When is a new business required to report the 941 taxes?

Whenever a new business comes into operation and has employee payroll that requires federal withholding then the business is required to file IRS Form 941 at the end of each quarter reflecting the total amount of withholding owed to the IRS. This is one area where many new businesses get into trouble. To learn more about the pitfalls of this, seek professional advice. Sometimes business owners do not fully realize it is their responsibility to pay these taxes and can fall behind from the very beginning of operation. The best option is to hire a qualified accounting firm to handle this for the business because it will not be just 941 filings but also 1120 or 1120s corporate returns to be filed in addition 940 filings as well. Most business owners would agree that "keeping the books" in order is perhaps the most challenging aspect of running a business. More input All the above is true, but reporting the quarterly 941 taxes on the required form, and in the required format...is different than when you must withhold and pay them over! Generally, that is driven by the payroll schedule of the entity, and is always very close to, (sometimes even ahead of), each and every payroll! The quartery 941 form essentially reconciles the payments you've made for the prior quarter to what should have been paid. Not paying on time will resuklt in automatic and frequently substantial penalties, even if the form is provided on time every quarter!