A firm's frequency of tax deposits is determined by payroll tax liah ty during the lookback period . A firm that had $55 650 in annual payroll tax liability during the lookback period will be a monthly schedule depositor An employer files Form 941 on either a quarterly basis or when they deposit payroll taxes whichever is more frequent . Schedule B must accompany Form 941 for a firm classified as a semi - weekly payroll tax depositor . Form 940 is the report of tax liability for monthly schedule depositors . Form w- 3 is the report of wages issued to independent contractors and is due to the IRS by January 31 of the fo owing WEa Employers who inadvertently fail to file quarterly or annual reports may be subject to monetary penalties As of the June 11 pay date the General Ledger account for Burling Mills has a balance of $ 14 289 in its Federal withholding tax payable account A credit of $16 250 is recorded on the June 25 pay date What is the balance in the account Federal