What is the difference between IL 501 and IL-941?
Form IL-501 is used to deposit Illinois income tax withheld. If the amount due is: Less than $500 a quarter – the employer may report and pay the tax using the IL-941. $500 or more a quarter – the employer must deposit the taxes with the Illinois Department of Revenue using Form IL-501 to transmit the deposit.
What is a Form IL-941?
Note: Form IL-941 is the only form used to report Illinois income tax withholding with the exception of household employee withholding, which can be reported on Form IL-1040, Individual Income Tax return. If you have household employees, see Publication 121, Illinois Income Tax Withholding for Household Employees.
Who should file Form 941?
Who must file Form 941. Generally, any person or business that pays wages to an employee must file a Form 941 each quarter, and must continue to do so even if there are no employees during some of the quarters.
How do I file an Illinois 941 electronically?
MyTax Illinois is a free online application for electronically filing your Form IL-941 Illinois Withholding Tax Return and Form UI-3/40, Contribution and Wage Report. Follow the instructions on the MyTax Illinois screens and enter your tax information.
What is a 501 withholding?
Like other employers, section 501(c)(3) organizations that pay wages to employees must withhold and deposit federal income tax and Social Security and Medicare taxes from employees’ wages, and pay the employer’s share of such taxes. This withholding is referred to as “backup withholding.”
Where can I get a copy of 941?
If you need a copy of a past Form 941 that you have filed, you can request a copy through the Internal Revenue System. Each copy costs $57.
What happens if I don’t file Form 941?
If you fail to File your Form 941 or Form 944 by the deadline: Your business will incur a penalty of 5% of the total tax amount due. You will continue to be charged an additional 5% each month the return is not submitted to the IRS up to 5 months.
Does Form 941 have to be filed electronically?
No, Form 941 does not have to be filed electronically. You can choose to file it via mail instead.