cancel
Showing results for 
Search instead for 
Did you mean: 
TVon915
Level 2

941 Monthly deposits late even though I pay them 2 days early

I have now received two notices from the IRS stating that my monthly deposits are several days late each month.  I pay them through Quickbooks EFTPS on the 13th of every month and it's always accepted.  I have called the IRS but haven't been able to wait the 1-2 hour hold time so I am waiting for a call back.  

Solved
Best answer November 03, 2020

Best Answers
Jen_D
Moderator

941 Monthly deposits late even though I pay them 2 days early

It's nice to see you here, @richardcorleto15760,

 

I can share some more insights about this, so you can avoid the late payments.

 

Please note that your payroll schedule is different from the tax deposit schedule. Reviewing your post, it looks like you're set up to pay taxes every after a pay run.

 

Can you please confirm when do you pay your employees and what is the deposit schedule the IRS assigned for you? Is this happening to other taxes besides 941?

 

Also, before you submit the payment, make sure the Withdraw On date is correct. The moment you send a payment, it can no longer be edited afterwards. See this:

 

At the moment, QuickBooks will set a few days in advance if you're paying electronically to post it to the actual deposit date. This is the date the agency is to debit the funds from your bank account and settle the payment. Take a look at this article to learn more about this: Dates affecting e-payment submission and processing

 

If you have been editing the payment, even before, try to check the payroll setup and see if the schedule is set up correctly. There are instances when some customers are using a different frequency. Follow the steps below to review the tax settings:

 

First, make sure that a payment schedule is set up for the tax. Here are the steps for that:

  1. Go to the Employees menu, then select Payroll Center.
  2. Select the Pay Liabilities tab.
  3. Under Other Activities, select Change Payment Method.
  4. Go to Schedule payments, then select the tax liability you want to edit or schedule a payment for.
  5. Click on Edit, then enter the information.
  6. For QuickBooks Desktop Payroll Enhanced users:
    • If the payment frequency option you need isn’t available in the drop-down list, select the Let me use a different payment frequency checkbox. Select Next, then set up a custom payment schedule.
    • The IRS doesn't offer a weekly liability payment schedule. If you're required to make a payment several days after running payroll, the IRS considers it a semiweekly basis. Choose After Each Payroll from the Payment frequency drop-down to set it up.
  7. Hit Finish, then Finish Later.

Check this link for further guidance: Set up and pay scheduled or custom (unscheduled) liabilities

 

I'll be waiting for your response as I want to make sure this is resolved. Kindly add the additional details below. Have a good one!

View solution in original post

11 Comments
Pabz_L
QuickBooks Team

941 Monthly deposits late even though I pay them 2 days early

I’d be happy to share some info about your tax deposit due dates, @TVon95.

 

 In QuickBooks Desktop, you can customize the Payroll Center to keep track of the due dates for your taxes, as well as any of your other payroll liabilities,

 

If you're not sure what your tax schedule is, consult your accountant or your tax advisor.

 

You can open this article so you’ll know your tax deposits due: Tax deposit due dates.

 

 Also, I’m adding an article so you’ll be able to know what to do when you receive a tax notice: What to do if you receive a tax notice.

 

Let me know if you have any other questions. Have a good day!

TVon915
Level 2

941 Monthly deposits late even though I pay them 2 days early

I know what my due dates are and am paying them two days early.  The issue is that the date quickbooks is releasing (withdraw date) to the IRS makes it late.  Can I alter the withdraw date and where?

ZackE
QuickBooks Team

941 Monthly deposits late even though I pay them 2 days early

Thanks for following up with the Community, TVon915.


Withdraw dates can be changed from your Payroll Taxes and Liabilities screen.
 

I'll guide you through how it's done::
1. In the top menu bar, go to Employees.
2. Choose Payroll Taxes and Liabilities, then Edit Payment Due Dates.
2. Select Schedule payments.
 

From here, you'll be able to review your scheduled transactions and edit 941 withdrawing dates.


There's some things you'll want to be aware of:

  • A Withdraw on date must be at least 2 banking days after the check date because Intuit sets it for that amount of time after the date you created your check.
  • When check dates are altered, your Withdraw on date won't automatically update. It'd have to be done manually.
  • If the agency allows, a future entry for a withdrawn date can be entered when you create the payment, but not more than 120 days in the future.

 

More details about editing scheduled payments can be found in our following resources:


Please don't hesitate in sending a response if there's any additional questions. I'll be here to help. Enjoy the rest of your day!

richardcorleto15760
Level 2

941 Monthly deposits late even though I pay them 2 days early

I'm having the same exact issue.  You can't change the withdrawal date.  You need to adjust your settings.  I have had multiple late payments.  If I just created a paycheck today and it's due tomorrow.  Paying today already makes it late and I just created the paycheck today.  How can that be.  QuickBooks needs to adjust this.  You can't have a late payment on the day you create the paycheck.  Something is terribly wrong.

richardcorleto15760
Level 2

941 Monthly deposits late even though I pay them 2 days early

I am having the same problem!!!!!  I spend 3 hours with QuickBooks to no avail.  

Jen_D
Moderator

941 Monthly deposits late even though I pay them 2 days early

It's nice to see you here, @richardcorleto15760,

 

I can share some more insights about this, so you can avoid the late payments.

 

Please note that your payroll schedule is different from the tax deposit schedule. Reviewing your post, it looks like you're set up to pay taxes every after a pay run.

 

Can you please confirm when do you pay your employees and what is the deposit schedule the IRS assigned for you? Is this happening to other taxes besides 941?

 

Also, before you submit the payment, make sure the Withdraw On date is correct. The moment you send a payment, it can no longer be edited afterwards. See this:

 

At the moment, QuickBooks will set a few days in advance if you're paying electronically to post it to the actual deposit date. This is the date the agency is to debit the funds from your bank account and settle the payment. Take a look at this article to learn more about this: Dates affecting e-payment submission and processing

 

If you have been editing the payment, even before, try to check the payroll setup and see if the schedule is set up correctly. There are instances when some customers are using a different frequency. Follow the steps below to review the tax settings:

 

First, make sure that a payment schedule is set up for the tax. Here are the steps for that:

  1. Go to the Employees menu, then select Payroll Center.
  2. Select the Pay Liabilities tab.
  3. Under Other Activities, select Change Payment Method.
  4. Go to Schedule payments, then select the tax liability you want to edit or schedule a payment for.
  5. Click on Edit, then enter the information.
  6. For QuickBooks Desktop Payroll Enhanced users:
    • If the payment frequency option you need isn’t available in the drop-down list, select the Let me use a different payment frequency checkbox. Select Next, then set up a custom payment schedule.
    • The IRS doesn't offer a weekly liability payment schedule. If you're required to make a payment several days after running payroll, the IRS considers it a semiweekly basis. Choose After Each Payroll from the Payment frequency drop-down to set it up.
  7. Hit Finish, then Finish Later.

Check this link for further guidance: Set up and pay scheduled or custom (unscheduled) liabilities

 

I'll be waiting for your response as I want to make sure this is resolved. Kindly add the additional details below. Have a good one!

View solution in original post

richardcorleto15760
Level 2

941 Monthly deposits late even though I pay them 2 days early

Can you e-mail me directly. I am the one deal with this issue and it's my boss that is getting the e-mails?  [email address removed].  I can not edit the withdraw on date.  I have taken many screen shots that I can show you.  

richardcorleto15760
Level 2

941 Monthly deposits late even though I pay them 2 days early

please reply to me directly [email address removed]  Otherwise the responses are going to my boss.  [email address removed]

 

1 employee gets paid on the 15 and last day of the month and the other gets paid sometimes on the same but if not then at request.  I never had an issues with this before recently.  We are set to semi weekly payments.  I can not change the withdraw on date...  

JessT
QuickBooks Team

941 Monthly deposits late even though I pay them 2 days early

Hi richardcorleto15760,

 

It is really important to submit tax payments on time. If you cannot change the withdrawal date, it means that your tax agency does not allow you to set it. However, due to the fact that you have never had issues before, I would suggest reaching our QuickBooks Desktop Payroll team. That way, they can start with a screen sharing session to get more details on the issue.

 

By the way, we can only respond through this platform, so replies are automatically sent to the email address associated with the poster's ID.

 

If you have other questions, feel free to go back to this thread.

richardcorleto15760
Level 2

941 Monthly deposits late even though I pay them 2 days early

I spent 3 hours on the phone with them on Friday and they were not helpful, in fact blaming the IRS for not allowing that change.  In addition, they were no able to screen share because I have desktop not online.  I spent 1 hour on the phone with the IRS suggesting that you are mandating the 2 day before the funds can be withdrawn. Unless I can get someone to help me with this it is going to be an issue every time I submit the tax payment.  Maybe you can get someone who knows how to deal with this to contact me because I wasted 3 hours on Friday going round and round.

TVon915
Level 2

941 Monthly deposits late even though I pay them 2 days early

Thank you.  My payroll is set up correctly and my payment schedule is correct.  I have been e-filing monthly for years with no issue.  I did see where I can adjust the withdraw date.  I will make sure that date is correct the next time I e-file my deposit.  If it's still coming out late, I will just make sure I do it even earlier than I already am.  Thank you for your help.

Sign in for the best experience
Ask questions, get answers, and join our large community of QuickBooks users.
Sign In / Sign Up

Need to get in touch?

Contact us