Form 941 and the 2010 H.I.R.E. Act

In the 2010 Second Quarter Disk Maintenance software updates, an option has been added to both Client Write-Up and Payroll programs which will allow you to mark employees as "Qualified" under the 2010 HIRE Act.  Once marked, an employee will be exempted from the employer’s portion of FICA tax withholding and calculations.  This option can be found both on the Maintain Employees screen and within the 941 Employer’s Quarterly Federal Tax Return Wizard.  For more information on the fields displayed in the 941 wizard, click on the Additional Help button accessible from the Intro – Company screen of the 941 report wizard.

Reminder: You should have a W-11 form signed by each qualified employee before implementing this exemption.  To determine whether or not an individual position or employee meets the qualifications for this exemption, please consult your company’s accountant or controller.  Additional information is also available online at www.irs.gov