IRS FORM 944
Instructions:
Select any any line or box for IRS instructions and QuickBooks information and
troubleshooting steps.
Select Back to Form to get back to the main form.
For more information see:
• Form 944: https://www.irs.gov/pub/irs-pdf/f944.pdf
• Instructions for Form 944: https://www.irs.gov/pub/irs-pdf/i944.pdf
Back to Form
Employer Identification Number (EIN)
IRS Instructions:
Employer identification number (EIN).
To make sure that businesses comply with federal tax laws, the IRS monitors tax filings and
payments by using a numerical system to identify taxpayers. A unique nine-digit EIN is assigned to
all corporations, partnerships, and some sole proprietors. Businesses needing an EIN must apply
for a number and use it throughout the life of the business on all tax returns, payments, and
reports.
Your business should have only one EIN. If you have more than one and aren't sure which one to
use, write to the IRS office where you file your returns (using the Without a payment address
under Where Should You File, later) or call the IRS at 1-800-829-4933 or 267-941-1000 (toll call).
If you don't have an EIN, you may apply for one online by visiting IRS.gov/EIN. You may also apply
for an EIN by faxing or mailing Form SS-4 or SS-4PR to the IRS. Employers outside of the United
States may also apply for an EIN by calling 267-941-1099 (toll call). If you have applied for an EIN
but don't have your EIN by the time a return is due, write “Applied For” and the date you applied
in the space shown for the number.
CAUTION: If you’re filing your tax return electronically, a valid EIN is required at the time the return
is filed. If a valid EIN isn't provided, the return won't be accepted. This may result in penalties.
TIP: Always be sure the EIN on the form you file exactly matches the EIN the IRS assigned to your
business. Don't use your SSN or ITIN on forms that ask for an EIN. Filing a Form 944 with an
incorrect EIN or using another business's EIN may result in penalties.
How QuickBooks populates this line:
• Online: This number is pulled from the Company Federal Tax
Information window.
• Desktop: This number is pulled from the Company
Information window.
To verify your EIN
• Online: Select the Gear icon > Payroll Settings > Federal
Taxes. Under Federal Tax Setup, update your EIN.
• Desktop: To change your EIN, click on Company and then on My
Company. Click the edit icon and click the Company
Information tab. Enter the correct EIN in the Federal Employer
Identification Number field, and click OK. You will have to create a
new form once you've changed your company EIN.
Back to Form
Name, Trade Name and Address
IRS Instructions:
Employer Identification Number (EIN), Name, Trade Name, and Address
Review the IRS Instructions for Form 944, https://www.irs.gov/pub/irs-pdf/i944.pdf.
How QuickBooks populates this line:
Name (not your trade name)
How QuickBooks populates this line
• Online: QuickBooks Online pulls this information from the data provided in the Company
General Tax Information window.
• Desktop: QuickBooks Desktop pulls this information from data provided in the Company
Information window.
To verify your QuickBooks
• Online: Select the Gear icon > Payroll Settings > General Tax
information. Under Company General Tax Information update your Filing Name.
• Desktop: From the Company menu, choose My Company. Click the edit icon and click
the Legal Information tabs to make any necessary corrections, and click OK. You will
have to create a new form once you've change your company address.
Trade Name (if any)
How QuickBooks populates this line
• Online: QuickBooks Online pulls this information from the data provided in the Account
and Settings window.
• Desktop: QuickBooks Desktop pulls this information from data provided in the Company
Information window.
To verify your QuickBooks
• Online: Select the Gear icon > Account and Settings. Select the Edit icon next
to Company name to your DBA name.
• Desktop: From the Company menu, choose My Company. Click the edit icon and click
the Contact Information tab to make any necessary corrections, and click OK. You will
have to create a new form once you've change your company address.
Address
How QuickBooks populates this line
• Online: QuickBooks Online pulls this information from the data provided in the Company
General Tax Information window.
• Desktop: QuickBooks Desktop pulls this information from data provided in the Company
Information window.
To verify your address
• Online: Select the Gear icon > Payroll Settings > General Tax
information. Under Company General Tax Information update your Filing Address.
• Desktop: From the Company menu, choose My Company. Click the edit icon and click
the Contact Information and Legal Information tabs to make any necessary correction
to the address, and click OK. You will have to create a new form once you've change your
company address.
Back to Form
Line 1 - Wages, tips, and other compensation
IRS Instructions:
Wages, Tips, and Other Compensation
Enter amounts on line 1 that would also be included in box 1 of your employees' Forms W-2. Include sick pay paid by a third party if you were given timely notice of the payments and the
third party transferred liability for the employer's taxes to you. See the General Instructions for Forms W-2 and W-3 for details.
If you’re a third-party payer of sick pay, don't include sick pay that you paid to policyholders' employees here if you gave the policyholders timely notice of the payments.
How QuickBooks populates this line:
QuickBooks calculates the total wages, tips, bonuses, overtime pay, etc., that are subject to federal income
tax, and paid to the employee during the reporting year. Wages earned in the reporting year, but paid in the
following year, are not included. Certain deductions that are not taxable to federal income tax such as 401(k),
pre-tax medical, fringe benefits, etc., can affect this box. Click to learn about the
Taxability of pay types and
deductions
how they affect this box.
To verify QuickBooks
Online:
• Select Reports and search for the Payroll Details Report.
• Filter by the Quarter and include All Employees, then click Run Report.
• Scroll to the bottom.. Review the total wages and deductions for the quarter affected, subtracting pre-tax
items that are not included in Line 2 such as 401(k), pre-tax medical, fringe benefits, etc.
Desktop
1. Run the Payroll Item Listing Report.
2. Filter the report and, in the Columns, clear everything but the Payroll Item and Tax Tracking type.
3. Print the report. Put a check mark next to any item that has a tax tracking type of Compensation,
Reported Tips, Dependent Care FSA, Section 457 Distribution, Non-qual. Plan Distr, Fringe Benefits,
Other, Moving Expenses, 401(k), 403(b), 408(k)(6)SEP, Elective 457(b), Simple IRA, Taxable Grp Trm Life,
Med Care Flex Spend, Premium Only/125, SCorp Pd Med Premium.
4. Run a Payroll Summary report for the entire calendar year.
5. Click Customize Report.
6. Click the Filters tab.
7. Under Current filter choices, click Payroll Item.
8. In the drop-down line in the middle, pick Multiple Payroll Items.
9. Check off all the payroll items you marked earlier.
10. Run the report and add the amount for Adjusted Gross Pay to Total Employer Taxes and Contributions.
The total should equal line 1 on Form 944.
To modify tax tracking for any payroll item:
1. Go to the Payroll Item List.
2. Double click the payroll item in question.
3. Click Next until you get to Tax Tracking Type.
4. Correct the tracking type, and click Next until you reach Finish. This will correct the form, but if the
taxability changed, a Payroll Checkup should be run to correct the taxable wage bases.
Back to Form
Pro Tip:
Line 1 only includes wages subject to Federal Income Tax and is reduced by deductions that are exempt.
Line 2 - Federal income tax withheld from
wages, tips, and other compensation
IRS Instructions:
Federal Income Tax Withheld From Wages, Tips, and Other Compensation
Enter the federal income tax that you withheld (or were required to withhold)
from your employees on this year's wages, tips, taxable fringe benefits, and
supplemental unemployment compensation benefits. Don't include any income
tax withheld by a third-party payer of sick pay even if you reported it on Forms
W-2. You will reconcile this difference on Form W-3.
CAUTION: References to federal income tax withholding don't apply to
employers in American Samoa, Guam, the Commonwealth of the Northern
Mariana Islands, the U.S. Virgin Islands, and Puerto Rico, unless you have
employees who are subject to U.S. income tax withholding.
How QuickBooks populates this line:
QuickBooks adds the total of the Federal Withholding (FIT) from the paychecks for the quarter.
How to verify your QuickBooks Desktop result.
• Online: Run a Payroll Details Report. Look for the FIT amount and compare the numbers.
• Desktop: Run the Payroll Summary report for the calendar year. The total of the Federal
Withholding will be line 2.
• If you have DIY payroll: If an employee's federal withholding is incorrect, a liability
adjustment for that employee will need to be entered. The amount of the adjustment
may then need to be collected from or refunded to the employee.
To prevent this from occurring in the future, obtain an updated W-4 from your employee, and:
Online
1. Click Workers > Employees tab and click the employee name to access their Employee
details.
2. Click Edit Employee to update the employee information.
3. Scroll to Step 4, withholding and click the Edit icon.
4. Update the withholding information as needed.
Desktop
1. Go to the Employee Center and click the Employees tab.
2. Double-click the employee's name.
3. Click the Payroll Info tab.
4. Click the Taxes button.
5. Correct the filing status and allowances as necessary.
Back to Form
Line 3 – If No Wages, Tips, and Other
Compensation are Subject to Social Security or
Medicare Tax
IRS Instructions:
If No Wages, Tips, and Other Compensation are Subject to Social Security or
Medicare Tax
If no wages, tips, and other compensation on line 1 are subject to social
security or Medicare taxes, check the box on line 3 and go to line 5. If this
question doesn't apply to you, leave the box blank. For more information
about exempt wages, see section 15 of Pub. 15, section 12 of Pub. 80, or
section 15 of Pub. 179. For religious exemptions, see section 4 of Pub. 15-A,
Employer's Supplemental Tax Guide.
Back to Form
How QuickBooks populates this line:
QuickBooks does not check this box for you.
Line 4a – Taxable social security wages
IRS Instructions:
Taxable social security wages.
Enter the total wages, sick pay, and fringe benefits subject to social
security taxes that you paid to your employees during the year. For this
purpose, sick pay includes payments made by an insurance company to
your employees for which you received timely notice from the insurance
company. See section 6 in Pub. 15-A for more information about sick pay
reporting.
Enter the amount before deductions. Don't include tips on this line. For
information on types of wages subject to social security taxes, see
section 5 of Pub. 15, section 4 of Pub. 80, or section 5 of Pub. 179.
For 2017, the rate of social security tax on taxable wages is 6.2% (0.062)
for the employer and employee, or 12.4% (0.124) for both. Stop paying
social security tax on and reporting an employee's wages on line 4a
when the employee's taxable wages (including tips) reach $127,200 for
the year. However, continue to withhold income and Medicare taxes for
the whole year on wages and tips even when the social security wage
base of $127,200 has been reached.
line 4a (column 1) x 0.124 line equals 4a (column 2)
Back to Form
Continued on next page
Line 4a – Taxable social security wages
continued…
Back to Form
How QuickBooks populates this line:
QuickBooks pulls column 1 from the wage base of the Social Security payroll item minus the wage base tips.
Column 2 is a calculated amount.
To verify your QuickBooks
Online:
1. Select Reports and search for Payroll Details Report.
2. Next to Date Range select a quarter, then click Run Report.
3. Under Total view the wage totals and subtract the tips totals. The result should match column 1 in Line 4a.
Desktop
1. From the Reports menu, choose Employees & Payroll, and then Payroll Summary.
2. Click the Customize Report button.
3. Click the Display tab and then select the calendar year from the Dates drop-down list.
4. In the Display columns by drop-down list, select Total Only, and clear the Hours and Rate checkboxes.
5. Click the Filters tab.
6. Choose Payroll Item in the Filter drop-down list, and then choose Multiple payroll items in the Payroll Item
drop-down list.
7. In the Payroll Item window, select Federal Withholding, Medicare Company, Medicare Employee, Social
Security Company, and Social Security Employee.
8. Clear any other selected items, and click OK.
9. Click OK to return to the Payroll Summary report.
10. Double-click the Social Security Employee Total amount to display the Transactions by Payroll Item report.
The Wage Base column total minus the Wage Base (Tips) column total should equal the line 4a, Column 1,
amount.
To correct line 4a, column 1:
The wage base amount uses each paycheck and year-to-date adjustment entered into QuickBooks Desktop for
the quarter. If the wage base amount is incorrect, your payroll items may be set up incorrectly. Verify the setup
of all payroll items used in the calendar year by choosing Payroll Item List from the Lists menu, and then double-
click each payroll item to review or correct it.
To locate and fix any incorrect employee wage bases, choose Run Payroll Checkup from the Employees menu.
Once the wage bases for the employees are fixed, QuickBooks Desktop will adjust social security and Medicare
by the correct amounts on the next paycheck, if still in the same calendar year. If the calendar year has passed or
amended 944 forms need to be filed, contact your accountant.
Enter in any liability adjustments as needed. Keep in mind that adjusted amounts may need to be collected from
or refunded to the employee.
Report
QuickBooks Desktop pulls column 1 from the wage base of the Social Security payroll item minus the wage base
tips. Column 2 is a calculated amount.
Previous page
Pro Tip:
This line only includes wages subject to Social Security (except
tips), it’s not uncommon for this line to be different then wages
reported in Line 1.
Line 4b – Taxable social security tips
Back to Form
IRS Instructions:
Taxable social security tips.
Enter all tips your employees reported to you during the year until the total of the
tips and wages for an employee reach $127,200 for the year. Include all tips your
employees reported to you even if you were unable to withhold the 6.2%
employee's share of social security tax. Don’t include service charges on line 4b.
Your employee must report cash tips to you by the 10th day of the month after
the month the tips are received. The report should include charged tips (for
example, credit and debit card charges) you paid over to the employee for charge
customers, tips the employee received directly from customers, and tips received
from other employees under any tip-sharing arrangement. Both directly and
indirectly tipped employees must report tips to you. No report is required for
months when tips are less than $20. Employees may use Form 4070 (available
only in Pub. 1244), or Form 4070-PR (available only in Pub. 1244-PR), or submit a
written statement or electronic tip record.
line 4b (column 1) x 0.124 equals line 4b (column 2)
Continued on next page
Line 4b – Taxable social security tips
continued…
How QuickBooks populates this line:
QuickBooks pulls amounts for column 1 from the wage base tips of the Social Security payroll item.
Column 2 is a calculated amount.
To verify your QuickBooks
Online:
1. Select Reports and search for Payroll Details Report.
2. Next to Date Range select a quarter, then click Run Report.
3. Under Total, view the tips totals
Desktop
1. From the Reports menu, choose Employees & Payroll, and then Payroll Summary.
2. Click the Customize Report button.
3. Click the Display tab and then select the calendar year from the Dates drop-down list.
4. In the Display columns by drop-down list, select Total Only, and clear
the Hours and Rate checkboxes.
5. Click the Filters tab.
6. Choose Payroll Item in the Filter drop-down list, and then choose Multiple payroll items in the
Payroll Item drop-down list.
7. In the Payroll Item window, select Federal Withholding, Medicare Company, Medicare Employee,
Social Security Company, and Social Security Employee.
8. Clear any other selected items and click OK.
9. Click OK to return to the Payroll Summary report.
10. Double-click the Social Security Employee Total amount to display the Transactions by Payroll
Item report. The Wage Base column total minus the Wage Base (Tips) column total should equal
the line 4a, Column 1 amount.
To correct, line 4b, column 1:
The wage base amount uses each paycheck and year-to-date adjustment entered into QuickBooks
Desktop for the quarter. If the wage base amount is incorrect, your payroll items may be set up
incorrectly. Verify the setup of all payroll items used in the calendar year by choosing Payroll Item
List from the Lists menu, and then double-click each payroll item to review or correct it.
To locate and fix any incorrect employee wage bases, choose Run Payroll Checkup from
the Employees menu. Once the wage bases for the employees are fixed, QuickBooks Desktop will adjust
social security and Medicare by the correct amounts on the next paycheck, if still in the same calendar
year. If the calendar year has passed or amended 944 forms need to be filed, contact your accountant.
Enter in any liability adjustments as needed. Keep in mind that adjusted amounts may need to be
collected from or refunded to the employee.
Report
Run a payroll summary for the entire calendar year. Double-click either the total of Social Security
Employee or Social Security Company.
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Previous page
Line 4c –Taxable Medicare wages and tips
Back to Form
IRS Instructions:
Taxable Medicare wages and tips.
Enter all wages, tips, sick pay, and taxable fringe benefits that are subject to Medicare tax. Unlike
social security wages, there is no limit on the amount of wages subject to Medicare tax.
The rate of Medicare tax is 1.45% (0.0145) each for the employer and employee, or 2.9% (0.029)
for both. Include all tips your employees reported during the year, even if you were unable to
withhold the employee tax of 1.45%.
line 4c (column 1) x 0.029 equals line 4c (column 2)
For more information on tips, see section 6 of Pub. 15, section 5 of Pub. 80, or section 6 of Pub.
179.
Continued on next page
Line 4c –Taxable Medicare wages and tips
continued…
How QuickBooks populates this line:
QuickBooks supplies the number for column 1 from the wage base of the Medicare payroll item. Column
2 is a calculated amount.
To verify your QuickBooks
Online:
1. Select Reports and search for the Payroll Tax and Wage Summary Report.
2. Next to Date Range select a quarter, then click Run Report.
3. Under Federal Taxes (941/944), view the taxable wages for Medicare.
Desktop
1. From the Reports menu, choose Employees & Payroll, and then Payroll Summary.
2. Click the Customize Report button.
3. Click the Display tab and then select the calendar year from the Dates drop-down list.
4. In the Display columns by drop-down list, select Total Only, and clear
the Hours and Rate checkboxes.
5. Click the Filters tab.
6. Choose Payroll Item in the Filter drop-down list, and then choose Multiple payroll items in
the Payroll Item drop-down list.
7. In the Payroll Item window, Medicare Company and Medicare Employee.
8. Clear any other selected items and click OK.
9. Click OK to return to the Payroll Summary report.
10. Double-click the Medicare Employee Total amount to display the Transactions by Payroll Item
report. The Wage Base column total should equal the line 4c, Column 1 amount.
To correct line 4c, column 1:
The wage base amount uses each paycheck and year-to-date adjustment entered into QuickBooks
Desktop for the quarter. If the wage base amount is incorrect, your payroll items may be set up
incorrectly. Verify the setup of all payroll items used in the calendar year by choosing Payroll Item
List from the Lists menu, and then double-click each payroll item to review or correct it.
To locate and fix any incorrect employee wage bases, choose Run Payroll Checkup from
the Employees menu. Once the wage bases for the employees are fixed, QuickBooks Desktop will adjust
Social Security and Medicare by the correct amounts on the next paycheck, if still in the same calendar
year. If the calendar year has passed or amended 944 forms need to be filed, contact your accountant.
Enter in any liability adjustments as needed. Keep in mind that adjusted amounts may need to be
collected from or refunded to the employee.
Back to Form
Previous page
Pro Tip:
This line only includes wages subject to Medicare, it’s not uncommon for this line to
be different then wages reported in Line 1.
Line 4d –Taxable wages and tips subject to
Additional Medicare Tax withholding
Back to Form
IRS Instructions:
Taxable wages & tips subject to Additional Medicare Tax withholding.
Enter all wages, tips, sick pay, and taxable fringe benefits that are subject to
Additional Medicare Tax withholding. You’re required to begin withholding
Additional Medicare Tax in the pay period in which you pay wages in excess of
$200,000 to an employee and continue to withhold it each pay period until the
end of the calendar year. Additional Medicare Tax is only imposed on the
employee. There is no employer share of Additional Medicare Tax. All wages that
are subject to Medicare tax are subject to Additional Medicare Tax withholding if
paid in excess of the $200,000 withholding threshold.
For more information on what wages are subject to Medicare tax, see the chart,
Special Rules for Various Types of Services and Payments, in section 15 of Pub. 15.
For more information on Additional Medicare Tax, go to IRS.gov/ADMT.
Once wages and tips exceed the $200,000 withholding threshold, include all tips
your employees reported during the year, even if you were unable to withhold the
employee tax of 0.9%.
line 4d (column 1) x 0.009 equals line 4d (column 2)
Continued on next page
Line 4d –Taxable wages and tips subject to
Additional Medicare Tax withholding
continued…
How QuickBooks populates this line:
QuickBooks supplies the number for column 1 from the wage base for
the Medicare Employee Addl Tax payroll item. Column 2 is a calculated
amount, but it should match the amount of tax withheld as calculated
by QuickBooks Desktop (within a few cents rounding difference).
To verify your QuickBooks
Online:
1. Select Reports and search for Payroll Details Report.
2. Next to Date Range select a quarter, then click Run Report.
3. Find employees that grossed over $200,000 for the year. The
difference between the total and $200,000 is what will appear in
Line 5d column 1. (Example: Employee One made $250,000.
$50,000 will be in box 5d column 1).
Desktop
1. From the Reports menu, choose Employees & Payroll, and
then Payroll Summary.
2. Click the Customize Report button.
3. Click the Display tab and then select the calendar year from
the Dates drop-down list.
4. In the Display columns by drop-down list, select Total Only, and
clear the Hours and Rate checkboxes.
5. Click the Filters tab.
6. Choose Payroll Item in the Filter drop-down list, and then
choose Multiple payroll items in the Payroll Item drop-down list.
7. In the Payroll Item window, select Medicare Employee Addl Tax.
8. Clear any other selected items, and click OK.
9. Click OK to return to the Payroll Summary report.
10. Double-click the Medicare Employee Addl Tax Total amount to
display the Transactions by Payroll Item report. The Wage Base
column total should equal the line 4d, Column 1 amount. The
Amount column total should equal line 4d, column 2 (within a few
cents rounding difference).
To correct line 4d, column 1:
The wage base amount for Medicare Employee Addl Tax uses each
paycheck and year-to-date adjustment entered into QuickBooks
Desktop for the year once the employee's wages exceed $200,000 as
long as the payroll item was on the employee's record before the
employee was paid $200,000. If the wage base amount is incorrect,
your payroll item may be set up incorrectly, or you may not have had
the Medicare Employee Addl Tax payroll item added to the employee's
record before the employee was paid $200,000. Verify the setup of the
Medicare Employee Addl Tax payroll item.
As long as you have at least one transaction with the Medicare
Employee Addl Tax payroll item on the employee record, you can
locate and fix any incorrect employee wage bases by choosing My
Payroll Service > Run Payroll Checkup from the Employees menu. If
any wage bases require correction, QuickBooks Desktop will post a
liability adjustment to the employee if still in the same calendar year.
Enter in any liability adjustments as needed. Keep in mind that
adjusted amounts may need to be collected from or refunded to the
employee. If the calendar year has passed or amended 944 forms need
to be filed, contact your accountant.
If you didn't set up the Medicare Employee Addl Tax payroll item and
didn't withhold this tax from employee's wages over $200,000, you'll
need to report this to the IRS following the instructions
here. (If you're
a QuickBooks Desktop Payroll Assisted user, you need to contact
Assisted Payroll support at 888.712.9702 for assistance.)
Back to Form
Previous page
Line 4e –Total social security and Medicare
taxes
How QuickBooks populates this line:
QuickBooks adds column 2 of lines 4a, 4b, 4c, and 4d.
To verify your QuickBooks
Use the verification steps for lines 4a, 4b, 4c, and 4d.
Back to Form
IRS Instructions:
Total social security and Medicare taxes.
Add the column 2 amounts on lines 4a–4d. Enter the result on
line 4e.
Line 5 - Total taxes before adjustments
IRS Instructions:
Total Taxes Before Adjustments
Add the total federal income tax withheld from wages, tips, and other
compensation from line 2 and the total social security and Medicare
taxes before adjustments from line 4e. Enter the result on line 5.
How QuickBooks populates this line:
QuickBooks calculates the amount by adding lines 2 and 4e.
Back to Form
Line 6 - Current year's adjustments
IRS Instructions:
Current Year's Adjustments
Enter tax amounts that result from current period adjustments. Use a minus sign (if possible) to show an
adjustment that decreases the total taxes shown on line 5. Otherwise, use parentheses.
In certain cases, you must adjust the amounts you entered as social security and Medicare taxes in column
2 of lines 4a–4d to figure your correct tax liability for this year's Form 944. See section 13 of Pub. 15,
section 9 of Pub. 80, or section 12 of Pub. 179.
If you need to adjust any amount reported on line 6 from a previously filed Form 944, complete and file
Form 944-X. Form 944-X is an adjusted return or claim for refund and is filed separately from Form 944.
See section 13 of Pub. 15 or section 9 of Pub. 80.
Adjustment for fractions of cents. Enter adjustments for fractions of cents (due to rounding) relating to
the employee share of social security and Medicare taxes withheld. The employee share of amounts
shown in column 2 of lines 4a–4d may differ slightly from amounts actually withheld from employees'
paychecks due to rounding social security and Medicare taxes based on statutory rates.
Adjustment for sick pay. Enter the adjustment for the employee share of social security and Medicare
taxes that were withheld and deposited by your third-party sick pay payer with regard to sick pay paid by
the third party. These wages should be included on line 4a, line 4c, and, if the withholding threshold is
met, line 4d. If you are the third-party sick pay payer, enter the adjustment for any employer share of
these taxes required to be paid by the employer. Adjustments for tips and group-term life insurance.
Enter adjustments for:
• Any uncollected employee share of social security and Medicare taxes on tips, and
• The uncollected employee share of social security and Medicare taxes on group-term life insurance
premiums paid for former employees.
How QuickBooks populates this line:
Online: Not supported. If there are adjustments for sick pay, tips, or group-
term life insurance, you can’t use our form. Manually fill out a blank 944 and
submit directly to the IRS.
Desktop: You must manually enter the number to add any sick pay or
adjustments to tips and group-term life insurance.
Back to Form
Line 8 - Qualified small business payroll tax
credit for increasing research activities
How QuickBooks populates this line:
QuickBooks does not supply this number because the new reporting process for this
credit requires business financial information. For more information on how to claim
the credit, refer to article Claiming the Federal Research & Development Credit.
Back to Form
IRS Instructions:
Qualified Small Business Payroll Tax Credit for Increasing Research
Activities
Enter the total amount of the credit from Form 8974, line 12. If you
enter an amount on line 8, you must attach Form 8974.
Line 9 - Total taxes after adjustments and
credits.
Back to Form
IRS Instructions:
Total Taxes After Adjustments and Credits
Subtract line 8 from line 7 and enter the result on line 9.
• If line 9 is less than $2,500, you may pay the amount with Form 944 or you may
deposit the amount.
• If line 9 is $2,500 or more, you generally must deposit your tax liabilities by EFT.
However, if you deposited all taxes accumulated in the first three quarters of
the year and your fourth quarter liability is less than $2,500, you may pay taxes
accumulated during the fourth quarter with Form 944. The amount shown on
line 9 must equal the amount shown on line 13m.
For more information and rules about federal tax deposits, see Must You Deposit
Your Taxes, earlier, and section 11 of Pub. 15, section 8 of Pub. 80, or section 11 of
Pub. 179.
CAUTION: If you’re a semiweekly depositor, you must complete Form 945-A,
Annual Record of Federal Tax Liability. If you fail to complete and submit Form 945-
A, the IRS may assert deposit penalties based on available information.
How QuickBooks populates this line:
Online: This is not supported in QuickBooks Online.
Desktop: QuickBooks subtracts line 8 from line 7.
Line 10 - Total deposits for this year
Back to Form
IRS Instructions:
Total Deposits for This Year
Enter your deposits for this year, including any overpayment that you applied
from filing Form 944-X, 944-X (SP), 941-X, or 941-X (PR) in the current year.
Also include in the amount shown any overpayment from a previous period
that you applied to this return.
Continued on next page
Line 10 - Total deposits for this year
Back to Form
How QuickBooks populates this line:
QuickBooks adds all the deposits for Federal Withholding,
Medicare Employee,
Medicare Employee Addl Tax, Medicare Company, Social Security
Employee, and Social Security Company with a paid through date
that falls within the year the 944 is reporting.
• Desktop: If you need to include a prior quarter's overpayment,
right click and override the amount listed to add the
overpayment.
• Online: Online is not able to edit the boxes within the
forms. You will need to update the payments to pull the
overpayment to the report.
To verify your QuickBooks
Online
1. Select Reports and search for Payroll Tax Payments.
2. Next to Date Range select the year, then click Run Report.
3. View the tax payments made. If line 13 does not match, then
the payments need to be verified and updated.
Desktop
1. Run the Payroll Liability Balances report for the year the 944
is reporting.
2. Click Customize Report.
3. Change the Display columns by option to Total only.
4. Click the Filters tab
5. Click Payroll Item under Current Filter Choices. In the middle,
click the drop-down next to Payroll Item and pick Multiple
Payroll Items. Check off only Federal Withholding, Medicare
Employee, Medicare Employee Addl Tax, Medicare Company,
Social Security Employee, and Social Security Company, and
click OK.
6. Click the Transaction Type under Choose Filter on the left. In
the middle, click the drop-down next to Transaction type and
choose Payroll Liability Check. Click OK.
7. The total balance should equal the amount of line 8. This can
be double-clicked to see the transactions that contribute to
the total. Double check that all deposits have been recorded.
If you know you've made a deposit but don't see it, expand your
date range to see if the deposit appears. If it does, double-click
that deposit and change the Paid Through date so that it falls
within the quarter it's supposed to.
If the number on line 8 doesn't match the report that was made,
then a liability adjustment has been entered or a payment was
entered incorrectly. To find a liability adjustment:
1. Click Customize Report and Filters.
2. Under Transaction Type, click Multiple Transaction Types and
from the list that pops up pick Liability Adjustment. This will
show you any liability adjustments made within the quarter in
addition to your payments. Double check that the liability
adjustment is actually needed.
If you know you're recorded the deposit in your QuickBooks
Desktop, find the deposit and check that the type is specifically
LIAB CHK and not just CHK.
If the transaction has not been reconciled then you can delete it
and record it as a payroll liability check.
Previous page
Line 11 - Balance Due
Back to Form
IRS Instructions:
Balance Due
If line 9 is more than line 10, enter the difference on line 11. Otherwise, see Overpayment, later.
Never make an entry on both lines 11 and 12.
You don't have to pay if line 11 is less than $1. Generally, you should have a balance due only if your
total taxes after adjustments and credits (line 9) are less than $2,500. See If line 9 is $2,500 or more,
earlier, for an exception.
If you were required to make federal tax deposits, pay the amount shown on line 11 by EFT. If you
weren't required to make federal tax deposits, you may pay the amount shown on line 11 by EFT,
credit card, debit card, check, money order, or EFW. For more information on electronic payment
options, go to IRS.gov/Payments.
If you pay by EFT, credit card, or debit card, file your return using the Without a payment address
under Where Should You File, earlier. Don't file Form 944-V, Payment Voucher.
If you pay by check or money order, make it payable to the “United States Treasury.” Enter your EIN,
“Form 944,” and the tax period on your check or money order. Complete Form 944-V and enclose it
with Form 944.
CAUTION: If you're required to make deposits and, instead, pay the taxes with Form 944, you may be
subject to a penalty.
What if you can't pay in full? If you can't pay the full amount of tax you owe, you can apply for an
installment agreement online.
You can apply for an installment agreement online if:
• You can't pay the full amount shown on line 11,
• The total amount you owe is $25,000 or less, and
• You can pay the liability in full in 24 months.
To apply using the Online Payment Agreement Application, go to IRS.gov/OPA.
Under an installment agreement, you can pay what you owe in monthly installments. There are
certain conditions you must meet to enter into and maintain an installment agreement, such as paying
the liability within 24 months, and making all required deposits and timely filing tax returns during the
length of the agreement.
If your installment agreement is accepted, you will be charged a fee and you will be subject to
penalties and interest on the amount of tax not paid by the due date of the return.
Continued on next page
Line 12 - Overpayment
Back to Form
IRS Instructions:
Overpayment
If line 10 is more than line 9, enter the amount on line 12. Never make an entry on
both lines 11 and 12.
If you deposited more than the correct amount for the year, you can choose to
have the IRS either refund the overpayment or apply it to your next return. Check
only one box on line 12. If you don't check either box or if you check both boxes,
generally we will apply the overpayment to your next return. Regardless of any
boxes you check or don’t check on line 12, we may apply your overpayment to any
past due tax account that is shown in our records under your EIN.
If line 12 is less than $1, we will send a refund or apply it to your next return only if
you ask us in writing to do so.
Complete Both Pages You must complete both pages of Form 944 and sign it on
page 2. Failure to do so may delay processing of your return.
How QuickBooks populates this line:
QuickBooks takes the difference between line 8 and line
7. If line 8 is greater than line 7, the amount is entered on
line 12.
Line 13 - Check One
Back to Form
IRS Instructions:
Check One
If line 9 is less than $2,500, check the first box on line 13 and go to line 14.
If line 9 is $2,500 or more, check the second box on line 13. If you are a monthly schedule depositor, enter
your tax liability for each month and figure the total liability for the year. If you don't enter your tax liability for
each month, the IRS won't know when you should have made deposits and may assess an “averaged” failure-
to-deposit penalty. See section 11 of Pub. 15, section 8 of Pub. 80, or section 11 of Pub. 179. If your tax
liability for any month is negative, don't enter a negative amount for the month. Instead, enter zero for the
month and subtract that negative amount from your tax liability for the next month.
CAUTION: The amount shown on line 13m must equal the amount shown on line 9.
If you are a semiweekly schedule depositor or if you accumulate $100,000 or more in tax liability on any day in
a deposit period, you must complete Form 945-A and file it with Form 944. See the $100,000 Next Day
Deposit Rule in section 11 of Pub. 15, section 8 of Pub. 80, or section 11 of Pub. 179. Don't complete lines
13a–13m if you file Form 945-A.
Adjusting tax liability for the qualified small business payroll tax credit for increasing research activities
reported on line 8. Monthly schedule depositors and semiweekly schedule depositors must account for the
qualified small business payroll tax credit for increasing research activities (line 8) when reporting their tax
liabilities on line 13 or Form 945-A. The total tax liability for the year must equal the amount reported on line
9. Failure to account for the qualified small business payroll tax credit for increasing research activities on line
13 or Form 945-A may cause line 9 to be less than the total tax liability reported on line 13 or Form 945-A.
The qualified small business payroll tax credit for increasing research activities applies to the employer share
of social security tax on wages paid in the quarter that begins after the income tax return electing the credit
has been filed. In completing line 13 or Form 945-A, you take into account the payroll tax credit against your
liability for the employer share of social security tax starting with the first payroll payment of the quarter that
includes payments of wages to your employees subject to social security tax. The credit may be taken to the
extent of the employer share of social security tax on wages associated with the first payroll payment, and
then to the extent of the employer share of social security tax associated with succeeding payroll payments in
the quarter until the credit is used. Don’t reduce your monthly tax liability reported on line 13 or your daily tax
liability reported on Form 945-A below zero. Consistent with the entries on line 13 or Form 945-A, the payroll
tax credit should be taken into account in making deposits of employment tax. If any payroll tax credit is
remaining at the end of the quarter that has not been used completely because it exceeds the employer share
of social security tax for the quarter, the excess credit may be carried forward to the succeeding quarter and
allowed as a payroll tax credit for the succeeding quarter. The payroll tax credit may not be taken as a credit
against income tax withholding, Medicare tax, or the employee share of social security tax.
Also, the remaining payroll tax credit may not be carried back and taken as a credit against wages paid from
preceding quarters that are reported on the same Form 944 or on Forms 944 for preceding years. If an
amount of payroll tax credit is unused at the end of the calendar year because it is in excess of the employer
share of social security tax on wages paid during the applicable quarters in the calendar year, the remaining
payroll tax credit may be carried forward to the first quarter of the succeeding calendar year as a payroll tax
credit against the employer share of social security tax on wages paid in that quarter.
For an example see IRS Form 944 Instructions:
https://www.irs.gov/pub/irs-pdf/i944.pdf
Continued on next page
Line 13 - Check one
continued…
Back to Form
How QuickBooks populates this line:
If the amount on line 7 is less than $2,500, QuickBooks checks the first box and does not list the liability amount.
If the amount on line 7 is more than $2,500, QuickBooks checks the second box and lists the amount of liability by
month.
How to verify your QuickBooks Desktop result
Online:
Run a Tax and Wage Summary report. In QuickBooks Online, Select Reports > and search for the Tax and Wage
Summary Report. Filter by month and the employee, then click Run Report. Look for the totals under Federal Taxes
(941/944) (Federal Withholding, Medicare Company, Medicare Employee, Social Security Company, and Social
Security Employee taxes). The totals should correspond to the amount in the "Total liability for quarter" of line 16.
Desktop
1. From the Reports menu, choose Employees & Payroll, and then Payroll Summary.
2. Click the Customize Report button.
3. Click the Display tab and then set the date range to the calendar year.
4. In the Display columns by drop-down list, select Month, and clear the Hours and Rate checkboxes.
5. Click the Filters tab.
6. Choose Payroll Item in the Filter drop-down list, and then choose Multiple payroll items in the Payroll Item drop-
down list.
7. In the Payroll Item window, select Federal Withholding, Medicare Company, Medicare Employee, Social Security
Company, and Social Security Employee. Clear any other selected items and then click OK.
8. Click OK to return to the Payroll Summary report.
9. Ignoring any negative signs, add up each column's amounts for Federal Withholding, Medicare Company,
Medicare Employee, Social Security Company, and Social Security Employee taxes. The totals should correspond
to the amounts in 13a through 13l. Any of the numbers on the report can be double-clicked to see what
transactions contribute to their amounts.
Previous page
Pro Tip:
These boxes are for when taxes are accrued,
not paid, it is based off of the paycheck date.
Line 14 - If your business has closed
Back to Form
IRS Instructions:
If Your Business Has Closed...
If you go out of business or stop paying wages, you must file a final return.
To tell the IRS that a particular Form 944 is your final return, check the box
on line 14 and enter the date you last paid wages in the space provided.
For additional filing requirements, see If your business has closed..., earlier.
How QuickBooks populates this line:
QuickBooks does not check this box for you. If this is your
last or final return, you must manually check the box and
enter a date.
Part 4 - May We Speak With Your Third-party
Designee?
How QuickBooks populates this line:
QuickBooks does not check this box for you. This section must be filled in
manually. If you select No, continue on to Part 5. If you select Yes, fill in
the designee's name and phone number and enter in a 5-digit number to
be used by the designee as a personal identification number (PIN).
To verify your QuickBooks
If the amount from line 12 or 13 is incorrect, this line will be incorrect.
See the verification instructions for lines 12 and 13, which make up the
numbers in this calculation.
Back to Form
IRS Instructions:
May We Speak With Your Third-party Designee?
If you want to allow an employee, a paid tax preparer, or another person to discuss your Form
944 with the IRS, check the “Yes” box in Part 4. Enter the name, phone number, and the 5-digit
personal identification number (PIN) of the specific person to speak with—not the name of the
firm that prepared your tax return. The designee may choose any five numbers as his or her PIN.
By checking “Yes,” you authorize the IRS to talk to the person you named (your designee) about
any questions we may have while we process your return. You also authorize your designee to do
all of the following.
• Give us any information that is missing from your return.
• Call us for information about processing your return.
• Respond to certain IRS notices that you have shared with your designee about math errors
and return preparation. The IRS won't send notices to your designee.
You’re not authorizing your designee to bind you to anything (including additional tax liability) or
to otherwise represent you before the IRS. If you want to expand your designee's authorization,
see Pub. 947.
The authorization will automatically expire 1 year after the due date (without regard to
extensions) for filing your Form 944. If you or your designee want to terminate the authorization,
write to the IRS office for your location using the Without a payment address under Where
Should You File, earlier.
Part 5 - Sign Here (Approved Roles)
How QuickBooks populates this line:
QuickBooks does not supply any of this information. You can manually fill
in the fields for Print Name, Date, Phone, and Title.
To verify your QuickBooks
If the amount from line 12 or 13 is incorrect, this line will be incorrect.
See the verification instructions for lines 12 and 13, which make up the
numbers in this calculation.
Back to Form
IRS Instructions:
Sign Here (Approved Roles)
Complete all information in Part 5 and sign Form 944. The following persons are authorized to
sign the return for each type of business entity.
• Sole proprietorship - The individual who owns the business.
• Corporation (including a limited liability company (LLC) treated as a corporation) - The
president, vice president, or other principal officer duly authorized to sign.
• Partnership (including an LLC treated as a partnership) or unincorporated organization - A
responsible and duly authorized member, partner, or officer having knowledge of its affairs.
• Single-member LLC treated as a disregarded entity for federal income tax purposes - The
owner of the LLC or a principal officer duly authorized to sign.
• Trust or estate - The fiduciary. Form 944 may be signed by a duly authorized agent of the
taxpayer if a valid power of attorney has been filed.
Alternative signature method. Corporate officers or duly authorized agents may sign Form 944
by rubber stamp, mechanical device, or computer software program. For details and required
documentation, see Rev. Proc. 2005-39, 2005-28 I.R.B. 82, available at IRS.gov/irb/2005-
28_IRB/ar16.html.
Paid Preparer Use Only
Back to Form
IRS Instructions:
Paid Preparer Use Only
A paid preparer must sign Form 944 and provide the information in the Paid Preparer Use
Only section of Part 5 if the preparer was paid to prepare Form 944 and isn't an employee of
the filing entity. Paid preparers must sign paper returns with a manual signature. The
preparer must give you a copy of the return in addition to the copy to be filed with the IRS.
If you’re a paid preparer, enter your Preparer Tax Identification Number (PTIN) in the space
provided. Include your complete address. If you work for a firm, enter the firm's name and
the EIN of the firm. You can apply for a PTIN online or by filing Form W-12. For more
information about applying for a PTIN online, go to IRS.gov/PTIN. You can't use your PTIN in
place of the EIN of the tax preparation firm.
Generally, don't complete this section if you are filing the return as a reporting agent and
have a valid Form 8655 on file with the IRS. However, a reporting agent must complete this
section if the reporting agent offered legal advice, for example, advising the client on
determining whether its workers are employees or independent contractors for federal tax
purposes.
How QuickBooks populates this line:
QuickBooks does not supply any of this information. If the
form is prepared by a third party, fill out the appropriate
information in fields for Paid Preparer Name, Firm Name,
Address, City, State, Zip code, Date, Preparer PTIN, and Firm
EIN.
If you are using QuickBooks Desktop Premier Accountant
Edition, this section can be automatically filled in using
information located under the Company menu by clicking
on My Company and clicking the Auto-fill Contact
Info... button.
