TaxBandits Knowledge Base

What are Monthly Schedule Depositor and Semi-weekly Schedule Depositor In Form 94X?

Form 94X is used for reporting employment taxes to the Internal Revenue Service (IRS) in the United States.

The Monthly Schedule Depositor and Semiweekly Schedule Depositor refer to two different methods of depositing employment taxes on Form 941 or Form 944:

Monthly Schedule Depositor: Employers who have a total tax liability of less than $50,000 for the preceding calendar year are considered Monthly Schedule Depositors. These employers must deposit their employment taxes on a monthly basis by the 15th day of the following month.

Semiweekly Schedule Depositor: Employers who have a total tax liability of $50,000 or more for the preceding calendar year are considered Semiweekly Schedule Depositors. These employers must deposit their employment taxes on either a Wednesday or a Friday, depending on when the payroll is paid, within three business days of paying wages to their employees.

It is important for employers to correctly determine their deposit schedule and make timely deposits to avoid penalties and interest charges from the IRS.