How Must You Deposit Your FUTA Tax?

You Must Deposit Your FUTA Tax Using EFT You must use EFT to make all federal tax deposits. An EFT can be made using EFTPS, IRS Direct Pay, or your IRS business tax account. If you don’t want to use one of these methods, you can arrange for your tax professional, financial institution, payroll service, or other trusted third party to make electronic deposits on your behalf. Also, you may arrange for your financial institution to initiate a same-day wire payment on your behalf. EFTPS is a free service provided by the Department of the Treasury. Payments made using IRS Direct Pay or through your IRS business tax account are also free. Services provided by your tax professional, financial institution, payroll service, or other third party may have a fee.

For more information on making federal tax deposits, see Pub. 966. To get more information about EFTPS or to enroll in EFTPS, go to EFTPS.gov or call one of the numbers provided under Federal tax deposits must be made by electronic funds transfer (EFT) , earlier.

If your business is new, the IRS will automatically pre-enroll you in EFTPS when you apply for an EIN. Follow the instructions on your EIN package to activate your enrollment. For more information about IRS Direct Pay, go to IRS.gov/DirectPay . For more information about making a payment through your IRS business tax account, go to IRS.gov/BusinessAccount .

Caution: EFTPS accepts same day payments of $1 million or less if the payment is submitted before 3:00 p.m. Eastern time on a business day. If your payment is more than $1 million, you must submit the deposit by 8:00 p.m. Eastern time the day before the date the deposit is due.

Same-day wire payment option. If you fail to submit a timely deposit transaction on EFTPS, you can still make your deposit on time by using the Federal Tax Collection Service (FTCS) to make a same-day wire payment. To use the same-day wire payment method, you will need to make arrangements with your financial institution ahead of time. Check with your financial institution regarding availability, deadlines, and costs. Your financial institution may charge you a fee for payments made this way. To learn more about the information you will need to give your financial institution to make a same-day wire payment, go to IRS.gov/SameDayWire .

6 Instructions for Form 940 (2025)

Timeliness of federal tax deposits. If a deposit is required to be made on a day that isn’t a business day, the deposit is considered timely if it is made by the close of the next business day. A business day is any day other than a Saturday, Sunday, or legal holiday. The term “legal holiday” for deposit purposes includes only those legal holidays in the District of Columbia. Legal holidays in the District of Columbia are provided in section 11 of Pub. 15.