News

June 08, 2010 NHRMA Mutual, MPIC News and Updates

Revised Form 941 for HIRE Act

The IRS recently announced that Form 941, Employer’s Quarterly Federal Tax Return, has been revised for use beginning with the second calendar quarter of 2010, by most employers claiming the payroll tax exemption created by the HIRE Act for wages paid to qualified employees.  The payroll tax exemption may apply to employers who hired unemployed workers after Feb. 3, 2010 and before Jan. 1, 2011. Those employers may qualify for a 6.2 percent payroll tax incentive, in effect exempting them from the employer’s share of Social Security tax on wages paid to those workers after March 18.