Monday, March 16, 2009

Form 941 Changes

The federal government has changed the 941 form. With the stimulus package income tax changes the form 941 has changed to accommoate the COBRA payments. The COBRA premium payment assistance payments are reflected on box 12a. Box 12b reflects the number of individuals provided COBRA premium assistance. Box 13 has been added, this box will be filled with the total from boxes 11 and 12a. The value of box 12b will not affect the values in boxes 13, 14 or 15.

The other change is with box 7. Box 7 now includes this quarter's adjustments only which are 7a, 7b and 7c. This means adjustments 7d, 7e 7f and 7g no longer exist on the form.

The Payroll Software I use, Payroll Mate, has updated the 941 form. The three new boxes 12a, 12b and 13 have been added to part 1of the 941 form. Payroll Mate calculates box 13 from boxes 11 and 12a. However, Payroll Mate does not calculate the values of boxes 12a and 12b the user inputs the values. Payroll Mate will reflect the value of both boxes on the printed form.

My Payroll Program has been updated to reflect the income tax changes of the The American Recovery and Reinvestment Act of 2009.

You can download a free demo version of the program at