File your Form 940 with the IRS, not your state — even though you also owe state unemployment tax

Form 940 is the federal unemployment tax return. You send it to the IRS with any federal unemployment tax (FUTA) you owe. The address depends on whether you are paying by mail or filing electronically, and whether your state has a special IRS office.

Most employers file Form 940 electronically through IRS e-file, which is faster and reduces errors. If you mail it, the address changes based on your state. The IRS publishes the correct mailing address on Form 940 itself and updates it each year, so always check the form you are using rather than relying on an old address.

Do not confuse Form 940 with state unemployment tax returns. You file those separately with your state's labor or revenue department. Both are due, but they go to different places.

Key Takeaways

  • Form 940 goes to the IRS, not to your state, even though you also owe state unemployment tax to your state separately.
  • The IRS mailing address for Form 940 varies by state and changes yearly, so check the current form or the IRS website rather than using an old address.
  • Electronic filing through IRS e-file is faster and more reliable than mailing a paper form.
  • Form 940 is due by January 31 of the year after the tax year ends, unless that date falls on a weekend or holiday.
  • If you owe FUTA tax, include the payment with your filing; if you owe nothing, file the form anyway to report zero tax.

Mailing Form 940 to the IRS by state

The IRS assigns different mailing addresses based on your business location. For example, businesses in California, Hawaii, and several other states mail to one address, while businesses in New York and New Jersey mail to a different one. The form itself lists the correct address for your state on the first page.

If you cannot find the address on your form, the IRS website lists all state-by-state mailing addresses for Form 940. Search "Form 940 mailing address" on irs.gov and look for the current year's instructions. Do not use an address from a previous year, because the IRS changes these periodically.

When you mail the form, include a check or money order for any FUTA tax you owe. Write your employer identification number (EIN) on the check. Mail it early enough that it arrives by the important date — the IRS considers the postmark date, not the arrival date, but delays do happen.

Filing Form 940 electronically through IRS e-file

Electronic filing is the faster route. You can file through a tax professional, accounting software, or the IRS Free File program if your business income is below the income limit. The IRS accepts Form 940 electronically year-round.

If you use accounting software or a tax professional, they handle the electronic submission for you. You do not need to know the mailing address — the software or professional sends it directly to the IRS. Payment is usually made electronically as well, either through the Electronic Federal Tax Payment System (EFTPS) or through your tax software.

Electronic filing typically shows acceptance or rejection within 24 hours, so you know when ready whether the IRS received it correctly. This is much faster than waiting weeks to see if a mailed form arrived.

Paying FUTA tax with your Form 940

If you owe federal unemployment tax, the payment method depends on how you file. If you mail the form, include a check or money order. If you file electronically, you pay through EFTPS or your tax software's payment system.

You do not have to wait until Form 940 is due to pay FUTA tax. In fact, if you owe more than a small amount, the IRS may require you to pay quarterly through EFTPS during the year. Check your Form 940-V (Payment Voucher) or ask your tax professional whether quarterly payments are required for your business.

If you owe nothing — because your payroll was below the threshold or because you paid enough in state unemployment tax to offset your federal liability — you still file Form 940, but you do not send a payment. The form itself reports that your tax is zero.

The Form 940 important date and extensions

Form 940 is due by January 31 of the year after the tax year ends. If January 31 falls on a weekend or federal holiday, the important date moves to the next business day. For the 2023 tax year, the important date was January 31, 2024.

You can request an extension to file Form 940, but the extension only delays filing — it does not delay payment. If you owe tax, it is due by January 31 regardless of whether you file the form late. Paying late incurs penalties and interest.

What happens if you file late or mail to the wrong address

If you mail Form 940 to the wrong address, it may be returned or delayed. The IRS will not process it, and you will be considered late. Late filing incurs a penalty, usually 5 percent of the unpaid tax per month, up to 25 percent.

If you realize you mailed it to the wrong address, contact the IRS when ready at 1-800-829-1040 to report the error and ask what to do next. They may be able to locate your form or advise you to file electronically instead.

If you file electronically and the IRS rejects it, you will see the rejection notice within 24 hours. You can then correct the error and resubmit. This is one reason electronic filing is safer — you know right away if something is wrong.

Frequently Asked Questions

Can I file Form 940 and pay online?

Yes, if you file electronically through tax software or a tax professional. You pay through EFTPS or your software's payment system. The IRS does not have a Form 940-specific online filing portal for individual businesses, but most accounting software offers this service.

What if I file Form 940 but forget to include payment?

The IRS will send you a bill for the unpaid tax plus penalties and interest. It is better to pay as soon as you realize the mistake. Contact the IRS or your tax professional to arrange payment when ready.

Do I file Form 940 with my state unemployment tax return at the same time?

No. Form 940 goes to the IRS. State unemployment tax returns go to your state's labor or revenue department. The important date may be different, and the forms are separate. Check your state's website for state unemployment tax filing requirements.

Is there a penalty if I mail Form 940 but it arrives after January 31?

Yes. The IRS considers the postmark date, not the arrival date. If the postmark is on or before January 31, you are on time. If it is after, you owe a late-filing penalty even if the form arrives eventually.

Can I file Form 940 if I had no employees?

No. Form 940 is only for employers who paid wages to employees. If you are self-employed with no employees, you do not file Form 940. You report self-employment tax on Schedule SE instead.