The IRS has released a new revenue procedure (IRB 2009-45), which sets forth the procedures for employers to follow to request to file Form 944, Employer’s ANNUAL Federal Tax Return (i.e., to opt in). In addition, this revenue procedure sets forth the procedures for employers who previously were notified to file Form 944 to follow to request to file Forms 941, Employer’s QUARTERLY Federal Tax Return, instead (i.e., to opt out).
Requests to File Form 944 (opt in to filing Form 944): Upon request by qualified employers, the IRS will notify employers in writing of their qualification to file Form 944. Employers may request to file Form 944 by contacting the IRS at the appropriate telephone number or mailing address, by the applicable due date. Employers must not file Form 944 unless they receive notification that they are eligible to do so (form 944 eligibility). Employers who previously received notification of their qualification to file Form 944 must continue to file Form 944 unless the IRS notifies the employer that the employer no longer qualifies to file Form 944 or the employer opts out.
Requests to File Forms 941 (opt out of filing Form 944): Employers who previously were notified to file Form 944 but want to file Forms 941 instead must call or write the IRS stating that they want to opt out of filing Form 944 before the applicable due date. The IRS will send written notification to employers that their filing requirement was changed to Forms 941. Employers who were notified of their qualification to file Form 944 but do not receive notification that their filing requirement was changed to Forms 941 must file Form 944 rather than Forms 941.
For more information about the due date to opt-in/ opt-out of filing Form 944 please visit the IRS website.