The IRS recently issued in a five-page, revised version of a draft Form 941-X, Adjusted Employer’s Quarterly Federal Tax Return or Claim for Refund
, including new and revised lines that allow employers to report corrections related to the revised 2021 Form 941, Employer’s Quarterly Federal Tax Return. The IRS released the former finalized version of the revised Form 941—for use in the second through fourth quarters of 2021—on June 24, 2021.
New lines on the draft Form 941-X consider the COBRA premium assistance credit established under the American Rescue Plan Act of 2021. The form also allows adjustments related to employment tax credits for qualified paid-sick or paid-family leave wages paid starting April 1, 2021, that are attributable to leave taken before March 31, 2021.
Additionally, Lines 35 to 40 in Part 3 of the draft form are proposed to apply only to quarters starting after March 31, 2021.
Washington National Tax Office
+1 202 521 1526
Tax professional standards statement
This content supports Grant Thornton LLP’s marketing of professional services and is not written tax advice directed at the particular facts and circumstances of any person. If you are interested in the topics presented herein, we encourage you to contact us or an independent tax professional to discuss their potential application to your particular situation. Nothing herein shall be construed as imposing a limitation on any person from disclosing the tax treatment or tax structure of any matter addressed herein. To the extent this content may be considered to contain written tax advice, any written advice contained in, forwarded with or attached to this content is not intended by Grant Thornton LLP to be used, and cannot be used, by any person for the purpose of avoiding penalties that may be imposed under the Internal Revenue Code.
The information contained herein is general in nature and is based on authorities that are subject to change. It is not, and should not be construed as, accounting, legal or tax advice provided by Grant Thornton LLP to the reader. This material may not be applicable to, or suitable for, the reader’s specific circumstances or needs and may require consideration of tax and nontax factors not described herein. Contact Grant Thornton LLP or other tax professionals prior to taking any action based upon this information. Changes in tax laws or other factors could affect, on a prospective or retroactive basis, the information contained herein; Grant Thornton LLP assumes no obligation to inform the reader of any such changes. All references to “Section,” “Sec.,” or “§” refer to the Internal Revenue Code of 1986, as amended.