State code.
If you made your deposits by FTD coupon (Form 8109) or by using an EFTPS bank account in a state other than that shown
in your address on Form 945,
enter the state code for the state where you made deposits or initiated EFTPS transfers in the box provided in the upper left
corner of Form 945. Use
the Postal Service two-letter state abbreviation as the state code. Enter the code “
MU” in the state code box if you deposit in more than one
state. If you deposit in the
same state as shown in your address,
do not make an entry in this box.
Line A—Final return.
If you go out of business or end operations and you will not be required to file Form 945 in the future, file a final
return. Be sure to check the
final return box and enter the date that final income payments were made.
Line 1—Federal income tax withheld.
Enter the Federal income tax that you withheld from pensions (including distributions from
governmental section 457(b) plans),
annuities, IRA distributions, military retirement, Indian gaming profits, and gambling winnings (regular gambling withholding
only). Also enter any
voluntary amount that you withheld on certain government payments. If you are required to report Federal income tax withholding
on Forms 1099 (e.g.,
Form 1099-R or Form W-2G), you must report the Federal income tax withheld on Form 945.
Federal income tax withholding reported on Form W-2
must be reported on Forms 941, 943, or Schedule H (Form 1040), as appropriate.
Line 2—Backup withholding.
Enter any backup withholding, including backup withholding on gambling winnings.
Regulated investment companies (RICs) and real estate investment trusts (REITs) must report any backup withholding
on Form 945 in the year that the
dividends are actually paid. This includes January payments of dividends declared during October, November, and December of
the prior year. (See
the
Instructions for Form 1099-DIV for special reporting requirements.)
Line 3—Adjustment to correct administrative errors.
You cannot make an adjustment on Form 945 to correct Federal income tax withholding or backup withholding reported
in a prior calendar year
unless it is to correct an
administrative error. An administrative error occurs if the amount you entered on Form 945 is not the
amount that you actually withheld. For example, if the total Federal income tax actually withheld was incorrectly reported
on Form 945 due to a math
or transposition error, this is an administrative error. The administrative error adjustment corrects the amount reported
on Form 945 to agree with
the amount actually withheld from nonpayroll payments.
You must report an adjustment to correct an administrative error on Form 945 in the year in which you discover the
error. If the net adjustment is
negative (reducing your tax liability), enclose the amount reported on line 3 in parentheses (if possible).
You will not be allowed a refund or credit for any prior year's overpayment of Federal income tax that you withheld
from a payee. This is because
the payees use the amount of withholding shown on the information return (e.g., Form 1099-R) as a credit when filing their
income tax returns.
If you are making an adjustment(s) to correct a prior year administrative error, report the net adjustment (including
adjustments to Federal income
tax withholding
and backup withholding) on line 3. Complete
Form 941c, Supporting Statement To Correct Information, or an
equivalent statement, and file it with Form 945 to provide the required information on the adjustment(s). Be sure to identify
the adjustment(s) in the
supporting statement (Part V of Form 941c) as correcting an administrative error and provide a description of the error(s).
Do not file
Form 941c separately from Form 945.
Reporting adjustments on line 8 or on Form 945-A.
The amount of the adjustment(s) also must be taken into account in the monthly summary of Federal tax liability (line
8) or on
Form 945-A,
Annual Record of Federal Tax Liability. If the adjustment increases your tax liability, include the adjustment with any other
amount on the
entry space for the date that you discovered the error. If the adjustment decreases your tax liability, use the adjustment
amount as a credit to
offset subsequent liabilities on line 8 or Form 945-A until it is used up. (See section 13 of Circular E (Pub. 15) for more
information. The Circular
E (Pub. 15) instructions for making adjustments refer to Form 941 but also apply to Form 945 adjustments.)
If you are not required to complete line 8 or Form 945-A because your total taxes are less than $2,500, do not show adjustments
on line 8 or
on Form 945-A.
Line 4—Total taxes.
Add lines 1 and 2 and add or subtract any net adjustment on line 3. If total taxes are $2,500 or more, the amount
reported on line 4 must equal the
total liability for the year reported on line 8M of the Monthly Summary of Federal Tax Liability, or line M of Form 945-A.
Line 5—Total deposits.
Enter your total Form 945 deposits for the year, including any overpayment applied from your 2002 return.
Line 6—Balance due.
You do not have to pay if line 6 is under $1. You should have a balance due only if your total taxes for the year
(line 4) are less than $2,500.
(However, see section 11 of Circular E (Pub. 15) regarding payments made under the
Accuracy of Deposits Rule.) Enter your EIN, “
Form
945,” and “
2003” on your check or money order and make it payable to the “
United States Treasury.” If line 4 is $2,500 or more and you
deposited all taxes when due, the amount on line 6 should be zero.
If you fail to make required deposits (using EFTPS or Form 8109, as required) and instead pay these amounts with your return,
you may be subject to
a penalty.
Line 7—Overpayment.
If you deposited more than the correct amount for the year, you can have the overpayment refunded or applied to your
next return by checking the
appropriate box. The IRS may apply your overpayment to any past due tax account under your EIN. If line 7 is under $1, we
will send a refund or apply
it to your next return only on written request.
Line 8—Monthly Summary of Federal Tax Liability.
This is a summary of your monthly tax liability,
not a summary of deposits made. If line 4 is less than $2,500,
do not
complete line 8
or Form 945-A.
Complete line 8 if you were a
monthly schedule depositor for the entire year. (See
Determining your deposit schedule on page
2).
Report your liabilities on
Form 945-A instead of on
line 8 if:
- You were a semiweekly schedule depositor during 2003. Do not complete entries A through M of line 8. Instead, complete
and file Form 945-A with Form 945.
- You were a monthly schedule depositor for 2003 and during any month you accumulated nonpayroll taxes of $100,000 or more. Because
this converted you to a semiweekly schedule depositor for the remainder of 2003 (and for 2004), you must report your liabilities
on Form 945-A for the
entire year. Do not complete entries A through M of line 8. (See section 11 of Circular E (Pub. 15) for more information on the
$100,000 Next-Day Deposit Rule.)
Third Party Designee.
If you want to allow any individual, corporation, firm, organization, or partnership to discuss your 2003 Form 945
with the IRS, check the
“
Yes” box in the
Third Party Designee section of the return. Also, enter the name, phone number, and any five numbers that the
designee chooses as his or her personal identification number (PIN). The authorization applies only to the tax form upon which
it appears.
By checking the “
Yes” box, you are
authorizing the IRS to call the designee to answer any questions relating to the information
reported on your tax return. You are also authorizing the designee to:
- Exchange information concerning your tax return with the IRS and
- Request and receive written tax return information relating to your tax return including copies of specific notices, correspondence,
and
account transcripts.
You are
not authorizing the designee to receive any refund check, bind you to anything (including additional tax liability), or
otherwise represent you before the IRS. If you want to expand the designee's authorization or desire automatic issuances of
copies of notices, see
Pub. 947, Practice Before the IRS and Power of Attorney.
The
Third Party Designee authorization automatically
expires one year from the due date (without regard to extensions) for
filing your 2003 Form 945. If you or your designee desire to terminate the authorization, a written statement conveying your
wish to revoke the
authorization should be submitted to the IRS service center where the return was processed.
Who must sign.
Form 945 must be signed as follows:
- Sole proprietorship – The individual owning the business.
- Corporation – The president, vice president, or other principal officer.
- Partnership or unincorporated organization – A responsible and duly authorized member or officer having knowledge of its
affairs.
- Trust or estate – The fiduciary.
The return may also be signed by a duly authorized agent of the taxpayer if a valid power of attorney has been filed.
