941 Tax Deposits Penalties: Late Payroll Tax Penalty

If you don’t make your payroll tax deposits on time, you can incur a failure to deposit penalty. These are also called 941 tax deposit penalties. The amount of the federal tax deposit penalty varies based on your tax obligations and how late you make the payment.

To help you understand the tax laws and what can happen when you don’t make your payment on time, this guide outlines what happens when you deposit your employment taxes after the due date.