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AH XSL/XML                 Fileid: … 1040-sch-h/2023/a/xml/cycle06/source                                                       (Init. & Date) _______
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Department of the Treasury
Internal Revenue Service

2023 Instructions for Schedule H

                                                     Here is a list of forms that household employers need to 
Household
                                                     complete.
Employment                                               •   Schedule H (Form 1040) for figuring your household employment taxes.
                                                         •   Form W-2 (or Form 499R-2/W-2PR for employers in Puerto Rico) for reporting 
Taxes                                                wages  paid  to  your  employees.  References  to  Form  W-2  also  apply  to  Form 
                                                     499R-2/W-2PR unless otherwise specified.
                                                         •   Form W-3 (or Form W-3 (PR) for filers in Puerto Rico) for sending Copy A of 
                                                     Form(s) W-2 to the Social Security Administration (SSA). References to Form W-3 
                                                     also apply to Form W-3 (PR) unless otherwise specified.
                                                         For more information, see What Forms Must You File? in Pub. 926, Household Em-
                                                     ployer's Tax Guide.
                                                     We have been asked:
                                                     Do I need to pay household employment taxes for 2023?                                If you have a household 
                                                     employee,  you  need  to  withhold  and  pay  social  security  and  Medicare  taxes  if  you 
                                                     paid cash wages of $2,600 or more in 2023 to any one household employee. See Did 
                                                     you have a household employee? and the Line A instructions, later, for more informa-
                                                     tion. You need to pay federal unemployment tax if you paid total cash wages of $1,000 
                                                     or more in any calendar quarter of 2022 or 2023 to household employees. See the Part 
                                                     II. Federal Unemployment (FUTA) Tax instructions, later, for more information.
                                                     How  do  I  file  Schedule  H?               File  Schedule  H  with  your  Form  1040,  1040-SR, 
                                                     1040-NR, 1040-SS, or 1041. If you’re not filing a 2023 tax return, file Schedule H by 
                                                     itself.
                                                     Do I make a separate payment?                  No. You pay both income and employment taxes to 
                                                     the United States Treasury when you file Schedule H with your return.

                                                     Note.     Taxpayers in Puerto Rico pay their income tax to the Department of the Treas-
                                                     ury, Government of Puerto Rico.
                                                     When do I pay?         Most filers must pay by April 15, 2024.
                                                     How many copies of Form W-3 do I send to the SSA?                              Send one copy of Form W-3 
                                                     with Copy A of Form(s) W-2 to the SSA, and keep one copy of Form W-3 for your 
                                                     records.
                                                     Important Dates

                                                       By . . . . . . . . . . . . . . . . . . . .     You must      . . . . . . . . . . . . . . . . . . . . . . . . . . .
                                                       January 31, 2024                               Give your employee Form W-2 and send Copy A of Form(s) 
                                                                                                      W-2 with Form W-3 to the SSA. Go to SSA.gov/employer 
                                                                                                      for details.
                                                       April 15, 2024                                 File Schedule H and pay your household employment taxes 
                                                                                                      with your 2023 tax return.

Section references are to the Internal Revenue Code unless                          Contents                                                                        Page
otherwise noted.
                                                                                    Do You Have an Employer Identification Number 
Contents                                                               Page               (EIN)?    . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .      3
What's New . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2        Can Your Employee Legally Work in the United States?
Reminders. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2              . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .    3
Who Needs To File Schedule H? . . . . . . . . . . . . . . . . . .          3        What About State Employment Taxes? . . . . . . . . . . . . . .                       4
Who Needs To File Form W-2 and Form W-3?                 . . . . . . . .   3        When and Where To File            . . . . . . . . . . . . . . . . . . . . . . .      4
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Contents Page subject to the unemployment tax laws of a credit reduction
How To Fill In Schedule H, Form W-2, and Form W-3 . . . 4 state, that employer must pay additional federal unemployment
Schedule H . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4 tax.
Worksheet 1. Credit for Late Contributions . . . . . . . 10 For 2023, there are credit reduction states. If you paid any
Worksheet 2. Household Employers in a Credit wages that are subject to the unemployment compensation laws
Reduction State . . . . . . . . . . . . . . . . . . . . . . . 10 of a credit reduction state, your credit against federal unem-
ployment tax will be reduced based on the credit reduction rate
Form W-2 and Form W-3 . . . . . . . . . . . . . . . . . . . 15
for that credit reduction state. Use Worksheet 2 to figure your
Worksheet 3. Credit for Qualified Sick and Family credit reduction for 2023.
Leave Wages Paid in 2023 for Leave Taken After
March 31, 2020, and Before April 1, 2021 . . . . . . . . 10 Reminders
Worksheet 4. Credit for Qualified Sick and Family The COVID-19 related credit for qualified sick and family
Leave Wages Paid in 2023 for Leave Taken After
leave wages is limited to leave taken after March 31, 2020,
March 31, 2021, and Before October 1, 2021 . . . . . . 10
and before October 1, 2021. Generally, the credit for quali-
Estimated Tax Penalty . . . . . . . . . . . . . . . . . . . . . . . . 15 fied sick and family leave wages, as enacted under the Families
What Records To Keep . . . . . . . . . . . . . . . . . . . . . . . 16 First Coronavirus Response Act (FFCRA) and amended and
What Is the Earned Income Credit (EIC)? . . . . . . . . . . . 16 extended by the COVID-related Tax Relief Act of 2020, for
Rules for Business Employers . . . . . . . . . . . . . . . . . . . 16 leave taken after March 31, 2020, and before April 1, 2021,
and the credit for qualified sick and family leave wages under
How To Correct Schedule H . . . . . . . . . . . . . . . . . . . . 16 sections 3131, 3132, and 3133 of the Internal Revenue Code,
How To Get Forms and Publications . . . . . . . . . . . . . . 16 as enacted under the American Rescue Plan Act of 2021 (the
Privacy Act and Paperwork Reduction Act Notice . . . . . . 17 ARP), for leave taken after March 31, 2021, and before Octo-
ber 1, 2021, have expired. However, employers that pay quali-
fied sick and family leave wages in 2023 for leave taken after
March 31, 2020, and before October 1, 2021, are eligible to
Future Developments claim a credit for qualified sick and family leave wages on
For the latest information about developments related to Sched- Schedule H filed for 2023. For more information, see the in-
ule H and its instructions, such as legislation enacted after they structions for line 8b,line 8c,line 8e, and line 8f, later.
were published, go to IRS.gov/ScheduleH. Use Worksheet 3 to figure the credit for leave taken after
March 31, 2020, and before April 1, 2021. Use Worksheet 4 to
What's New figure the credit for leave taken after March 31, 2021, and be-
Social security and Medicare tax for 2023. The rate of social fore October 1, 2021. For more information about the credit for
security tax on taxable wages, including qualified sick leave qualified sick and family leave wages, go to IRS.gov/PLC.
wages and qualified family leave wages paid in 2023 for leave Bicycle commuting reimbursements. The Tax Cuts and Jobs
taken after March 31, 2021, and before October 1, 2021, is Act suspends the exclusion of qualified bicycle commuting re-
6.2% each for the employer and employee or 12.4% for both. imbursements from your employee's income for tax years be-
Qualified sick leave wages and qualified family leave wages ginning after 2017 and before 2026.
paid in 2023 for leave taken after March 31, 2020, and before Outsourcing payroll duties. You’re responsible to ensure that
April 1, 2021, aren't subject to the employer share of social se- tax returns are filed and deposits and payments are made, even
curity tax; therefore, the tax rate on these wages is 6.2%. The if you contract with a third party to perform these acts. You re-
social security wage base limit is $160,200. main responsible if the third party fails to perform any required
The Medicare tax rate is 1.45% each for the employee and action. Before you choose to outsource any of your payroll and
employer, unchanged from 2022. There is no wage base limit related tax duties (that is, withholding, reporting, and paying
for Medicare tax. over social security, Medicare, FUTA, and income taxes) to a
Social security and Medicare taxes apply to the wages of third-party payer, such as a payroll service provider or report-
household workers you pay $2,600 or more in cash wages in ing agent, go to IRS.gov/OutsourcingPayrollDuties for helpful
2023. For more information, see Cash wages and $2,600 test, information on this topic. For more information on the different
later. types of third-party payer arrangements, see section 16 of Pub.
For information about the rates and wage threshold that will 15.
apply in 2024, see Pub. 926. Paid preparers. If you use a paid preparer to complete
Qualified parking exclusion and commuter transportation Schedule H, the paid preparer must complete and sign the paid
benefit. For 2023, the monthly exclusion for qualified parking preparer’s section of the Schedule H unless you’re attaching
is $300 and the monthly exclusion for commuter highway vehi- Schedule H to Form 1040, 1040-SR, 1040-NR, 1040-SS, or
cle transportation and transit passes is $300. 1041. A paid preparer must sign Schedule H and provide the
information requested in the Paid Preparer Use Only section
Credit reduction state. A state that hasn't repaid money it only if the preparer was paid to prepare Schedule H and isn't
borrowed from the federal government to pay unemployment your employee. The preparer must give you a copy of the re-
benefits is a “credit reduction state.” The Department of Labor turn in addition to the copy to be filed with the IRS.
determines these states. If an employer pays wages that are

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Who Needs To File Schedule H? Who Needs To File Form W-2 and
You must file Schedule H if you answer “Yes” to any of the Form W-3?
questions on lines A, B, and C of Schedule H.
You must file Form W-2 for each household employee to
Did you have a household employee? If you hired someone whom you paid $2,600 or more of cash wages in 2023 that are
to do household work and you could control what work they subject to social security and Medicare taxes. To find out if the
did and how they did it, you had a household employee. This is wages are subject to these taxes, see the instructions for Sched-
true even if you gave the employee freedom of action. What ule H, line 1a,line 3 , and line 5, later. Even if the wages aren't
matters is that you had the right to control the details of how subject to these taxes, if you withheld federal income tax from
the work was done. the wages of any household employee, you must file Form W-2
Example. You paid Peyton Oak to babysit your child and for that employee. However, when not subject to social security
do light housework 4 days a week in your home. Peyton fol- and Medicare taxes, leave boxes 3, 4, 5, and 6 blank on Form
lowed your specific instructions about household and childcare W-2; only complete boxes 1 and 2. If the wages are below
duties. You provided the household equipment and supplies $2,600 for 2023 and you complete boxes 3, 4, 5, and 6 on Form
Peyton needed to do the work. Peyton is your household em- W-2, the SSA will reject your Form W-2.
ployee.
Note. If you are a household employer located in Puerto Rico
Household work is work done in or around your home. and wages are not subject to social security and Medicare tax-
Some examples of workers who do household work are: es, leave boxes 20, 21, 22, and 23 blank on Form 499R-2/
W-2PR, but complete the rest of the form according to your in-
Babysitters Cooks Maids structions. If the wages are below $2,600 for 2023 and you
Butlers Drivers Nannies complete boxes 20, 21, 22, and 23 of Form 499R-2/W-2PR, the
Caretakers Health aides Private nurses SSA will reject your Form 499R-2/W-2PR.
Cleaning people Housekeepers Yard workers
If you're required to file a 2023 Form W-2 for any house-
hold employee, you must also send Form W-3 with Copy A of
If a worker is your employee, it doesn't matter whether the Form(s) W-2 to the SSA. You're encouraged to file your Forms
work is full or part time or that you hired the worker through W-2 and W-3 electronically. If filing electronically via the
an agency or from a list provided by an agency or association. SSA's Form W-2 Online service, the SSA generates Form W-3
Also, it doesn't matter if the wages paid are for work done data from the electronic submission of Form(s) W-2. For more
hourly, daily, weekly, or by the job. information on electronic filing, go to the SSA's Employer W-2
If you’re a home care service recipient receiving home care Filing Instructions & Information website at SSA.gov/employer.
services through a program administered by a federal, state, or
local government agency, and the person who provides your Do You Have an Employer
care is your household employee, you can ask the IRS to au- Identification Number (EIN)?
thorize an agent under section 3504 to report, file, and pay all If you have household employees, you will need an EIN to file
federal employment taxes, including FUTA taxes, on your be- Schedule H. If you don't have an EIN, you may apply for one
half. See Form 2678, Employer/Payer Appointment of Agent, online by going to IRS.gov/EIN. You may also apply for an
for more information. EIN by faxing or mailing Form SS-4 to the IRS. Don't use your
If a government agency or third-party agent reports social security number (SSN) in place of an EIN. The Instruc-
TIP and pays the employment taxes on wages paid to your tions for Form SS-4 explain how you can get an EIN immedi-
household employee on your behalf, you don't need to ately over the Internet, generally within 4 business days by fax,
file Schedule H to report those taxes. or in about 4 weeks if you apply by mail. Go to IRS.gov/Forms
to get forms and publications, including Form SS-4.
Workers who aren't your employees. Workers you get from
an agency aren't your employees if the agency is responsible Can Your Employee Legally Work in
for who does the work and how it is done. Self-employed
the United States?
workers are also not your employees. A worker is self-em-
ployed if only the worker can control how the work is done. A It is unlawful to employ a person who can't legally work in the
self-employed worker usually provides their own tools and of- United States. When you hire a household employee to work
fers services to the general public in an independent business. for you on a regular basis, you and the employee must each
complete part of the U.S. Citizenship and Immigration Services
Example. You made an agreement with a worker to care for (USCIS) Form I-9, Employment Eligibility Verification. You
your lawn. The worker runs a lawn care business and offers must verify that the employee is either a U.S. citizen or a per-
their services to the general public. The worker hires their own son who can legally work in the United States and you must
helpers, provides their own tools and supplies, and instructs the keep Form I-9 for your records. You can get the form and the
helpers how to do their jobs. Neither the worker nor their help- USCIS Handbook for Employers by going to the USCIS web-
ers are your employees. site at USCIS.gov/I-9-Central. You may use E-Verify at E-
For more information, see Pub. 926 (or Pub. 179 for em- Verify.gov to confirm the employment eligibility of newly hired
ployers in Puerto Rico). employees.

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Note. Form I-9 is available in Spanish. Only employers loca- ic filing. If filing electronically via the SSA's Form W-2 Online
ted in Puerto Rico may complete the Spanish version of Form service, the SSA generates Form W-3 automatically based on
I-9 instead of the English version. Go to USCIS.gov/I-9 to get your Form(s) W-2.
the English and Spanish versions of Form I-9 and their separate
By January 31, 2024, send Copy A of all Forms W-2 with
instructions.
Form W-3 to the SSA and give Copies B, C, and 2 of Form
What About State Employment W-2 to each employee. For paper forms, you will meet this re-
quirement if the form is properly addressed, mailed, and post-
Taxes? marked no later than January 31, 2024.
If you employed a household employee in 2023, you probably If you file Forms W-2 and W-3 electronically, don't
have to pay contributions to your state unemployment fund for ! mail the paper Forms W-2 and W-3 to the SSA.
2023. To find out if you do, contact your state unemployment CAUTION
tax agency. For a list of state unemployment tax agencies, go to
the U.S. Department of Labor's website at oui.doleta.gov/ If filing on paper, mail Copy A of all Forms W-2 with Form
unemploy/agencies.asp. You should also find out if you need to W-3 to:
pay or collect other state employment taxes or carry workers'
compensation insurance. Social Security Administration
Direct Operations Center
Note. Household employers located in Puerto Rico see Pub. Wilkes-Barre, PA 18769-0001
179, Section 9 or call 787-754-5353.

If you use “Certified Mail” to file, change the ZIP code to
“18769-0002.” If you use an IRS-approved private delivery
When and Where To File service (PDS), add “Attn: W-2 Process, 1150 E. Mountain
Drive” to the address and change the ZIP code to
Schedule H “18702-7997.” Go to IRS.gov/PDS for the current list of
If you file Form 1040, 1040-SR, 1040-NR, 1040-SS, or 1041 IRS-approved PDSs.
for 2023, remember to attach Schedule H to it. Mail your re-
turn, by April 15, 2024, to the address shown in your tax return Check with your state, city, or local tax department to
instructions. If you live in Maine or Massachusetts, you have TIP find out if you must file Copy 1 of Form W-2.
until April 17, 2024, because of the Patriots' Day and Emanci-
pation Day holidays. Penalties. You may have to pay a penalty if you don't give
Exceptions. If you get an extension of time to file your return, Forms W-2 to your employees or file Copy A of the forms with
file your return with Schedule H by the extended due date. If the SSA by the due dates. You may also have to pay a penalty
you’re a fiscal year filer, file your return and Schedule H by the if you don't show your employee's SSN on Form W-2 or don't
due date of your fiscal year return, including extensions. provide correct information on the form.
If you’re a calendar year taxpayer and have no house-
TIP hold employees for 2023, you don't have to file Sched-
ule H for 2023. How To Fill In Schedule H, Form
W-2, and Form W-3
If you have household employees for 2023, but you’re not
required to file a 2023 tax return (for example, because your in- Schedule H
come is below the amount that requires you to file), you must
file Schedule H by itself by April 15, 2024. Complete Sched- If you were notified that your household employee re-
ule H and put it in an envelope with your check or money or- ! ceived payments from a state disability plan, see State
der. Don't send cash. See the list of filing addresses, later. Mail CAUTION Disability Payments, later.
your completed Schedule H and payment to the address listed
Social security number (SSN). Enter your SSN. Form 1041
for the place where you live. Make your check or money order
filers, don't enter a number in this space. But be sure to enter
payable to “United States Treasury” for the total household em-
your EIN in the space provided.
ployment taxes due. Enter your name, address, SSN, daytime
phone number, and “2023 Schedule H” on your check or mon- Employer identification number (EIN). An EIN is a
ey order. Household employers that are tax exempt and don't nine-digit number assigned by the IRS. The digits are arranged
have to file a tax return (for example, churches that pay a as follows: 00-0000000. Enter your EIN in the space provided.
household worker to take care of a minister's home) may also If you don't have an EIN, see Do You Have an Employer Identi-
file Schedule H by itself. fication Number (EIN), earlier. If you applied for an EIN but
haven't received it, enter “Applied For” and the date you ap-
Form W-2 and Form W-3 plied. Don't use your SSN as an EIN.
You're encouraged to file your Forms W-2 and W-3 electroni- Line A. Did you pay any one household employee cash wa-
cally. Go to the SSA's Employer W-2 Filing Instructions & In- ges of $2,600 or more in 2023? To figure the total cash wages
formation website at SSA.gov/employer to learn about electron-

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you paid in 2023 to each household employee, don't include muter highway vehicle transportation and transit passes. See
amounts paid to any of the following individuals. Transportation (Commuting) Benefits in Pub. 15-B for more in-
• Your spouse. formation. Any cash reimbursement over these amounts is in-
• Your child who was under age 21. cluded as wages.
• Your parent. (See Exception for parents below.)
• Your employee who was under age 18 at any time during Part I. Social Security, Medicare, and
2023. If the employee wasn't a student, see Exception for em- Federal Income Taxes
ployees under age 18 below. Social security and Medicare taxes fund retirement, survivor,
Exception for parents. Include the cash wages you paid disability, and health benefits for workers and their families.
your parent for work in or around your home if both (1) and (2) You and your employees generally pay these taxes in equal
below apply. amounts.
1. Your child (including an adopted child or stepchild) who You’re not required to withhold federal income tax from
lived with you was under age 18 or had a physical or mental wages you pay a household employee. You should withhold
condition that required the personal care of an adult for at least federal income tax only if your household employee asks you
4 continuous weeks during the calendar quarter in which serv- to withhold it and you agree. The employee must give you a
ices were performed. A calendar quarter is January through completed Form W-4.
March, April through June, July through September, or October
through December. For 2023, the rate of social security tax on taxable wages,
except for qualified sick leave wages and qualified family
2. You were divorced and not remarried, a widow or wid-
leave wages paid in 2023 for leave taken after March 31, 2020,
ower, or married to and living with a person whose physical or
and before April 1, 2021, is 6.2% each for the employer and
mental condition prevented your spouse from caring for the
employee or 12.4% for both. Stop paying social security tax on
child for at least 4 continuous weeks during the calendar quar-
and entering an employee's wages on line 1a when the employ-
ter in which services were performed.
ee's taxable wages, including qualified sick and family leave
Exception for employees under age 18. Include the cash wages paid in 2023 that are reported on line 1b, reach $160,200
wages you paid to a person who was under age 18 and not a for the year. However, continue to withhold income and Medi-
student if providing household services was the employee’s care taxes for the whole year on all wages, including qualified
principal occupation. sick and family leave wages paid in 2023, even when the social
Cash wages. Cash wages include wages paid by check, money security wage base of $160,200 has been reached.
order, etc. Cash wages don't include the value of food, lodging, The Medicare tax rate is 1.45% each for the employee and
clothing, transit passes, or other noncash items you give a employer, unchanged from 2022. There is no wage base limit
household employee. However, cash you give your employee for Medicare tax. If you didn't deduct the employee's share
in place of these items is included in cash wages. from the employee’s wages, you must pay the employee's share
Noncash wages paid to household employees aren't subject of tax and your share of tax, a total of 12.4% for social security
to social security taxes or Medicare taxes; however, they are tax and 2.9% for Medicare tax. See Form W-2 and Form W-3,
subject to federal income tax unless a specific exclusion ap- later, for more information.
plies. Report the value of taxable noncash wages in box 1 of
Form W-2 together with cash wages. Don't show noncash wa- Note. Employers located in Puerto Rico see the Instructions
ges in box 3 or in box 5 of Form W-2. See section 5 of Pub. 15 for Form W-3 (PR).
for more information on cash and noncash wages, and Pub.
In addition to withholding Medicare tax at 1.45%, you must
15-B for more information on fringe benefits.
withhold a 0.9% Additional Medicare Tax from wages you pay
Note. Household employers located in Puerto Rico report the to an employee in excess of $200,000 in a calendar year.
value of taxable noncash wages in box 7 of Form 499R-2/ You’re required to begin withholding Additional Medicare Tax
W-2PR together with cash wages. Don't show noncash wages in the pay period in which you pay wages in excess of
in box 20 or in box 22 of Form 499R-2/W-2PR. See section 5 $200,000 to an employee and continue to withhold it each pay
or section 8 of Pub. 179 for more information on cash and non- period until the end of the calendar year. Additional Medicare
cash wages. Tax is only imposed on the employee. There is no employer
share of Additional Medicare Tax. All wages that are subject to
Transportation (commuting) benefits. If you reimburse Medicare tax are subject to Additional Medicare Tax withhold-
your employee for qualified parking, transportation in a com- ing if paid in excess of the $200,000 withholding threshold. For
muter highway vehicle, or transit passes, you may be able to more information on Additional Medicare Tax, go to IRS.gov/
exclude the cash reimbursement amounts from counting as ADMTfaqs.
cash wages subject to social security and Medicare taxes.
Qualified parking is parking at or near your home or at or near $2,600 test. If you pay a household employee $2,600 or
a location from which your employee commutes to your home. more in cash wages during 2023, you must report and pay so-
It doesn't include parking at or near your employee's home. For cial security and Medicare taxes on all the wages, including the
2023, you can reimburse your employee up to $300 per month first $2,600 paid to that employee. The test applies to cash wa-
for qualified parking and $300 per month for combined com- ges paid in 2023 regardless of when the wages were earned.
See Pub. 926 for more information.

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Note. Household employers located in Puerto Rico, see Pub. Emergency Paid Sick Leave Act (EPSLA). Employers with
179. fewer than 500 employees and, for leave taken after March 31,
Line 1a. Total cash wages subject to social security tax. En- 2021, and before October 1, 2021, certain governmental em-
ter the total of cash wages (see Cash wages, earlier) paid in ployers without regard to number of employees (except for the
2023 to each household employee who meets the $2,600 test, federal government and its agencies and instrumentalities un-
explained earlier. less described in section 501(c)(1)) are entitled to a credit if
they provide paid sick leave to employees that otherwise meets
If you paid any household employee cash wages of the requirements of the EPSLA. Under the EPSLA, as amen-
! more than $160,200 in 2023, include on line 1a only ded for purposes of the ARP, wages are qualified sick leave
CAUTION the first $160,200 of that employee's cash wages.
wages if paid to employees that are unable to work before Oc-
Line 1b. Qualified sick and family leave wages paid in 2023 tober 1, 2021, because the employee:
for leave taken after March 31, 2020, and before April 1, 1. Is subject to a federal, state, or local quarantine or isola-
2021, included on line 1a. Enter the qualified sick and family tion order related to COVID-19;
leave wages you paid in 2023 for leave taken after March 31, 2. Has been advised by a health care provider to self-quar-
2020, and before April 1, 2021, included on line 1a. For more antine due to concerns related to COVID-19;
information on qualified sick and family leave wages paid in 3. Is experiencing symptoms of COVID-19 and seeking a
2023 for leave taken after March 31, 2020, and before April 1, medical diagnosis; or, for leave taken after March 31, 2021,
2021, see the instructions for line 8g and line 8i, later. and before October 1, 2021, is seeking or awaiting the results
Line 2a. Social security tax. Multiply the amount on line 1a of a diagnostic test for, or a medical diagnosis of, COVID-19
by 12.4% (0.124). Enter the result on line 2a. (and the employee has been exposed to COVID-19 or the em-
Line 2b. Employer share of social security tax on qualified ployee's employer has requested such test or diagnosis), or the
sick and family leave wages paid in 2023 for leave taken af- employee is obtaining immunizations related to COVID-19 or
ter March 31, 2020, and before April 1, 2021. Multiply the recovering from an injury, disability, illness, or condition rela-
amount on line 1b by 6.2% (0.062). Enter the result on line 2b. ted to such immunization;
Line 2c. Total social security tax. Subtract line 2b from 4. Is caring for an individual subject to an order described
line 2a. Enter the result on line 2c. in (1) or who has been advised as described in (2);
Line 3. Total cash wages subject to Medicare tax. Enter the 5. Is caring for a son or daughter because the school or
total cash wages (see Cash wages, earlier) paid in 2023 to each place of care for that child has been closed, or the childcare
employee who meets the $2,600 test, explained earlier. There is provider for that child is unavailable, due to COVID-19 pre-
no limit on wages subject to Medicare tax. cautions; or
Line 4. Medicare tax. Multiply the amount on line 3 by 2.9% 6. Is experiencing any other substantially similar condition
(0.029). Enter the result on line 4. specified by the U.S. Department of Health and Human Serv-
Line 5. Total cash wages subject to Additional Medicare ices, which for leave taken after March 31, 2021, and before
Tax withholding. Enter the total cash wages (see Cash wages, October 1, 2021, includes to accompany an individual to obtain
earlier) paid to each employee in 2023 that exceeded $200,000. immunization related to COVID-19, or to care for an individual
who is recovering from any injury, disability, illness, or condi-
Line 6. Additional Medicare Tax withholding. Multiply the tion related to the immunization.
amount on line 5 by 0.9% (0.009). Enter the result on line 6.
Line 7. Federal income tax withheld. Enter any federal in- Son or daughter. A son or daughter must generally have
come tax you withheld from the wages you paid to your house- been under 18 years of age or incapable of self-care because of
hold employees in 2023. See Pub. 926 and Pub. 15-T for infor- a mental or physical disability. A son or daughter includes a bi-
mation on withholding federal income taxes. ological child, adopted child, stepchild, foster child, legal ward,
or child for whom the employee assumes parental status and
Note. Household employers located in Puerto Rico skip carries out the obligations of a parent.
line 7. Limits on qualified sick leave wages. The EPSLA, as
Line 8a. Total social security, Medicare, and federal income amended for purposes of the ARP, provides different limita-
taxes. Add lines 2c, 4, 6, and 7. Enter the result on line 8a. tions for different circumstances under which qualified sick
leave wages are paid. For paid sick leave qualifying under (1),
Lines 8b Through 8f (2), or (3) earlier, the amount of qualified sick leave wages is
If you aren't claiming a credit for qualified sick leave wages or determined at the employee's regular rate of pay, but the wages
qualified family leave wages, enter the amount from line 8a on may not exceed $511 for any day (or portion of a day) for
line 8d and skip to line 9. which the individual is paid sick leave. For paid sick leave
The same wages can't be treated as both qualified sick leave qualifying under (4), (5), or (6) earlier, the amount of qualified
wages and qualified family leave wages. For leave taken after sick leave wages is determined at two-thirds the employee's
March 31, 2021, and before October 1, 2021, any wages taken regular rate of pay, but the wages may not exceed $200 for any
into account in determining the credit for qualified sick and day (or portion of a day) for which the individual is paid sick
family leave wages can't be taken into account as wages for leave. The EPSLA also limits each individual to a maximum of
purposes of the credits under sections 45A, 45P, 45S, and 51. up to 80 hours of paid sick leave in total for leave taken after

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March 31, 2020, and before April 1, 2021. The ARP resets this If you paid qualified sick or family leave wages in
limit at 80 hours of paid sick leave for leave taken after March TIP 2023 for leave taken after March 31, 2020, and before
31, 2021, and before October 1, 2021. Therefore, for leave tak- April 1, 2021, complete lines 8g through 8j before
en after March 31, 2020, and before April 1, 2021, the maxi- completing Worksheet 3. If you paid qualified sick or family
mum amount of paid sick leave wages can't exceed $5,110 for leave wages in 2023 for leave taken after March 31, 2021, and
an employee for leave under (1), (2), or (3), and it can't exceed before October 1, 2021, complete lines 8k through 8n before
$2,000 for an employee for leave under (4), (5), or (6). These completing Worksheet 4.
maximum amounts also reset and apply to leave taken after
March 31, 2021, and before October 1, 2021. Line 8b. Nonrefundable portion of credit for qualified sick
and family leave wages for leave taken after March 31,
For more information about qualified sick and family leave
2020, and before April 1, 2021. Enter the nonrefundable por-
wages, go to IRS.gov/PLC.
tion of the credit for qualified sick and family leave wages for
Expanded Family and Medical Leave Act (Expanded leave taken after March 31, 2020, and before April 1, 2021,
FMLA). Employers with fewer than 500 employees and, for from Worksheet 3, Step 2, line 2j.
leave taken after March 31, 2021, and before October 1, 2021,
certain governmental employers without regard to number of Complete line 8b only if qualified sick leave wages
employees (except for the federal government and its agencies ! and/or qualified family leave wages were paid in 2023
and instrumentalities unless described in section 501(c)(1)) are CAUTION for leave taken after March 31, 2020, and before April
entitled to a credit under the FFCRA, as amended for purposes 1, 2021.
of the ARP, if they provide paid family leave to employees that Businesses, tax-exempt organizations with fewer than 500
otherwise meets the requirements of the Expanded FMLA. For employees, and Schedule H filers that provide paid sick leave
leave taken after March 31, 2020, and before April 1, 2021, under the EPSLA and/or provide paid family leave under the
wages are qualified family leave wages if paid to an employee Expanded FMLA are eligible to claim the credit for qualified
who has been employed for at least 30 calendar days when an sick and family leave wages for leave taken after March 31,
employee is unable to work due to the need to care for a son or 2020, and before April 1, 2021. For purposes of the credit,
daughter under 18 years of age or incapable of self-care be- qualified sick leave wages and qualified family leave wages are
cause of a mental or physical disability because the school or wages for social security and Medicare tax purposes, deter-
place of care for that child has been closed, or the childcare mined without regard to the exclusions from the definition of
provider for that child is unavailable, due to a public health employment under sections 3121(b)(1)–(22), that an employer
emergency. See Son or daughter, earlier, for more information. pays that otherwise meet the requirements of the EPSLA or Ex-
For leave taken after March 31, 2021, and before October 1, panded FMLA. The credit for qualified sick and family leave
2021, the leave can be granted for any other reason provided by wages consists of the qualified sick leave wages, the qualified
the EPSLA, as amended for purposes of the ARP. family leave wages, the qualified health plan expenses alloca-
For leave taken after March 31, 2020, and before April 1, ble to those wages, and the employer share of Medicare tax al-
2021, the first 10 days for which an employee takes leave may locable to those wages. The nonrefundable portion of the credit
be unpaid. During this period, employees may use other forms is limited to the employer share of social security tax reported
of paid leave, such as qualified sick leave, accrued sick leave, on Schedule H, line 2a.
annual leave, or other paid time off. After an employee takes Any credit in excess of the remaining amount of the em-
leave for 10 days, the employer provides the employee paid ployer share of social security tax is refundable and reported on
leave (that is, qualified family leave wages) for up to 10 weeks. Schedule H, line 8e. For more information on the credit for
For leave taken after March 31, 2021, and before October 1, qualified sick and family leave wages, go to IRS.gov/PLC.
2021, the 10-day rule discussed above doesn't apply and the
Qualified health plan expenses allocable to qualified sick
paid leave can be provided for up to 12 weeks.
and family leave wages. The credit for qualified sick leave
Rate of pay and limit on wages. The rate of pay must be at wages and qualified family leave wages is increased to cover
least two-thirds of the employee's regular rate of pay (as deter- the qualified health plan expenses that are properly allocable to
mined under the Fair Labor Standards Act of 1938), multiplied the qualified leave wages for which the credit is allowed. These
by the number of hours the employee otherwise would have qualified health plan expenses are amounts paid or incurred by
been scheduled to work. For leave taken after March 31, 2020, the employer to provide and maintain a group health plan but
and before April 1, 2021, the total qualified family leave wages only to the extent such amounts are excluded from the employ-
can't exceed $200 per day or $10,000 in the aggregate per em- ees' income as coverage under an accident or health plan. The
ployee. For leave taken after March 31, 2021, and before Octo- amount of qualified health plan expenses generally includes
ber 1, 2021, the limit resets and the total qualified family leave both the portion of the cost paid by the employer and the por-
wages can't exceed $200 per day or $12,000 in the aggregate tion of the cost paid by the employee with pre-tax salary reduc-
per employee. tion contributions. However, qualified health plan expenses
For more information about qualified sick and family leave don't include amounts that the employee paid for with after-tax
wages, go to IRS.gov/PLC. contributions. For more information, go to IRS.gov/PLC.

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        You must include the full amount (both the nonrefund-         and before April 1, 2021.   Enter the refundable portion of the 
TIP     able and refundable portions) of the credit for quali-        credit  for  qualified  sick  and  family  leave  wages  from Work-
        fied sick and family leave wages in your gross income         sheet 3, Step 2, line 2k.
for the tax year that includes the last day of any calendar quar-
                                                                               Complete  line  8e only  if  qualified  sick  leave  wages 
ter in which a credit is allowed.
                                                                               and/or qualified family leave wages were paid in 2023 
Line 8c. Nonrefundable portion of credit for qualified sick           CAUTION! for leave taken after March 31, 2020, and before April 
and  family  leave  wages  for  leave  taken  after  March  31,       1, 2021.
2021, and before October 1, 2021.  Enter the nonrefundable 
                                                                      Businesses,  tax-exempt  organizations  with  fewer  than  500 
portion of the credit for qualified sick and family leave wages 
                                                                      employees, and Schedule H filers that provide paid sick leave 
from Worksheet 4, Step 2, line 2l.
                                                                      under the EPSLA and/or provide paid family leave under the 
        Complete  line  8c only  if  qualified  sick  leave  wages    Expanded FMLA are eligible to claim the credit for qualified 
!       and/or qualified family leave wages were paid in 2023         sick and family leave wages. The credit for qualified sick and 
CAUTION for leave taken after March 31, 2021, and before Oc-          family leave wages consists of the qualified sick leave wages, 
tober 1, 2021.                                                        the qualified family leave wages, the qualified health plan ex-
                                                                      penses  allocable  to  those  wages,  and  the  employer  share  of 
Businesses,  tax-exempt  organizations  with  fewer  than  500        Medicare tax allocable to those wages. The refundable portion 
employees, and Schedule H filers that provide paid sick leave         of the credit is allowed after the employer share of social secur-
under the EPSLA, as amended for purposes of the ARP, and/or           ity tax is reduced to zero by nonrefundable credits that are ap-
provide  paid  family  leave  to  employees  that  otherwise  meets   plied against the employer share of social security tax.
the requirements under the Expanded FMLA, as amended for 
                                                                      Line 8f. Refundable portion of credit for qualified sick and 
purposes of the ARP, are eligible to claim the credit for quali-
                                                                      family  leave  wages  for  leave  taken  after  March  31,  2021, 
fied sick and family leave wages for leave taken after March 
                                                                      and before October 1, 2021.    Enter the refundable portion of 
31, 2021, and before October 1, 2021. The nonrefundable por-
                                                                      the credit for qualified sick and family leave wages from Work-
tion of the credit is limited to the employer share of Medicare 
                                                                      sheet 4, Step 2, line 2m.
tax reported on Schedule H, line 4.
For purposes of this credit, qualified sick leave wages and                    Complete  line  8f only  if  qualified  sick  leave  wages 
qualified family leave wages are wages for social security and        !        and/or qualified family leave wages were paid in 2023 
Medicare tax purposes, determined without regard to the exclu-        CAUTION  for leave taken after March 31, 2021, and before Oc-
sions  from  the  definition  of  employment  under  sections         tober 1, 2021.
3121(b)(1)–(22), that an employer pays that otherwise meet the 
                                                                      Businesses,  tax-exempt  organizations  with  fewer  than  500 
requirements  of  the  EPSLA  or  Expanded  FMLA,  as  enacted 
                                                                      employees, and Schedule H filers are entitled to a credit if they 
under the FFCRA and amended for purposes of the ARP.
                                                                      provide paid sick leave to employees that otherwise meets the 
The credit for qualified sick and family leave wages consists         requirements  of  the EPSLA,  as  amended  for  purposes  of  the 
of the:                                                               ARP, and/or provide paid family leave to employees that other-
•    Qualified sick leave wages and/or qualified family leave         wise  meets  the  requirements  under  the Expanded  FMLA,  as 
wages;                                                                amended for purposes of the ARP, for leave taken after March 
•    Qualified health plan expenses allocable to qualified sick       31, 2021, and before October 1, 2021. The refundable portion 
and family leave wages;                                               of the credit is allowed after the employer share of Medicare 
•    Collectively bargained defined benefit pension plan con-         tax is reduced to zero by nonrefundable credits that are applied 
tributions, subject to the qualified leave wage limitations, allo-    against the employer share of Medicare tax.
cable to the qualified sick and family leave wages;
•    Collectively bargained apprenticeship program contribu-          Lines 8g Through 8n
tions, subject to the qualified leave wages limitations, allocable    The amounts entered on lines 8g through 8n are amounts that 
to the qualified sick and family leave wages; and                     you use on Worksheet 3 and Worksheet 4, later in these instruc-
•    Employer share of social security and Medicare tax allo-         tions to figure certain credits. If you're claiming these credits, 
cable to the qualified sick and family leave wages.                   you must enter the applicable amounts.
For more information on the collectively bargained amounts                     Complete lines 8g and 8h only if qualified sick leave 
discussed above, see sections 3131 and 3132.                          !        wages were paid in 2023 for leave taken after March 
Any  credit  in  excess  of  the  remaining  amount  of  the  em-     CAUTION  31, 2020, and before April 1, 2021.
ployer  share  of  Medicare  tax  is  refundable  and  reported  on 
Schedule  H,  line  8f.  For  more  information  on  the  credit  for Line 8g. Qualified sick leave wages for leave taken before 
qualified sick and family leave wages, go to IRS.gov/PLC.             April 1, 2021. Enter the qualified taxable (subject to social se-
                                                                      curity tax) sick leave wages you paid in 2023 to your employ-
Line 8d. Total social security, Medicare, and federal income 
                                                                      ees for leave taken after March 31, 2020, and before April 1, 
taxes after nonrefundable credits. Add lines 8b and 8c and 
                                                                      2021. Qualified sick leave wages for leave taken after March 
then subtract that total from line 8a. Enter the result on line 8d.
                                                                      31, 2020, and before April 1, 2021, aren't subject to the em-
Line 8e. Refundable portion of credit for qualified sick and          ployer  share  of  social  security  tax;  therefore,  the  tax  rate  on 
family  leave  wages  for  leave  taken  after  March  31,  2020,     these  wages  is  6.2%.  Stop  paying  social  security  tax  on  and 

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entering an employee's wages on line 1a when the employee's Complete lines 8m and 8n only if qualified family
taxable wages, including qualified sick and family leave wages ! leave wages were paid in 2023 for leave taken after
reported on line 1b, reach $160,200 for the year. See the in- CAUTION March 31, 2021, and before October 1, 2021.
structions for line 3, earlier, for reporting Medicare tax on
qualified sick leave wages, including the portion above the so- Line 8m. Qualified family leave wages for leave taken after
cial security wage base. This amount is also entered on Work- March 31, 2021, and before October 1, 2021. Enter the
sheet 3, Step 2, line 2a. qualified family leave wages you paid in 2023 to your employ-
ees for leave taken after March 31, 2021, and before October 1,
Line 8h. Qualified health plan expenses allocable to quali-
2021, including any qualified family leave wages that were
fied sick leave wages reported on line 8g. Enter the qualified
above the social security wage base and any qualified family
health plan expenses allocable to qualified sick leave wages
leave wages excluded from the definition of employment under
paid in 2023 for leave taken after March 31, 2020, and before
sections 3121(b)(1)–(22). See the instructions for line 8c, earli-
April 1, 2021. This amount is also entered on Worksheet 3,
er, for more information about qualified family leave wages for
Step 2, line 2b.
leave taken after March 31, 2021, and before October 1, 2021.
Complete lines 8i and 8j only if qualified family leave This amount is also entered on Worksheet 4, Step 2, line 2f.
! wages were paid in 2023 for leave taken after March Line 8n. Qualified health plan expenses allocable to quali-
CAUTION 31, 2020, and before April 1, 2021.
fied family leave wages reported on line 8m. Enter the quali-
fied health plan expenses allocable to qualified family leave
Line 8i. Qualified family leave wages for leave taken before
wages paid in 2023 for leave taken after March 31, 2021, and
April 1, 2021. Enter the qualified taxable (subject to social se-
before October 1, 2021. This amount is also entered on Work-
curity tax) family leave wages you paid in 2023 to your em-
sheet 4, Step 2, line 2g.
ployees for leave taken after March 31, 2020, and before April
1, 2021. Qualified family leave wages for leave taken after Line 9. Did you pay total cash wages of $1,000 or more in
March 31, 2020, and before April 1, 2021, aren't subject to the any calendar quarter of 2022 or 2023 to all household em-
employer share of social security tax; therefore, the tax rate on ployees? Review the cash wages you paid to all your house-
these wages is 6.2%. Stop paying social security tax on and en- hold employees for each calendar quarter of 2022 and 2023.
tering an employee's wages on line 1a when the employee's If the total for any quarter in 2022 or 2023 is not $1,000 or
taxable wages, including qualified sick and family leave wages more, check "No," stop here, and include the amount from
reported on line 1b, reach $160,200 for the year. See the in- line 8d on Schedule 2 (Form 1040), line 9. Include the
structions for line 3, earlier, for reporting Medicare tax on amounts, if any, from lines 8e and 8f on Schedule 3 (Form
qualified family leave wages, including the portion above the 1040), line 13z. If you don't file Form 1040, complete Sched-
social security wage base. This amount is also entered on ule H, Part IV, and follow the instructions under When and
Worksheet 3, Step 2, line 2e. Where To File, earlier.
Line 8j. Qualified health plan expenses allocable to quali- If the total for any quarter in 2022 or 2023 is $1,000 or
fied family leave wages reported on line 8i. Enter the quali- more, check "Yes" and complete Schedule H, Part II.
fied health plan expenses allocable to qualified family leave
wages paid in 2023 for leave taken after March 31, 2020, and Part II. Federal Unemployment (FUTA) Tax
before April 1, 2021. This amount is also entered on Worksheet Together with state unemployment tax systems, the FUTA tax
3, Step 2, line 2f. provides funds for paying unemployment compensation to
workers who have lost their jobs. Most employers pay both a
Complete lines 8k and 8l only if qualified sick leave
federal and a state unemployment tax.
! wages were paid in 2023 for leave taken after March
CAUTION 31, 2021, and before October 1, 2021. The FUTA tax applies to the first $7,000 you pay to each
employee during a calendar year after subtracting any pay-
Line 8k. Qualified sick leave wages for leave taken after ments exempt from FUTA tax. The FUTA tax rate is 6.0% for
March 31, 2021, and before October 1, 2021. Enter the 2023. But see Credit for contributions paid to state next. Only
qualified sick leave wages you paid in 2023 to your employees employers pay FUTA tax. Don't collect or deduct FUTA tax
for leave taken after March 31, 2021, and before October 1, from your employee's wages. You must pay it from your own
2021, including any qualified sick leave wages that were above funds.
the social security wage base and any qualified sick leave wa-
ges excluded from the definition of employment under sections Credit for contributions paid to state. You may be able to
3121(b)(1)–(22). See the instructions for line 8c, earlier, for take a credit of up to 5.4% against the FUTA tax, resulting in a
more information about qualified sick leave wages for leave net FUTA tax rate of 0.6%. But to do so, you must pay all the
taken after March 31, 2021, and before October 1, 2021. This required contributions for 2023 to your state unemployment
amount is also entered on Worksheet 4, Step 2, line 2a. fund by April 15, 2024. Fiscal year filers must pay all required
contributions for 2023 by the due date of their federal income
Line 8l. Qualified health plan expenses allocable to quali- tax returns (not including extensions).
fied sick leave wages reported on line 8k. Enter the qualified
health plan expenses allocable to qualified sick leave wages State unemployment taxes are sometimes called contribu-
paid in 2023 for leave taken after March 31, 2021, and before tions. Contributions are payments that a state requires you, as
October 1, 2021. This amount is also entered on Worksheet 4, an employer, to make to its unemployment fund for the pay-
Step 2, line 2b.

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ment of unemployment benefits. However, contributions don't as line 17. Your state will provide the experience rate. If you
include: don't know your rate, contact your state unemployment tax
• Any payments deducted or deductible from your employ- agency.
ees' pay; You must complete columns (a), (b), and (h), even if you
• Penalties, interest, or special administrative taxes; or weren't given an experience rate. If you were given an experi-
• Voluntary contributions you paid to get a lower state ex- ence rate of 5.4% or higher, you must also complete columns
perience rate. (c) and (d). If you were given a rate of less than 5.4%, you
If you paid contributions to any credit reduction state, see must complete all columns.
the instructions for line 23, later. If you were given a rate for only part of the year, or the rate
Lines 10 through 12. Answer the questions on lines 10 changed during the year, you must complete a separate line for
through 12 to see if you should complete Section A or Sec- each rate period.
tion B of Part II.
Column (b). Taxable wages. Enter the taxable wages on
Fiscal year filers. If you paid all state unemployment con- which you must pay taxes to the unemployment fund of the
tributions for 2023 by the due date of your return (not includ- state shown in column (a). If your experience rate is 0%, enter
ing extensions), check the “Yes” box on line 11. Check the the amount of wages you would have had to pay taxes on if
“No” box if you didn't pay all of your state contributions by the that rate hadn't been granted.
due date of your return.
Column (h). Contributions paid to state unemployment
fund. Enter the total contributions (defined earlier) you paid
Section A to the state unemployment fund for 2023 by April 15, 2024.
Line 13. Name of the state where you paid unemployment Fiscal year filers, enter the total contributions you paid to the
contributions. Enter the two-letter abbreviation of the name state unemployment fund for 2023 by the due date of your re-
of the state (or the District of Columbia, Puerto Rico, or the turn (not including extensions). If you’re claiming excess cred-
U.S. Virgin Islands) to which you paid unemployment contri- its as payments of state unemployment contributions, attach a
butions. For a list of states and their postal abbreviations, see copy of the letter from your state.
State Names and Postal Abbreviations, later. Line 18. Totals. Add the amounts in columns (g) and (h) sepa-
Line 14. Contributions paid to your state unemployment rately and enter the totals in the spaces provided.
fund. Enter the total of contributions (defined earlier) you paid Line 19. Add columns (g) and (h) of line 18. Add the
to your state unemployment fund for 2023. If you didn't have amounts shown in columns (g) and (h) of line 18. Enter the to-
to make contributions because your state gave you a 0% expe- tal on line 19.
rience rate, enter “0% rate” on line 14. Line 20. Total cash wages subject to FUTA tax. Enter the to-
Line 15. Total cash wages subject to FUTA tax. Enter the tal cash wages subject to FUTA tax. See the line 15 instruc-
total of cash wages (see Cash wages, earlier) you paid in 2023 tions, earlier, for details.
to each household employee, including employees paid less Line 21. Multiply line 20 by 6.0% (0.06). Multiply the wages
than $1,000. However, don't include cash wages paid in 2023 on line 20 by 6.0% (0.06). Enter the result on line 21.
to any of the following individuals.
• Your spouse. Line 22. Multiply line 20 by 5.4% (0.054). Multiply the wa-
• Your child who was under age 21. ges on line 20 by 5.4% (0.054). Enter the result on line 22.
• Your parent. Line 23. Enter the smaller of line 19 or line 22. Enter the
If you paid any household employee more than $7,000 in smaller of line 19 or 22. However, if you paid state unemploy-
2023, include on line 15 only the first $7,000 of that employ- ment contributions late or you're in a credit reduction state,
ee's cash wages. don't enter the smaller of line 19 or 22, as discussed next. You
paid state unemployment contributions late if you paid any
Line 16. FUTA tax. Multiply the wages on line 15 by 0.6% state contributions after the due date for filing Form 1040,
(0.006). Enter the result on line 16. 1040-SR, or 1040-SS (not including extensions). You're in a
credit reduction state if you’re a household employer in a state
Section B which has an amount greater than zero in the “Reduction Rate”
Complete lines 17 through 24 only if you checked a column of Worksheet 2.
! “No” box on line 10, 11, or 12. If you paid state unemployment contributions late, use
CAUTION TIP Worksheet 1 to figure the amount to enter on line 23.
Credit for 2023. The credit you can take for any state unem- If you're in a credit reduction state, use Worksheet 2 to
ployment fund contributions for 2023 that you pay after April figure the amount to enter on line 23. If you paid state contri-
15, 2024, is limited to 90% of the credit that would have been butions late and you're also in a credit reduction state, com-
allowable if the contributions were paid on or before April 15, plete Worksheet 1 before completing Worksheet 2. If you didn't
2024. pay any state unemployment contributions late and you're not
in a credit reduction state, you don't need to complete Work-
Line 17. Complete all columns below that apply. Complete
sheet 1 or Worksheet 2.
all columns that apply. If you don't, you won't get a credit. If
you need more space, attach a statement using the same format

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Worksheet 1. Credit for Late Contributions                                                       Keep for Your Records

1.       Enter the amount from Schedule H, line 22 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                      
2.       Enter the amount from Schedule H, line 19 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                      
3.       Subtract line 2 from line 1. If zero or less, enter -0- . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                      
4.       Enter total contributions paid to the state(s) after the Form 1040 or 1040-SR due date . . . . . .                                                 
5.       Enter the smaller of line 3 or line 4 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .            
6.       Multiply line 5 by 90% (0.90) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .            
7.       Add lines 2 and 6 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .  
8.       Enter the smaller of the amount on line 1 or line 7 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                        
9.       Are you in a credit reduction state?
            Yes. Enter the amount from line 8 above, on Worksheet 2, line 1. Complete that Worksheet 2 to figure the amount to 
         enter on Schedule H, line 23.
            No. Enter the amount from line 8 on Schedule H, line 23.

State Names and Postal Abbreviations
State                Postal       State                      Postal  State          Postal       State                                                      Postal 
                     Abbreviation                       Abbreviation                Abbreviation                                                            Abbreviation
Alabama                   AL      Indiana                    IN      Nevada                NV    Tennessee                                                         TN
Alaska                    AK      Iowa                       IA      New Hampshire         NH    Texas                                                             TX
Arizona                   AZ      Kansas                     KS      New Jersey            NJ    Utah                                                              UT
Arkansas                  AR      Kentucky                   KY      New Mexico            NM    Vermont                                                           VT
California                CA      Louisiana                  LA      New York              NY    Virginia                                                          VA
Colorado                  CO      Maine                      ME      North Carolina        NC    Washington                                                        WA
Connecticut               CT      Maryland                   MD      North Dakota          ND    West Virginia                                                     WV
Delaware                  DE      Massachusetts              MA      Ohio                  OH    Wisconsin                                                         WI
District of Columbia      DC      Michigan                   MI      Oklahoma              OK    Wyoming                                                           WY
Florida                   FL      Minnesota                  MN      Oregon                OR    Puerto Rico                                                       PR
Georgia                   GA      Mississippi                MS      Pennsylvania          PA    U.S. Virgin Islands                                               VI
Hawaii                    HI      Missouri                   MO      Rhode Island          RI
Idaho                     ID      Montana                    MT      South Carolina        SC
Illinois                  IL      Nebraska                   NE      South Dakota          SD

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Worksheet 2. Household Employers in a Credit Reduction State                                                                                                Keep for Your Records

1. Enter the smaller of the amount from Schedule H, line 19 or line 22. (However, if you completed Worksheet 1, 
enter the amount from line 8 of that Worksheet 1.) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                  1.
2. Enter the total taxable FUTA wages from Schedule H, line 20 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                          2.
3. Place an “X” in the box of EVERY state in which you had to pay state unemployment tax this year. If all of the states you check have a credit 
reduction rate of zero, you don't have to complete this Worksheet 2. For each state with a credit reduction rate greater than zero, enter the FUTA taxable 
wages, multiply by the reduction rate, and then enter the credit reduction amount. Don't enter your state unemployment wages in the FUTA Taxable 
Wages box. Also don't include in the FUTA Taxable Wages box wages that were excluded from state unemployment tax. If any states don't apply to you, 
leave them blank.
Postal Abbreviation FUTA Taxable     Reduction      Credit Reduction   Postal Abbreviation          FUTA Taxable                                            Reduction Credit Reduction
                           Wages           Rate                                                     Wages                                                   Rate
         AK                                x 0.000                             NC                                                                           x 0.000
         AL                                x 0.000                             ND                                                                           x 0.000
         AR                                x 0.000                             NE                                                                           x 0.000
         AZ                                x 0.000                             NH                                                                           x 0.000
         CA                                x 0.006                             NJ                                                                           x 0.000
         CO                                x 0.000                             NM                                                                           x 0.000
             CT                            x 0.000                             NV                                                                           x 0.000
         DC                                x 0.000                             NY                                                                           x 0.006
         DE                                x 0.000                             OH                                                                           x 0.000
             FL                            x 0.000                             OK                                                                           x 0.000
         GA                                x 0.000                             OR                                                                           x 0.000
             HI                            x 0.000                             PA                                                                           x 0.000
             IA                            x 0.000                             RI                                                                           x 0.000
             ID                            x 0.000                             SC                                                                           x 0.000
             IL                            x 0.000                             SD                                                                           x 0.000
             IN                            x 0.000                             TN                                                                           x 0.000
             KS                            x 0.000                             TX                                                                           x 0.000
         KY                                x 0.000                             UT                                                                           x 0.000
         LA                                x 0.000                             VA                                                                           x 0.000
         MA                                x 0.000                             VT                                                                           x 0.000
         MD                                x 0.000                             WA                                                                           x 0.000
         ME                                x 0.000                             WI                                                                           x 0.000
             MI                            x 0.000                             WV                                                                           x 0.000
         MN                                x 0.000                             WY                                                                           x 0.000
         MO                                x 0.000                             PR                                                                           x 0.000
         MS                                x 0.000                             VI                                                                           x 0.039
         MT                                x 0.000
4. Total Credit Reduction. Add all amounts shown in theCredit Reduction boxes. Enter the total here . . . . . . . .                                             4.
5. Subtract line 4 of this Worksheet 2 from line 1 of this Worksheet 2 and enter the result here and on Schedule H, 
line 23. If zero or less, enter -0- . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .     5.

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Worksheet 3. Credit for Qualified Sick and Family Leave Wages Paid in 2023 
for Leave Taken After March 31, 2020, and Before April 1, 2021                                                                                       Keep for Your Records
Determine how you will complete this worksheet. 
If you paid qualified sick leave wages and/or qualified family leave wages in 2023 for leave taken after March 31,2020, and before April 1, 2021, complete 
Step 1 and Step 2. Caution: Use Worksheet 4 to figure the credit for qualified sick and family leave wages paid in 2023 for leave taken after March 31, 
2021, and before October 1, 2021.
Step 1.        Determine the employer share of social security tax this year
        1a     Enter the amount of social security tax from Schedule H (Form 1040), Part I, line 2a . . . . . .                               1a       
        1b     Multiply line 1a by 50% (0.50) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .           1b       
        1c     Enter the amount of social security tax from Schedule H (Form 1040), Part I, line 2b . . . . . .                               1c       
        1d     Employer share of social security tax. Subtract line 1c from line 1b . . . . . . . . . . . . . . . .                                    1d  
Step 2.        Figure the sick and family leave credit
        2a     Qualified sick leave wages reported on Schedule H (Form 1040), Part I, line 8g . . . . . . . . .                               2a       
        2a(i)  Qualified sick leave wages included on Schedule H (Form 1040), Part I, line 3, but not 
               included on Schedule H (Form 1040), Part I, line 8g, because the wages reported on that line 
               were limited by the social security wage base  . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .               2a(i)    
        2a(ii) Total qualified sick leave wages. Add lines 2a and 2a(i) . . . . . . . . . . . . . . . . . . . . . . . . . .                   2a(ii)   
        2a(iii) Qualified sick leave wages excluded from the definition of employment under sections 
               3121(b)(1)–(22)  . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .     2a(iii)  
        2b     Qualified health plan expenses allocable to qualified sick leave wages reported on 
               Schedule H (Form 1040), Part I, line 8h . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .              2b       
        2c     Employer share of Medicare tax on qualified sick leave wages. Multiply line 2a(ii) by 1.45% 
               (0.0145) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2c       
        2d     Credit for qualified sick leave wages. Add lines 2a(ii), 2a(iii), 2b, and 2c . . . . . . . . . . . . .                                  2d  
        2e     Qualified family leave wages reported on Schedule H (Form 1040), Part I, line 8i . . . . . . . .                               2e       
        2e(i)  Qualified family leave wages included on Schedule H (Form 1040), Part I, line 3, but not 
               included on Schedule H (Form 1040), Part I, line 8i, because the wages reported on that line 
               were limited by the social security wage base . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                2e(i)    
        2e(ii) Total qualified family leave wages. Add lines 2e and 2e(i) . . . . . . . . . . . . . . . . . . . . . . . .                     2e(ii)   
        2e(iii) Qualified family leave wages excluded from the definition of employment under sections 
               3121(b)(1)–(22) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .      2e(iii)  
        2f     Qualified health plan expenses allocable to qualified family leave wages reported on 
               Schedule H (Form 1040), Part I, line 8j . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .              2f       
        2g     Employer share of Medicare tax on qualified family leave wages. Multiply line 2e(ii) by 
               1.45% (0.0145) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .     2g       
        2h     Credit for qualified family leave wages. Add lines 2e(ii), 2e(iii), 2f, and 2g . . . . . . . . . . .                                    2h  
        2i     Credit for qualified sick and family leave wages. Add lines 2d and 2h . . . . . . . . . . . . . .                                       2i  
        2j     Nonrefundable portion of credit for qualified sick and family leave wages for leave 
               taken after March 31, 2020, and before April 1, 2021. Enter the smaller of line 1d or 
               line 2i. Enter this amount on Schedule H (Form 1040), Part I, line 8b . . . . . . . . . . . . . . . . .                                 2j
        2k     Refundable portion of credit for qualified sick and family leave wages for leave taken 
               after March 31, 2020, and before April 1, 2021. Subtract line 2j from line 2i and enter this 
               amount on Schedule H (Form 1040), Part I, line 8e . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                             2k

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Worksheet 4. Credit for Qualified Sick and Family Leave Wages Paid in 2023 
for Leave Taken After March 31, 2021, and Before October 1, 2021                                                                                       Keep for Your Records
Determine how you will complete this worksheet.
If you paid qualified sick leave wages and/or qualified family leave wages in 2023 for leave taken after March 31, 2021, and before October 1, 2021, 
complete Step 1 and Step 2. Caution: Use Worksheet 3 to figure the credit for qualified sick and family leave wages paid in 2023 for leave taken after March 
31, 2020, and before April 1, 2021.
Step 1.         Determine the employer share of Medicare tax
        1a      Enter the amount of Medicare tax from Schedule H (Form 1040), Part I, line 4 . . . . . . . . . .                               1a       
        1b      Employer share of Medicare tax. Multiply line 1a by 50% (0.50)  . . . . . . . . . . . . . . . . . .                                     1b  
Step 2.         Figure the sick and family leave credit
        2a      Qualified sick leave wages reported on Schedule H (Form 1040), Part I, line 8k . . . . . . . . .                               2a       
        2a(i)   Qualified sick leave wages included on Schedule H (Form 1040), Part I, line 8k, that were 
                not included as wages reported on Schedule H (Form 1040), Part I, lines 1a and 3, because 
                the qualified sick leave wages were excluded from the definition of employment under 
                sections 3121(b)(1)–(22) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .         2a(i)    
        2a(ii)  Subtract line 2a(i) from line 2a . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .         2a(ii)   
        2a(iii) Qualified sick leave wages included on Schedule H (Form 1040), Part I, line 8k, that were 
                not included as wages reported on Schedule H (Form 1040), Part I, line 1a, because the 
                qualified sick leave wages were limited by the social security wage base . . . . . . . . . . . . . .                           2a(iii)  
        2a(iv)  Subtract line 2a(iii) from line 2a(ii) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .         2a(iv)   
        2b      Qualified health plan expenses allocable to qualified sick leave wages reported on 
                Schedule H (Form 1040), Part I, line 8l . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .              2b       
        2b(i)   Amounts under certain collectively bargained agreements allocable to qualified sick leave 
                wages for leave taken after March 31, 2021, and before October 1, 2021 . . . . . . . . . . . . . .                             2b(i)    
        2c      Employer share of social security tax on qualified sick leave wages. Multiply line 2a(iv) by 
                6.2% (0.062) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .     2c       
        2d      Employer share of Medicare tax on qualified sick leave wages. Multiply line 2a(ii) by 1.45% 
                (0.0145) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2d       
        2e      Credit for qualified sick leave wages. Add lines 2a, 2b, 2b(i), 2c, and 2d . . . . . . . . . . . . .                                    2e  
        2f      Qualified family leave wages reported on Schedule H (From 1040), Part I, line 8m . . . . . . .                                 2f       
        2f(i)   Qualified family leave wages included on Schedule H (Form 1040), Part I, line 8m, that were 
                not included as wages reported on Schedule H (Form 1040), Part I, lines 1a and 3, because 
                the qualified family leave wages were excluded from the definition of employment under 
                sections 3121(b)(1)–(22) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .         2f(i)    
        2f(ii)  Subtract line 2f(i) from line 2f . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .         2f(ii)   
        2f(iii) Qualified family leave wages included on Schedule H (Form 1040), Part I, line 8m, that were 
                not included as wages reported on Schedule H (Form 1040), Part I, line 1a, because the 
                qualified family leave wages were limited by the social security wage base . . . . . . . . . . . .                             2f(iii)  
        2f(iv)  Subtract line 2f(iii) from line 2f(ii) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .         2f(iv)   
        2g      Qualified health plan expenses allocable to qualified family leave wages reported on 
                Schedule H (Form 1040), Part I, line 8n . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .              2g       
        2g(i)   Amounts under certain collectively bargained agreements allocable to qualified family leave 
                wages for leave taken after March 31, 2021, and before October 1, 2021 . . . . . . . . . . . . . .                             2g(i)    
        2h      Employer share of social security tax on qualified family leave wages. Multiply line 2f(iv) by 
                6.2% (0.062) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .     2h       
        2i      Employer share of Medicare tax on qualified family leave wages. Multiply line 2f(ii) by 
                1.45% (0.0145) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .     2i       
        2j      Credit for qualified family leave wages. Add lines 2f, 2g, 2g(i), 2h, and 2i . . . . . . . . . . . .                                    2j  
        2k      Credit for qualified sick and family leave wages. Add lines 2e and 2j . . . . . . . . . . . . . . .                                     2k  
        2l      Nonrefundable portion of credit for qualified sick and family leave wages for leave 
                taken after March 31, 2021, and before October 1, 2021. Enter the smaller of line 1b or 
                line 2k. Enter this amount on Schedule H (Form 1040), Part I, line 8c . . . . . . . . . . . . . . . .                                   2l
        2m      Refundable portion of credit for qualified sick and family leave wages for leave taken 
                after March 31, 2021, and before October 1, 2021. Subtract line 2l from line 2k and enter 
                this amount on Schedule H (Form 1040), Part I, line 8f . . . . . . . . . . . . . . . . . . . . . . . . . .                              2m

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Part III. Total Household Employment Taxes ever, the tax you paid isn't counted as social security and Medi-
care wages and isn't included in boxes 3 and 5 of Form W-2
Line 25. Enter the amount from line 8d. Enter the amount
(box 20 and 22 of Form 499R-2/W-2PR). Also, don't count the
from line 8d. If there is no entry on line 8d, enter -0-.
tax as wages for FUTA tax purposes. Follow steps 1 through 3
Line 26. Add line 16 (or line 24) and line 25. Add the below.
amounts on lines 16 and 25. If you were required to complete
1. Enter the amounts you paid on your employee's behalf
Section B of Part II, add the amounts on lines 24 and 25 and
in boxes 4 and 6 (boxes 21 and 23 of Form 499R-2/W-2PR).
enter the total on line 26.
Don't include your share of these taxes.
Line 27. Are you required to file Form 1040? Follow the in-
2. Add the amounts in boxes 3, 4, and 6 (boxes 20, 21 and
structions in the chart.
23 of Form 499R-2/W-2PR). However, if box 5 (box 22 of
Enter the Enter the Enter the Form 499R-2/W-2PR) is greater than box 3 (box 20 of Form
amount from amount, if amount, if 499R-2/W-2PR), then add the amounts in boxes 4, 5, and 6
Schedule H, any, from any, from (boxes 21, 22, and 23 of Form 499R-2/W-2PR).
line 8d, or, if Schedule H, Schedule H, 3. Include the total in box 1 (box 7 of Form 499R-2/
IF you file applicable, line 8e, on… line 8f, on… W-2PR). Also include in box 1 any taxable noncash wages
Form. . . line 26 on...
which aren't reported in boxes 3 and 5 (boxes 20 and 22 of
1040 or 1040-SR Schedule 2 (Form Schedule 3 Schedule 3 Form 499R-2/W-2PR).
1040), line 9. (Form 1040), (Form 1040),
line 13z. line 13z. On Form W-3, put an “X” in the “Hshld. emp.” box
1040-NR Schedule 2 (Form Schedule 3 Schedule 3 TIP located in box b, Kind of Payer.
1040), line 9. (Form 1040), (Form 1040),
line 13z. line 13z.
1040-SS Form 1040-SS, Form 1040-SS, Form 1040-SS, Note. Household employers located in Puerto Rico, see Pub.
Part I, line 4. Part I, line 11a. Part I, line 11b. 179, section 13.
1041 Form 1041, Form 1041, Form 1041, For information on filing Forms W-2 and W-3 electronical-
Schedule G, Part Schedule G, Schedule G, ly, go to the SSA's Employer W-2 Filing Instructions & Infor-
I, line 7. Part II, line 18b. Part II, mation website at SSA.gov/employer.
line 18b.

If you don't file any of the above forms, complete Schedule H, You Should Also Know
Part IV, and follow the instructions under When and Where To
File, earlier. Estimated Tax Penalty
You may need to increase the federal income tax withheld from
Paid Preparers
your pay, pension, annuity, etc., or make estimated tax pay-
Paid Preparer Use Only. You must complete this part if you ments to avoid an estimated tax penalty based on your house-
were paid to prepare Schedule H, and aren't an employee of the hold employment taxes shown on Schedule H, line 26. You
filing entity, and aren't attaching Schedule H to Form 1040, may increase your federal income tax withheld by giving your
1040-SR, 1040-NR, 1040-SS, or 1041. You must sign in the employer a new Form W-4, or by giving the payer of your pen-
space provided and give the filer a copy of Schedule H in addi- sion a new Form W-4P. Make estimated tax payments by filing
tion to the copy to be filed with the IRS. Form 1040-ES, Estimated Tax for Individuals. For more infor-
mation, see Pub. 505.
Form W-2 and Form W-3
If you file one or more Forms W-2, you must also file Form Note. Household employers located in Puerto Rico make esti-
W-3. We encourage you to file electronically. If filing electron- mated tax payments by filing Form 1040-ES (PR).
ically via the SSA's Form W-2 Online service, the SSA will
Estimated tax payments must be made as the tax lia-
generate Form W-3 data from the electronic submission.
bility is incurred by April 18, 2023; June 15, 2023;
You must report both cash and noncash wages in box 1, as CAUTION! September 15, 2023; and January 16, 2024. If you file
well as tips and other compensation. For detailed information your Form 1040 or 1040-SR by January 31, 2024, and pay the
on preparing these forms, see the General Instructions for entire balance due with the form, you don't have to make the
Forms W-2 and W-3. payment due on January 16, 2024.
Employee's portion of taxes paid by employer. You’re re- Exception. You won't be penalized for failure to make estima-
sponsible for payment of your employee's share of the taxes as ted tax payments if both (1) and (2) below apply for the year.
well as your own. You can either withhold your employee's 1. You won't have federal income tax withheld from wa-
share from the employee's wages or pay it from your own ges, pensions, or any other payments you receive.
funds. If you paid all of your employee's share of social securi-
ty and Medicare taxes, without deducting the amounts from the 2. Your income taxes, excluding your household employ-
employee's pay, the employee's wages are increased by the ment taxes, wouldn't be enough to require payment of estima-
amount of that tax for income tax withholding purposes. How- ted taxes.

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What Records To Keep ees on Form 941 or 941 (PR), Employer's QUARTERLY Fed-
eral Tax Return; Form 943, Employer's Annual Federal Tax
You must keep copies of Schedule H and related Forms W-2,
Return for Agricultural Employees; or Form 944, Employer's
W-3, and W-4 for at least 4 years after the due date for filing
ANNUAL Federal Tax Return. If you report this way, be sure
Schedule H or the date the taxes were paid, whichever is later.
to include your household employees' wages on your Form
You must also keep records to support the information you en-
940, Employer's Annual Federal Unemployment (FUTA) Tax
ter on the forms you file. Records related to qualified sick leave
Return.
wages and qualified family leave wages for leave taken after
March 31, 2021, and before October 1, 2021, should be kept State Disability Payments
for at least 6 years. Copies must be submitted to the IRS if re-
Certain state disability plan payments to household employees
quested. If you must file Form W-2, you will need to keep a re-
are treated as wages subject to social security and Medicare
cord of each employee's name, address, and SSN. Each payday,
taxes. If your employee received payments from a plan that
you should record and keep the dates and amounts of:
withheld the employee's share of social security and Medicare
• Cash and noncash wage payments,
taxes, include the payments on lines 1a, 3, and, if applicable, 5
• Any employee social security tax you withhold or agree
of Schedule H and complete the rest of Part I through line 7.
to pay for your employee,
Add lines 2c, 4, 6, and 7. (Household employers located in Pu-
• Any employee Medicare tax you withhold or agree to pay
erto Rico add lines 2c, 4, and 6.) From that total, subtract the
for your employee,
amount of these taxes withheld by the state. Enter the result on
• Any federal income tax you withhold, and
line 8a. Also, enter “disability” and the amount subtracted on
• Any state employment taxes you withhold.
the dotted line next to line 8a. See the notice issued by the state
What Is the Earned Income Credit for more details.

(EIC)? How To Correct Schedule H
The EIC is a refundable tax credit for certain workers. If you discover an error on a Schedule H that you previously
Which employees must I notify about the EIC? You must filed with Form 1040, 1040-SR or 1040-NR, file Form 1040-X,
notify your household employee about the EIC if you agreed to Amended U.S. Individual Income Tax Return, and attach a cor-
withhold federal income tax from the employee's wages but rected Schedule H. If you discover an error on a Schedule H
didn't do so because the income tax withholding tables showed that you previously filed with Form 1040-SS, file a "Corrected"
that no tax should be withheld. Form 1040-SS and attach a corrected Schedule H. If you dis-
cover an error on a Schedule H that you previously filed with
You’re encouraged to notify each employee whose wa- Form 1041, file an “Amended” Form 1041 and attach a correc-
TIP ges for 2023 were less than $56,838 ($63,398 if mar- ted Schedule H.
ried filing jointly) that the employee may be eligible
for the EIC for 2023. If you discover an error on a Schedule H that you filed as a
stand-alone return, file another stand-alone Schedule H with
How and when must I notify my employees? You must give the corrected information. In the top margin of your corrected
the employee one of the following items. Schedule H, write (in bold letters) “CORRECTED” followed
• The official IRS Form W-2, which has the required infor- by the date you discovered the error.
mation about the EIC on the back of Copy B.
• A substitute Form W-2 with the same EIC information on Note. Household employers located in Puerto Rico that dis-
the back of the employee's copy that is on Copy B of the offi- cover an error on a Schedule H previously filed with Form
cial IRS Form W-2. 1040-PR, file a "Corrected" Form 1040-PR, and attach a cor-
• Notice 797, Possible Federal Tax Refund Due to the rected Schedule H-PR.
Earned Income Credit (EIC).
If you owe tax, pay the tax in full with your Form 1040-X,
• Your written statement with the same wording as Notice
“Corrected” Form 1040-SS or 1040-PR, “Amended” Form
797.
1041, or stand-alone Schedule H. If you overpaid tax on a pre-
If you’re not required to give the employee a Form W-2, viously filed Schedule H, then, depending on whether you ad-
you must provide the notification by February 7, 2024. just or claim a refund, you must certify that you repaid or reim-
If the notification isn't given on Form W-2 in a timely man- bursed the employee's share of social security and Medicare
ner, you must hand the notice directly to the employee or send taxes, or that you have obtained consents from your employees
it by First-Class Mail to the employee's last known address. to file a claim for refund for the employee tax. See Pub. 926 for
How do my employees claim the EIC? Eligible employees complete instructions.
claim the EIC on their 2023 tax returns.
How To Get Forms and Publications
Rules for Business Employers To get the IRS forms and publications mentioned in these in-
Don't use Schedule H if you chose to report employment taxes structions (including Notice 797), go to IRS.gov/Forms.
for your household employees along with your other employ-

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Privacy Act and Paperwork Reduction Act Notice
We ask for the information on this form to carry out the Internal Revenue laws of the United States. You’re required to give us the 
information. We need it to ensure that you’re complying with these laws and to allow us to figure and collect the right amount of 
tax. If you don't provide the information we ask for, or provide false or fraudulent information, you may be subject to penalties.
You’re not required to provide the information requested on a form that is subject to the Paperwork Reduction Act unless the 
form displays a valid OMB control number. Books or records relating to a form or instructions must be retained as long as their 
contents may become material in the administration of any Internal Revenue law.
Subtitle C, Employment Taxes, of the Internal Revenue Code imposes employment taxes on wages and provides for income tax 
withholding. This form is used to determine the amount of the taxes that you owe. Section 6011 requires you to provide the reques-
ted information if the tax is applicable to you. Section 6109 requires you to provide your identification number.
Generally, tax returns and return information are confidential, as required by section 6103. However, section 6103 allows or 
requires the IRS to disclose or give the information shown on your tax return to others as described in the Code. For example, we 
may disclose your tax information to the Department of Justice for civil and criminal litigation, and to cities, states, the District of 
Columbia, and U.S. commonwealths and territories to administer their tax laws. We may also disclose this information to other 
countries under a tax treaty, to federal and state agencies to enforce federal nontax criminal laws, or to federal law enforcement and 
intelligence agencies to combat terrorism.
The time needed to complete and file this form will vary depending on individual circumstances. The estimated burden for indi-
vidual taxpayers filing this form is approved under OMB control number 1545-0074 and is included in the estimates shown in the 
instructions for their individual income tax return.
The estimated burden for all other taxpayers who file this form is:
Recordkeeping. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1 hr., 38 min.
Learning about the law or the form. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .    39 min.
Preparing the form . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1 hr., 3 min.
Copying, assembling, and sending the form to the IRS. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .          34 min.

If you have comments concerning the accuracy of these time estimates or suggestions for making this form simpler, we would 
be happy to hear from you. You can send us comments from IRS.gov/FormComments. Or you can send your comments to Internal 
Revenue Service, Tax Forms and Publications Division, 1111 Constitution Ave. NW, IR-6526, Washington, DC 20224. Don't send 
Schedule H (Form 1040) to this address. Instead, see When and Where To File, earlier.

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Do You Have To File Form 1040, 1040-SR, 1040-NR, 1040-SS, or 1041?
Yes — Attach Schedule H to that form and mail to the address in your tax return instructions.
No — Mail your completed Schedule H and payment to the address shown below that applies to you. No street address is needed. 
See When and Where To File, earlier, for the information to enter on your payment.
IF you live in...                                                              THEN use this address...
Arizona, Florida, Louisiana, Mississippi, New Mexico, Texas                    Department of the Treasury
                                                                               Internal Revenue Service
                                                                               Austin, TX 73301-0002
Alabama, Arkansas, Connecticut, Delaware, District of Columbia, Georgia, 
Illinois, Indiana, Iowa, Kentucky, Maine, Maryland, Massachusetts, Minnesota,  Department of the Treasury
Missouri, New Hampshire, New Jersey, New York, North Carolina, Oklahoma,       Internal Revenue Service
Pennsylvania, Rhode Island, South Carolina, Tennessee, Vermont, Virginia,      Kansas City, MO 64999-0002
West Virginia, Wisconsin 
Alaska, California, Colorado, Hawaii, Idaho, Kansas, Michigan, Montana,        Department of the Treasury
Nebraska, Nevada, Ohio, Oregon, North Dakota, South Dakota, Utah,              Internal Revenue Service
Washington, Wyoming                                                            Ogden, UT 84201-0002
A foreign country, U.S. territory,* or use an APO or FPO address, or file Form Department of the Treasury
2555 or 4563, or are a dual-status alien                                       Internal Revenue Service
                                                                               Austin, TX 73301-0215
* If you live in American Samoa, Puerto Rico, Guam, the U.S. Virgin Islands, or the Commonwealth of the Northern Mariana Islands, see Pub. 
570.

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