IRS Form 945-A – Annual Record of Federal Tax Liability – Businesses and payers who withhold federal income tax from nonpayroll payments (or handle railroad retirement taxes) often need to track daily tax liabilities precisely. IRS Form 945-A, the Annual Record of Federal Tax Liability, is the official IRS form for this purpose. It helps the IRS verify that tax deposits were made on time and prevents unnecessary failure-to-deposit (FTD) penalties.
This guide, based on the latest official IRS resources (Form 945-A Rev. December 2024 and Instructions Rev. December 2025), explains everything you need to know for tax year 2025 filings in 2026.
What Is IRS Form 945-A?
Form 945-A records your daily federal tax liability by the date wages were paid or nonpayroll payments were made. It does not report deposits—the IRS receives that data electronically.
You attach Form 945-A to:
- Form 945 / 945-X (federal income tax withholding on nonpayroll payments, such as pensions, annuities, IRAs, gambling winnings, backup withholding, etc.)
- Form CT-1 / CT-1 X (railroad retirement taxes)
- Form 944 / 944-X (small employers’ annual return for income tax withholding + Social Security and Medicare taxes)
Download the current Form 945-A PDF here: https://www.irs.gov/pub/irs-pdf/f945a.pdf
Instructions PDF: https://www.irs.gov/pub/irs-pdf/i945a.pdf
Who Must File Form 945-A?
You must file Form 945-A if any of these apply:
- You are a semiweekly schedule depositor for the year.
- You were a monthly depositor but accumulated $100,000 or more in tax liability on any single day in a month (the “$100,000 next-day deposit rule”). You then become a semiweekly depositor for the rest of the current year and the following year.
- You file Form 945, CT-1, or 944 and your total tax liability (before credits) meets the threshold.
Exceptions:
- Monthly depositors with total tax under $2,500 for the year generally do not need Form 945-A (they use the monthly summary on the main form instead).
- The $100,000 threshold is calculated before any nonrefundable credits.
Your deposit schedule is determined by the prior year’s Form 945 (line 3): ≤ $50,000 = monthly; > $50,000 = semiweekly.
Purpose of Form 945-A
The IRS uses the form to:
- Match your reported tax liability dates against your actual deposit dates.
- Calculate accurate FTD penalties (or avoid “averaged” penalties when the form is missing or incorrect).
- Confirm that the annual total on line M equals the total tax on your main return (Form 945 line 3, Form CT-1 line 15, Form 944 line 9).
Important: Do not adjust the current-year liability for prior-period corrections reported on Form 945-X, 944-X, or CT-1 X.
How to Complete Form 945-A Step-by-Step?
- Top Section
Enter your name (exactly as on the attached return) and EIN. Enter the calendar year (e.g., 2025). - Monthly Daily Liability Entries
For each month (January = lines 1–31 + total A; February = lines 1–28/29 + total B; … December = lines 1–31 + total L):- Enter the tax liability on the line corresponding to the actual payment date.
- Example: Backup withholding from a December 24, 2025 payment → enter on December line 24.
- Gambling winnings paid on the 15th of each month → enter on line 15 every month.
- Monthly Totals
Add each month’s daily amounts and enter on lines A through L. - Annual Total (Line M)
Add lines A–L. This must equal the total tax on your attached return.
Special Rules:
- Report liabilities based on payment date, not deposit date or accrual.
- Never reduce any day’s liability below zero for credits.
- If you became a semiweekly depositor mid-year, report all months on Form 945-A.
For Form 945 filers: Check the “Semiweekly schedule depositors” box above line 7 and do not complete the monthly summary on Form 945.
Key Deadlines for 2026 Filings
- Form 945 (2025 taxes): Due February 2, 2026 (or January 31 if no timely deposits were made; extended to February 10 in some cases with timely deposits).
- Form 945-A is filed with the annual return (945, 944, or CT-1).
- Electronic filing is encouraged; paper filing is accepted.
Penalties for Not Filing or Errors
Missing or incorrect Form 945-A can trigger an averaged FTD penalty because the IRS cannot verify timely deposits.
You can often reduce or eliminate the penalty by filing an amended Form 945-A (write “Amended” at the top) if the total liability does not change.
Recent Updates (2024–2025 Revisions)
- Form 945-A revised December 2024 (minor layout tweaks; no major content changes).
- Instructions revised December 2025 — removed references to expired COVID-19 sick/family leave credits (no longer claimable on original 944 or CT-1 for periods after 2023).
- Qualified small business payroll tax credit (Form 944 only) continues under updated Inflation Reduction Act rules (up to $500,000 election; applied via Form 8974).
Common Mistakes to Avoid
- Entering deposit dates instead of payment dates.
- Forgetting to file when you hit the $100,000 rule (even for one month).
- Changing current-year liabilities for prior-period adjustments.
- Incorrect monthly totals that do not match the main return.
FAQ
- Do monthly depositors ever need Form 945-A?
Yes — if you hit the $100,000 threshold in any month. - Can I e-file Form 945-A?
Yes, when e-filing the associated Form 945, 944, or CT-1 through IRS-approved software. - Where do I file?
With your Form 945, 944, or CT-1 at the address listed in the instructions for that form. - Need help?
Visit IRS.gov/Form945A or consult a tax professional. For deposit rules, see Publication 15 (Employer’s Tax Guide).
Final Tips
Accurate daily tracking throughout the year makes completing Form 945-A straightforward. Keep good payroll and payment records so you can quickly fill in the daily lines when it’s time to file.
Official Resources:
Stay compliant and avoid penalties by using the latest IRS forms and recording liabilities as payments are made. For personalized advice, speak with a qualified tax advisor or enrolled agent.
This guide is for informational purposes only and is based on IRS publications as of February 2026. Tax rules can change—always verify with the latest official IRS documents.