What Is IRS Form 944?
IRS Form 944 is used by certain small employers to report and pay federal payroll taxes on an annual basis instead of filing quarterly payroll tax returns.
The IRS determines which employers are eligible to file Form 944. Employers cannot choose this form on their own without IRS approval.
What Is Form 944 Used For?
Form 944 is used to:
- Report federal income tax withheld from employee wages
- Report Social Security and Medicare taxes
- Pay annual payroll tax liability in one filing
- Replace quarterly filing requirements under Form 941 for eligible employers
It is intended to reduce filing burden for employers with low payroll tax liability.
Who Is Required to File Form 944?
You must file Form 944 if:
- The IRS has notified you in writing that you are required to file it
- Your annual payroll tax liability is below IRS thresholds
- You are an employer with employees subject to payroll taxes
If the IRS has not authorized you to file Form 944, you must continue filing Form 941 instead.
When Should You File Form 944?
Form 944 is generally due:
- By January 31 of the year following the tax year
- Earlier if you deposited all taxes on time (the IRS may allow extended deadlines in some cases)
Late filing may result in penalties and interest.
IRS Notices This Form Is Commonly Used With
Issues related to Form 944 often involve IRS correspondence such as:
- CP136 / filing requirement notices indicating whether to file Form 944 or Form 941
- CP15 – Penalty notices for late or missing payroll tax filings
- Balance-due notices related to unpaid employment taxes
Form 944 determines filing method; notices typically arise when filings or payments are missed.
When NOT to Use Form 944
Do not use Form 944 if:
- The IRS has not authorized you to file it
- You are required to file Form 941 quarterly
- You have no employees subject to payroll taxes
- You are correcting payroll tax errors (Form 941-X applies)
Using the wrong payroll form can trigger penalties.
What Information Is Required on Form 944?
Form 944 generally requires:
- Employer name, EIN, and address
- Total wages paid
- Federal income tax withheld
- Employer and employee portions of Social Security and Medicare taxes
- Total payroll tax liability and payments made
Accurate payroll records are essential.
Where and How to File Form 944
Form 944 is filed:
- Electronically through approved IRS e-file providers, or
- By mail to the IRS address listed in the instructions
Employers may still be required to make payroll tax deposits during the year.
What Happens After You File Form 944?
After filing:
- The IRS processes your annual payroll tax return
- Any balance due must be paid promptly
- Errors or missed payments may result in notices or penalties
- Filing requirements may change in future years based on payroll activity
Related IRS Forms
Other forms commonly associated with payroll tax reporting include:
- Form 941 – Employer’s Quarterly Federal Tax Return
- Form 941-X – Adjusted Employer’s Quarterly Federal Tax Return
- Form 940 – Employer’s Annual Federal Unemployment (FUTA) Tax Return
Summary
IRS Form 944 allows eligible small employers to report and pay payroll taxes annually instead of quarterly. Only employers authorized by the IRS may use this form, and accurate payroll reporting is essential to avoid penalties.
Scope Note
This page explains the purpose and general use of IRS Form 944. It does not provide legal or tax advice.