INSTRUCTIONS: HOUSEHOLD EMPLOYMENT TAXES SCHEDULE H
You need to fill out this form if you said “Yes” to any of the questions on lines A, B, or C. A detailed list of instructions is provided by the IRS at the following link: https://www.irs.gov/pub/irs-pdf/i1040sh.pdf
“Household Employment Taxes Schedule H Step 1”
The following dates are important:
· January 31, 2012: give the employee a Form W-2
· February 29, 2012: send Copy A of Form W-2 along with Form W-3 to the Social Security Administration
· April 17, 2012: file Schedule H and pay the household employment taxes with the 2011 tax return
“Household Employment Taxes Schedule H Step 2”
You need to record the following information and dates in order to fill out this form:
· cash and noncash wage payments
· any employee social security tax withheld
· any employee Medicare tax withheld
· any federal income tax withheld
· any advance EIC payments you made
“Household Employment Taxes Schedule H Step 3”
If you paid a household employee $1,700 or more cash wages during 2011, you need to report and pay social security and Medicare taxes on all wages. See page H-4 of the instructions for specific instructions on lines 1 through 7.
“Household Employment Taxes Schedule H Step 4”
The FUTA tax provides payments for unemployment compensation for workers that have lost their job. The FUTA tax is 6.2% before July 1 and 6.0% after June 30, but you may be able to take a credit up to 5.4% against the FUTA tax if you pay all required contributions by April 17, 2012. Contributions do not include the following:
· any payments deducted from your employees’ pay
· penalties, interest, or special administrative taxes that are not included in the contributions rate by your state
· voluntary contributions you paid in order to get a lower experience rate
See pages H-4 and H-5 of the instructions for specific details on lines 8 through 21
“Household Employment Taxes Schedule H Step 5”
On line 23, enter the amount form line 6 (enter -0- if there is no entry on line 6). On line 24, add the amounts on lines 14 and 23. If you have to complete Section B of Part II, add the amounts on lines 22 and 23 for line 24. For line 25, follow the instructions on page H-8.