Important Tax Info for Seasonal Employees

Seasonal employees join a company for short periods, whether for several or many months. These seasonal needs include holidays, sports events, and many more occasions. Employment consistency for seasonal workers is different than for someone with a full-time position, so it can raise a lot of questions regarding taxes.

We’re here to clear up any confusion you have so you can file accurately and conveniently. Keep reading to find important tax info for seasonal employees and employers.

Seasonal Employees & W-4s

Among the most important tax info is the necessity of a W-4. You may assume you don’t need to report your income for a job that is not full-time, but that’s not true. Seasonal employees must fill out W-4s for their employers. Another piece of important tax info for seasonal employees is that a W-4 doesn’t necessarily mean you will pay taxes—in some cases, you may be exempt.

Talking With Seasonal Employee Tax Pros

Although some seasonal employees may be exempt, not all are. If you’re unsure of your status, talk with a tax expert to learn more. There is no clear right or wrong answer because it ultimately relies on unique factors, including whether you are working other seasonal jobs and how many additional seasons you work the same position.

A seasonal employee can move to another position in the next season to maintain consistent employment. Our team at Accutax Business Center offers individual tax preparation services that will help you complete taxes accurately, whether you’re seasonal or becoming a full-time employee.

Filing Form 941 for Seasonal Employers

As you can see, learning more about seasonal employee taxes isn’t much more complicated than full-time employee taxes, though some differences exist. However, this information is important for employers to understand so they can prepare tax info properly each year.

Another important topic to touch on is employers in a seasonal business. Another form that employers must consider filing is Form 941.

Do you still need this form if you’re a seasonal employer? Luckily, the IRS lays out these details very clearly. According to the IRS, a seasonal employer does not file a Form 941 for any quarters without tax liabilities because they haven’t paid any wages for those quarters. A tax expert will help you navigate seasonal tax needs easily, so contact experts today if you want to start filing with absolute precision and peace of mind.