Paying payroll liabilities throughout the year is a process most businesses must do.

If you have a deposit requirement, you should choose one of two deposit methods:

  • You may be required, or prefer, to use the Electronic Federal Tax Payment System (EFTPS). EFTPS is not mandatory for most small business employers. The IRS encourages non EFTPS required employers to take advantage of EFTPS to avoid common errors and automate the payment process. EFTPS is always the preferred method to make payroll deposits. EFTPS is fast, secure and available 24 hours a day, 7 days a week.
  • If you are not required to use EFTPS and do not choose take advantage of EFTPS, mail or deliver Form 8109, Federal Tax Deposit Coupon, with your payment to an authorized financial institution or if you prefer, you may mail your coupon and payment to: Financial Agent, Federal Tax Deposit Processing, P.O. Box 970030, St. Louis, MO 63197. Make your check or money order payable to Financial Agent.

Making Deposits with FTD Coupons

Verify your name and Employer Identification Number (EIN) on the coupon.

Use a separate coupon for each type of tax deposited, for example, one for Form 941, Employer's Quarterly Federal Tax Return, and another for Form 940, Employer's Annual Federal Unemployment (FUTA) Tax Return.

Darken only one box for the correct type of tax and only one box for the correct tax period.

Use FTD coupons only for current taxes, not for delinquent taxes.

The IRS tracks the number of coupons used and sends more automatically. If you are a new employer you will not automatically receive subsequent coupons until after you place your initial order.

For employer’s mailing address changes, complete and file both Form 8109-C, FTD Address Change, found in the front of the coupon booklet, and Form 8822, Change of Address Form. Filing Form 8109-C updates the mailing address only for the purpose of delivery of tax deposit coupons. Form 8822 updates the mailing address on IRS records for all other tax purposes.

Employers who want new coupon booklets sent directly to their payroll provider or tax practitioner should complete and file Form 8109-C to show the payroll provider or practitioner’s mailing address. Filing Form 8109-C will not change the address of record with IRS.

Caution:

If you have a deposit requirement, do not send tax payments with your tax return directly to the IRS. If you use the FTD coupon method, your deposit must go to your authorized bank. Contact your local bank to obtain information concerning check clearance and daily cutoff schedules.
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