Instructions for Form 943-X (Rev. February 2021)

1 Instructions for form 943-X . Department of the Treasury Internal Revenue Service (Rev. February 2021). Adjusted Employer's Annual Federal Tax Return for Agricultural Employees or Claim for Refund Section references are to the Internal Revenue Code unless 827, available at otherwise noted. 2021-06_IRB#NOT-2021-11. Note. If a line on form 943-X doesn't apply to you, leave it Future Developments blank. If you're correcting a year before 2020, you must leave For the latest information about developments related to blank the new lines 7, 8, 14, 15, 21, 22, 23, 24, 26, 27, 28, form 943-X and its Instructions , such as legislation enacted 29, and 30.

2 After they were published, go to If you claimed the credit for qualified sick and family The February 2021 revision of form 943-X updates ! leave wages and/or the employee retention credit on TIP form 943-X to allow it to be used to make corrections CAUTION your original 2020 form 943, and you make any to the coronavirus (COVID-19) related employment corrections on form 943-X for 2020 to amounts used to tax credits and other tax relief. You may use this revision of figure these credits, you will need to refigure the amount of form 943-X and its Instructions to correct form 943 for all these credits using Worksheet 1.

3 You will also use this years for which the statute of limitations on corrections hasn't worksheet to figure these credits if you're claiming them for expired; however, see COBRA premium assistance credit for the first time on form 943-X . employees who were involuntarily terminated from employment between September 1, 2008, and May 31, New payroll tax credit for certain tax-exempt organiza- 2010, later. tions affected by qualified disasters. Section 303(d) of the Taxpayer Certainty and Disaster Tax Relief Act of 2020. What's New allows for a new payroll tax credit for certain tax-exempt organizations affected by certain qualified disasters not Changes to form 943-X for COVID-19 related employ- related to COVID-19.

4 This new credit is claimed on new form ment tax credits and other tax relief. form 943-X has 5884-D. You will enter the credit claimed on form 5884-D on been significantly revised to allow for correcting COVID-19 Worksheet 1 to figure your credit for qualified sick and family related employment tax credits and other tax relief related to leave wages and/or the employee retention credit. For more COVID-19 reported on form 943. You may now use form information about this credit, go to 943-X to report corrections to the following items reported on COBRA premium assistance credit for employees who form 943.

5 Were involuntarily terminated from employment be- Corrections to amounts reported on form 943, lines 2a, tween September 1, 2008, and May 31, 2010. The 2b, 12b, 14d, 18, and 19, for the credit for qualified sick and COBRA premium assistance credit lines have been removed family leave wages are reported on form 943-X , lines 7, 8, from form 943-X . The 2008 2010 COBRA premium 14, 23, 26, and 27, respectively. For more information about assistance credit was available to an employer for premiums the credit for qualified sick and family leave wages, including paid on behalf of employees who were involuntarily the dates for which the credit may be claimed, go to terminated from employment between September 1, 2008, PLC.

6 And May 31, 2010; it isn't available for individuals who were Corrections to amounts reported on form 943, lines 12c, involuntarily terminated after May 31, 2010. The IRS. 14e, 20, and 21, for the employee retention credit are previously kept these lines available on form 943-X . reported on form 943-X , lines 15, 24, 28, and 29, because, in rare circumstances, such as instances where respectively. For more information about the employee COBRA eligibility was delayed as a result of retention credit for qualified wages paid after March 12, employer-provided health insurance coverage following 2020, and before January 1, 2021, see Notice 2021-20, termination, the credit was still available.

7 It is extremely 2021-11 922, available at unlikely that any employers would still be providing health 2021-11_IRB#NOT-2021-20. insurance coverage for an employee terminated between Corrections to the deferred amount of the employer share September 1, 2008, and May 31, 2010. Therefore, the IRS is of social security tax reported on form 943, line 14b, are no longer accepting claims for the 2008 2010 COBRA. reported on form 943-X , line 21. For more information about premium assistance credit. However, if you need to correct a the deferral of employment tax deposits, including the dates previously claimed COBRA premium assistance credit for a that deposits were allowed to be deferred and when they year in which the statute of limitations on corrections hasn't must be paid, go to expired, you can file the February 2018 revision of form Corrections to the deferred amount of the employee share 943-X and make the corrections on lines 17a and 17b.

8 Of social security tax reported on form 943, line 14c, are reported on form 943-X , line 22. For more information about Reminders the deferral of the employee share of social security tax, including the dates that the taxes were allowed to be Employee consents to support a claim for refund. Rev. deferred and when they must be paid, see Notice 2020-65, Proc. 2017-28, 2017-14 1061, available at 2020-38 567, available at 2017-14_IRB#RP-2017-28, provides guidance to employers 2020-38_IRB#NOT-2020-65, and Notice 2021-11, 2021-06 on the requirements for employee consents used by an employer to support a claim for refund of overcollected social Mar 19, 2021 Cat.

9 No. 20333Q. security tax and Medicare tax. The revenue procedure incorrectly calculated the amount of tax, you can't correct the clarifies the basic requirements for both a request for federal income tax withholding. However, you must still make employee consent and for the employee consent, and any necessary corrections to the amount of wages you permits a consent to be requested, furnished, and retained in reported on form 943 and form W-2, Wage and Tax an electronic format as an alternative to a paper format. The Statement, for a prior year by filing form 943-X and form revenue procedure also contains guidance concerning when W-2c, Corrected Wage and Tax Statement.

10 An employer may claim a refund of only the employer share The amount actually withheld is reflected on payroll of overcollected social security tax and Medicare tax. The revenue procedure requires that any request for consent TIP information or on form W-2, which can be used by the employee to claim a credit for withholding for include an Additional Medicare Tax notice indicating that any individual income tax return purposes. claim on the employees' behalf won't include a claim for overpaid Additional Medicare Tax. correcting Additional Medicare Tax withholding and Qualified small business payroll tax credit for increas- wages subject to Additional Medicare Tax withholding.