, Federal Unemployment Tax Act, of Subtitle C, Employment Taxes, of the Internal Revenue Code imposes a tax on employers with respect to employees. This form is used to determine the amount of the tax that you owe. Section 6011 requires you to provide the requested information if you are liable for FUTA tax under section 3301. Section 6109 requires you to provide your identification number. If you fail to provide this information in a timely manner or provide a false or fraudulent form, you may be subject to penalties and interest.


You are 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 and records relating to a form or 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 confidential, as required by section 6103. However, section 6103 allows or requires the IRS to disclose or give the information shown on your tax return to others


as described in the Code. For example, we may disclose your tax information to the Department of Justice for civil and criminal litigation, and to cities, states, the District of Columbia, and U.S. commonwealths and possessions to administer their tax laws. We may also disclose this information to other countries under a tax treaty, to federal and state agencies to enforce federal non-tax criminal laws, or to federal law enforcement and intelligence agencies to combat terrorism.


The time needed to complete and file this form will vary depending on individual circumstances. The estimated average time is:


Recordkeeping ……….9 hr., 19 min.


Learning about the law or the form ..1 hr., 23 min.


Preparing, copying, assembling, and sending the form to the IRS …..1 hr., 36 min.


If you have comments concerning the accuracy of these time estimates or suggestions for making Form 940 simpler, we would be happy to hear from you. You can email us at Enter “Form 940” on the subject line. Or write to: Internal Revenue Service, Tax Products Coordinating Committee, SE:W:CAR:MP:T:M:S, 1111 Constitution Avenue, NW, IR-6526, Washington, DC 20224. Do not send Form 940 to this address. Instead, see Where Do You File? in the Instructions for Form 940.