Employer's Quarterly Federal Tax Return

Instructions for Form 945-X
(Rev. February 2025)

Adjusted Annual Return of Withheld Federal Income Tax or Claim for Refund
Section references are to the Internal Revenue Code
unless otherwise noted.

Future Developments

For the latest information about developments related to
Form 945-X and its instructions, such as legislation
enacted after they were published, go to IRS.gov/
Form945X.

General Instructions:
Understanding Form 945-X
What Is the Purpose of Form 945-X?
Use Form 945-X to correct administrative errors only on a
previously filed Form 945. An administrative error occurs if
the federal income tax (including backup withholding) you
reported on Form 945 isn’t the amount you actually
withheld from payees. For example, if the total federal
income tax you actually withheld was incorrectly reported
on Form 945 due to a mathematical or transposition error,
this would be an administrative error.
Use Form 843, Claim for Refund and Request for
Abatement, to request a refund or abatement of assessed
interest or penalties. Don’t request a refund or abatement
of assessed interest or penalties on Form 945 or 945-X.
We use the terms “correct” and “corrections” on

TIP Form 945-X and in these instructions to include

interest-free adjustments under sections 6205 and
6413 and claims for refund and abatement under sections
6402, 6414, and 6404. See Rev. Rul. 2009-39 for
examples of how the interest-free adjustment and claim
for refund rules apply in 10 different situations. You can
find Rev. Rul. 2009-39, 2009-52 I.R.B. 951, at IRS.gov/irb/
2009-52_IRB#RR-2009-39.
When you discover an error on a previously filed Form
945, you must:
• Correct that error using Form 945-X;
• File a separate Form 945-X for each Form 945 that
you’re correcting; and
• Generally, file Form 945-X separately. Don’t file Form
945-X with Form 945.
If you didn’t file a Form 945 for 1 or more years for
which you should have filed Form 945, don't use Form
945-X. Instead, file Form 945 for each of those years.
Report the correction of underreported and
overreported amounts for the same year on a single Form
945-X, unless you’re requesting a refund or abatement. If
you’re requesting a refund or abatement and you're
correcting both underreported and overreported amounts,
file one Form 945-X correcting the underreported amounts
only and a second Form 945-X correcting the
overreported amounts.
Feb 27, 2025

You’ll use the adjustment process if you underreported
tax and are making a payment, or if you overreported tax
and will be applying the credit to Form 945 for the period
during which you file Form 945-X. However, see the
Caution under Is There a Deadline for Filing Form 945-X,
later, if you’re correcting overreported amounts during the
last 90 days of a period of limitations. You’ll use the claim
process if you overreported tax and are requesting a
refund or abatement of the overreported amount. Follow
the chart on page 8 for help in choosing whether to use
the adjustment process or the claim process. Be sure to
give us a detailed explanation on line 7 for each correction
that you show on Form 945-X.
Don’t use Form 945-X to correct Form CT-1, 941,
943, or 944. Instead, use the “X” form that
CAUTION corresponds to those forms (Form CT-1 X, 941-X,
943-X, or 944-X).

!

Where Can You Get Help?
For help filing Form 945-X or for questions about withheld
federal income tax and tax corrections, you can:
• Go to IRS.gov/EmploymentTaxes and IRS.gov/
CorrectingEmploymentTaxes;
• See Pub. 15, Employer's Tax Guide; or
• Call the IRS Business and Specialty Tax Line toll free at
800-829-4933 or 800-829-4059 (TDD/TTY for persons
who are deaf, hard of hearing, or have a speech
disability), Monday–Friday from 7:00 a.m.–7:00 p.m. local
time (Alaska and Hawaii follow Pacific time).
See also How Can You Get Forms, Instructions, and
Publications From the IRS, later.

When Should You File Form 945-X?
File Form 945-X when you discover an administrative error
on a previously filed Form 945.
However, if your only errors on Form 945 relate to
federal tax liabilities reported on your Monthly Summary of
Federal Tax Liability on Form 945 or on Form 945-A,
Annual Record of Federal Tax Liability, don’t file Form
945-X. For more information about correcting federal tax
liabilities reported on your Monthly Summary of Federal
Tax Liability on Form 945 or on Form 945-A, see the Form
945-A instructions.
Due dates. The due date for filing Form 945-X depends
on when you discover an error and if you underreported or
overreported tax. If you underreported tax, see
Underreported tax, later. For overreported amounts, you
may choose to either make an interest-free adjustment or
file a claim for refund or abatement. If you’re correcting
overreported amounts, see Overreported tax—Adjustment
process and Overreported tax—Claim process, later.
If any due date falls on a Saturday, Sunday, or legal
holiday, you may file Form 945-X on the next business day.

Instructions for Form 945-X (Rev. 2-2025) Catalog Number 20337I
Department of the Treasury Internal Revenue Service www.irs.gov

If we receive Form 945-X after the due date, we will treat
Form 945-X as filed on time if the envelope containing
Form 945-X is properly addressed, contains sufficient
postage, and is postmarked by the U.S. Postal Service
(USPS) on or before the due date, or sent by an
IRS-designated private delivery service (PDS) on or
before the due date. If you don’t follow these guidelines,
we will consider Form 945-X filed when it is actually
received. See Pub. 15 for more information on legal
holidays. For more information about PDSs, see Where
Should You File Form 945-X, later.
Underreported tax. If you’re correcting underreported
tax, you must file Form 945-X by the due date of the return
for the return period in which you discovered the error
(January 31 of the following year) and pay the amount you
owe by the time you file. Doing so will generally ensure
that your correction is interest free and not subject to
failure-to-pay (FTP) or failure-to-deposit (FTD) penalties.
See What About Penalties and Interest, later. For details
on how to make a payment, see the instructions for line 5,
later.
If Form 945-X is filed late (after the due date of the
return for the return period in which you discovered the
error), you must attach an amended Form 945-A to Form
945-X. Otherwise, the IRS may assess an “averaged” FTD
penalty. See “Averaged” FTD penalty in section 11 of Pub.
15 for more information about “averaged” FTD penalties.
The total tax reported on Form 945-A, line M, must match
the corrected tax (Form 945, line 3, combined with any
correction reported on Form 945-X, line 5) for the year,
less any previous abatements and interest-free tax
assessments.
Example—You owe tax. On February 6, 2025, you
discovered that you underreported $10,000 of federal
income tax actually withheld on your 2024 Form 945 due
to a mathematical error. File Form 945-X and pay the
amount you owe by February 2, 2026 (January 31, 2026,
is a Saturday), because you discovered the error in 2025
and February 2, 2026, is the due date for that year. If you
file Form 945-X before February 2, 2026, pay the amount
you owe by the time you file.

limitations on the credit or refund expires. If you also need
to correct any underreported amounts, you must file
another Form 945-X reporting only corrections to the
underreported amounts. See Is There a Deadline for Filing
Form 945-X next.

Is There a Deadline for Filing Form
945-X?
Generally, you may correct overreported taxes on a
previously filed Form 945 if you file Form 945-X within 3
years of the date Form 945 was filed or 2 years from the
date you paid the tax reported on Form 945, whichever is
later. You may correct underreported taxes on a previously
filed Form 945 if you file Form 945-X within 3 years of the
date the Form 945 was filed. We call each of these time
frames a period of limitations. For purposes of the period
of limitations, Form 945 is considered filed on April 15 of
the succeeding calendar year if filed before that date.
Example. You filed your 2023 Form 945 on January
31, 2024, and payments were timely made. The IRS treats
the return as if it were filed on April 15, 2024. On January
22, 2027, you discovered that you overreported federal
income tax withheld on that form by $10,000 due to a
mathematical error. To correct the error, you must file
Form 945-X by April 15, 2027, which is the end of the
period of limitations, and use the claim process.
If you file Form 945-X to correct overreported
amounts in the last 90 days of a period of
CAUTION limitations, you must use the claim process. You
can’t use the adjustment process. If you’re also correcting
underreported amounts, you must file another Form 945-X
to correct the underreported amounts using the
adjustment process and pay any tax due.

!

Where Should You File Form 945-X?
Send your completed Form 945-X to the address shown
next.

Overreported tax—Adjustment process. If you
overreported tax and choose to apply the credit to Form
945, file an adjusted return on Form 945-X soon after you
discover the error but more than 90 days before the period
of limitations on the credit or refund for Form 945 expires.
See Is There a Deadline for Filing Form 945-X, later.
Example—You want your credit applied to Form
945. You filed your 2024 Form 945 on January 31, 2025,
and payments were timely made. On May 1, 2025, you
discover that you overreported $9,000 in backup
withholding tax on your 2024 Form 945 due to a
transposition error. You file Form 945-X on June 2, 2025,
and check the box on line 1 to indicate you want to use the
adjustment process. The IRS treats your credit as a tax
deposit made on January 1, 2025. When you file your
2025 Form 945, include the amount from Form 945-X,
line 5, on the “Total deposits” line of your 2025 Form 945.
Overreported tax—Claim process. If you overreported
tax on Form 945, you may choose to file a claim for refund
or abatement on Form 945-X any time before the period of
2

Instructions for Form 945-X (Rev. 2-2025)

IF you’re in . . .

THEN use . . .

Connecticut, Delaware, District of
Columbia, Florida, Georgia, Illinois,
Indiana, Kentucky, Maine, Maryland,
Massachusetts, Michigan, New
Hampshire, New Jersey, New York,
North Carolina, Ohio, Pennsylvania,
Rhode Island, South Carolina,
Tennessee, Vermont, Virginia, West
Virginia, Wisconsin

Department of the Treasury
Internal Revenue Service
Cincinnati, OH 45999-0042

Alabama, Alaska, Arizona, Arkansas,
California, Colorado, Hawaii, Idaho,
Iowa, Kansas, Louisiana, Minnesota,
Mississippi, Missouri, Montana,
Nebraska, Nevada, New Mexico, North
Dakota, Oklahoma, Oregon, South
Dakota, Texas, Utah, Washington,
Wyoming

Department of the Treasury
Internal Revenue Service
Ogden, UT 84201-0042

No legal residence or principal place of
business in any state
Special filing addresses for exempt
organizations; federal, state, and local
governmental entities; and Indian tribal
governmental entities, regardless of
location

Internal Revenue Service
P.O. Box 409101
Ogden, UT 84409
Department of the Treasury
Internal Revenue Service
Ogden, UT 84201-0042

PDSs can't deliver to P.O. boxes. You must use the
USPS to mail an item to a P.O. box address. Go to
IRS.gov/PDS for the current list of PDSs. If you file Form
945-X using a PDS, send it to the following address.
Ogden - Internal Revenue Submission Processing
Center
1973 Rulon White Blvd.
Ogden, UT 84201
Use this address even if your business is located in a
state that files in Cincinnati.

How Should You Complete Form
945-X?
Use a Separate Form 945-X for Each Year You’re
Correcting

Use a separate Form 945-X for each Form 945 that you’re
correcting. For example, if you found errors on your Forms
945 for 2023 and 2024, file one Form 945-X to correct the
2023 Form 945, and a second Form 945-X to correct the
2024 Form 945.

Employer Identification Number (EIN), Name,
and Address

Enter your EIN, name, and address in the spaces
provided. Also enter your name and EIN on the top of
page 2 and on any attachments. If your address has
changed since you filed your Form 945, enter the
corrected information and the IRS will update your
address of record. Be sure to write your name, your EIN,
“Form 945-X,” and the calendar year you're correcting on
the top of any attachments.

Instructions for Form 945-X (Rev. 2-2025)

Return You’re Correcting

Enter the calendar year of the Form 945 you're correcting
in the box at the top of page 1. Enter the same calendar
year on page 2 and on any attachments.

Enter the Date You Discovered Errors

You must enter the date you discovered errors. You
discover an error when you have enough information to be
able to correct the error. If you're reporting several errors
you discovered at different times, enter the earliest date
you discovered an error here. Report any subsequent
dates and related errors on line 7.

Must You Make an Entry on Each Line?

You must provide all of the information requested at the
top of Form 945-X, page 1. You must check one box (but
not both) in Part 1. In Part 2, if any line doesn’t apply, leave
it blank. Complete Parts 3 and 4 as instructed.

How Should You Report Negative Amounts?

Form 945-X uses negative numbers to show reductions in
tax (credits) and positive numbers to show additional tax
(amounts you owe).

When reporting a negative amount in column 3, use a
minus sign instead of parentheses. For example, enter
“-10.59” instead of “(10.59).” However, if you’re completing
the return on your computer and your software only allows
you to use parentheses to report negative amounts, you
may use them.

How Should You Make Entries on Form 945-X?

You can help the IRS process Form 945-X timely and
accurately if you follow these guidelines.
• Type or print your entries.
• Use Courier font (if possible) for all typed or
computer-generated entries.
• Omit dollar signs. You may use commas and decimal
points, if desired. Enter dollar amounts to the left of any
preprinted decimal point and cents to the right of it.
• Always show an amount for cents, even if it is zero.
Don't round entries to whole dollars.
• Complete both pages and sign Form 945-X on page 2.
• Staple multiple sheets in the upper-left corner.

What About Penalties and Interest?

Generally, your correction of an underreported amount
won’t be subject to an FTP penalty, an FTD penalty, or
interest if you:
• File on time (by the due date of Form 945 for the year in
which you discover the error),
• Pay the amount shown on line 5 by the time you file
Form 945-X,
• Enter the date you discovered the error, and
• Explain in detail the grounds and facts relied on to
support the correction.
No correction will be eligible for interest-free treatment
if any of the following apply.
• The amounts underreported relate to an issue that was
raised in an examination of a prior period.
• You knowingly underreported your tax liability.
• You received a notice and demand for payment.
3

If you receive a notice about a penalty after you file this
return, reply to the notice with an explanation and we will
determine if you meet reasonable-cause criteria. Don’t
attach an explanation when you file your return.

Overview of the Process
To correct a previously filed Form 945, use Form 945-X to
file either an adjusted return of withheld federal income tax
or a claim for refund or abatement. The adjustment
process and the claim process are outlined below.
If you underreported the tax. If you underreported
the tax actually withheld on a previously filed Form 945,
check the box on line 1 and pay any additional amount
you owe by the time you file Form 945-X. For details on
how to make a payment, see the instructions for line 5,
later.
Example—You underreported withheld income
taxes. On June 20, 2025, you discovered an error that
results in additional tax on your 2024 Form 945. File Form
945-X by February 2, 2026 (January 31, 2026, is on a
Saturday), and pay the amount you owe by the time you
file. See When Should You File Form 945-X, earlier. Don’t
attach Form 945-X to your 2025 Form 945.
If you overreported the tax. If you overreported the
tax actually withheld on a previously filed Form 945,
choose one of the following options.
• Use the adjustment process. Check the box on line 1 to
apply any credit (negative amount) from line 5 to Form 945
for the year during which you file Form 945-X.
• Use the claim process. Check the box on line 2 to file a
claim on Form 945-X requesting a refund or abatement of
the amount shown on line 5.
To ensure that the IRS has enough time to

TIP process a credit for an overreporting

adjustment in the year during which you file Form
945-X, you’re encouraged to file Form 945-X correcting
the overreported amount in the first 11 months of a year.
For example, if you discover an overreported amount in
December, you may want to file Form 945-X during the
first 11 months of the next year. However, there must be
90 days remaining on the period of limitations when you
file Form 945-X. See the Caution under Is There a
Deadline for Filing Form 945-X, earlier. This should ensure
that the IRS will have enough time to process the Form
945-X so the credit will be posted before you file Form
945, thus avoiding an erroneous balance due notice from
the IRS. See the example below.
Example—You want your overreported tax applied
as a credit on Form 945. On December 18, 2024, you
discover you overreported your tax on your 2023 Form
945 and want to choose the adjustment process. To allow
the IRS enough time to process the credit, you file Form
945-X on January 2, 2025, and take the credit on your
2025 Form 945.

Specific Instructions:
Part 1: Select ONLY One Process
Because Form 945-X may be used to file either an
adjusted return of withheld federal income tax or a claim
4

for refund or abatement, you must check one box on
either line 1 or line 2. Don’t check both boxes.

1. Adjusted Return of Withheld Federal Income
Tax

Check the box on line 1 if you’re correcting underreported
amounts or overreported amounts and you would like to
use the adjustment process to correct the errors.
If you’re correcting both underreported amounts and
overreported amounts on this form, you must check this
box. If you check this box, any negative amount shown on
line 5 will be applied as a credit (tax deposit) to your Form
945 for the year in which you’re filing this form. See
Example—You want your overreported tax applied as a
credit on Form 945, earlier.

If you owe tax. Pay the amount shown on line 5 by the
time you file Form 945-X. Generally, you won’t be
charged interest if you file on time, pay on time, enter the
date you discovered the error, and explain the correction
on line 7.
If you have a credit. You overreported withheld federal
income tax (you have a negative amount on line 5) and
want the IRS to apply the credit to Form 945 for the period
during which you filed Form 945-X. The IRS will apply your
credit on the first day of the Form 945 year during which
you filed Form 945-X. However, the credit you show on
Form 945-X, line 5, may not be fully available on your
Form 945 if the IRS corrects it during processing or you
owe other taxes, penalties, or interest. The IRS will notify
you if your claimed credit changes or if the amount
available as a credit on Form 945 was reduced because of
unpaid taxes, penalties, or interest.
Don’t check the box on line 1 if you’re correcting
overreported amounts and the period of limitations
CAUTION on credit or refund for Form 945 will expire within
90 days of the date you file Form 945-X. See Is There a
Deadline for Filing Form 945-X, earlier.

!

2. Claim

Check the box on line 2 to use the claim process if you’re
correcting overreported amounts only and you’re
claiming a refund or abatement for the negative amount
(credit) shown on line 5. Don’t check this box if you’re
correcting any underreported amounts on this form.
You must check the box on line 2 if you have a credit (a
negative amount on line 5) and the period of limitations on
credit or refund for Form 945 will expire within 90 days of
the date you file Form 945-X. See Is There a Deadline for
Filing Form 945-X, earlier.
The IRS usually processes claims shortly after they are
filed. The IRS will notify you if your claim is denied,
accepted as filed, or selected to be examined. See Pub.
556, Examination of Returns, Appeal Rights, and Claims
for Refund, for more information.
Unless the IRS corrects Form 945-X during processing
or you owe other taxes, penalties, or interest, the IRS will
refund the amount shown on line 5, plus any interest that
applies.
Instructions for Form 945-X (Rev. 2-2025)

Part 2: Enter the Corrections for the
Calendar Year You’re Correcting
What Amounts Should You Report in Part 2?

On lines 3 and 4, columns 1 and 2, for each line you're
correcting, show amounts for all of your payees, not just
for those payees whose amounts you’re correcting.
If a correction that you report in column 3 includes both
underreported and overreported amounts (see the
instructions for line 6, later), give us details for each error
on line 7.
You may correct federal income tax withholding errors
for prior years if the amounts shown on Form 945 don’t
agree with the amounts you actually withheld, that is, an
administrative error. See section 13 of Pub. 15 for more
information about administrative errors.
If you previously adjusted or amended Form 945
using Form 945-X or because of an IRS
CAUTION examination change, show amounts in column 2
that include those previously reported corrections.

Example—Administrative error. You had three
payees. In 2024, you withheld $1,000 of federal income
tax from payee A, $2,000 from payee B, and $6,000 from
payee C. The total amount of federal income tax you
withheld was $9,000. You mistakenly reported $6,000 on
line 1 of your 2024 Form 945. You discovered the error on
March 14, 2025. This is an example of an administrative
error that may be corrected in a later calendar year
because the amount actually withheld from payees differs
from the amount reported on Form 945. Use Form 945-X
to correct the error. Enter $9,000 in column 1 and $6,000
in column 2. Subtract the amount in column 2 from the
amount in column 1.
.

!

Example—Failure to withhold income tax when
required. You were required to withhold $400 of federal
income tax from a new payee in December of 2024 but
you withheld nothing. You discovered the error on March
14, 2025. You can’t file Form 945-X to correct your 2024
Form 945 because the error involves a previous year and
the amount previously reported for the new payee (zero)
represents the actual amount withheld from the new
payee during 2024.

3. Federal Income Tax Withheld

If you’re correcting the federal income tax withheld you
reported on Form 945, line 1, enter the total corrected
amount in column 1. In column 2, enter the amount you
originally reported or as previously corrected. In column 3,
enter the difference between columns 1 and 2.

Column 3 (difference)

9,000.00
− 6,000.00
3,000.00

Be sure to explain the reasons for this correction on
line 7.

4. Backup Withholding

line 3 (column 1)
− line 3 (column 2)
line 3 (column 3)

Column 1 (corrected amount)
Column 2 (Form 945, line 1)

If the amount in column 2 is larger than the
amount in column 1, use a minus sign in
column 3.

line 4 (column 1)
− line 4 (column 2)
line 4 (column 3)

If the amount in column 2 is larger than the
amount in column 1, use a minus sign in
column 3.

.

Example—Federal income tax withheld increased.
You reported $9,000 as federal income tax withheld on
line 1 of your 2024 Form 945. In July of 2025, you
discovered that you overlooked $1,000 in federal income
tax actually withheld from one of your payees. To correct
the error, figure the difference on Form 945-X as shown.

If you’re correcting the backup withholding of federal
income tax you reported on Form 945, line 2, enter the
total corrected amount in column 1. In column 2, enter the
amount you originally reported or as previously corrected.
In column 3, enter the difference between columns 1 and
2.

Column 1 (corrected amount)
Column 2 (Form 945, line 1)

−

Column 3 (difference)

10,000.00
9,000.00
1,000.00

.

Example—Federal income tax withheld decreased.
You reported $9,600 as federal income tax withheld on
line 1 of your 2024 Form 945. In December of 2025, you
discovered that you actually withheld $6,900 but reported
the higher amount due to a typographical (administrative)
error. To correct the error, figure the difference on Form
945-X as shown.
Column 1 (corrected amount)
Column 2 (Form 945, line 1)
Column 3 (difference)

−

6,900.00
9,600.00
-2,700.00

Instructions for Form 945-X (Rev. 2-2025)

Read the instructions for line 3 for more

TIP information on completing line 4. For correction

purposes, there is no distinction between federal
income tax withheld from pensions, annuities, IRAs,
gambling winnings, etc., and backup withholding.

5. Total

Combine the amounts from column 3 on lines 3 and 4 and
enter the result on line 5.

Your credit. If the amount entered on line 5 is less than
zero, for example, “-115.00,” you have a credit because
you overreported withheld federal income tax.
• If you checked the box on line 1, include this amount on
line 4 (“Total deposits”) of Form 945 for the year during
which you file Form 945-X. Don’t make any changes to
5

your Monthly Summary of Federal Tax Liability on Form
945 , line 7, or Form 945-A. The amounts reported on the
record should reflect your actual tax liability for the period.
• If you checked the box on line 2, you’re filing a claim for
refund or abatement of the amount shown.
If your credit is less than $1, we will send a refund or
apply it only if you ask us in writing to do so.
Amount you owe. If the amount on line 5 is a positive
number, you must pay the amount you owe by the time
you file Form 945-X. You may not use any credit that you
show on another Form 945-X to pay the amount you owe,
even if you filed for the amount you owe and the credit at
the same time.
Payment methods. You may pay the amount you owe
on line 5 electronically using the Electronic Federal Tax
Payment System (EFTPS), IRS Direct Pay, by credit or
debit card, or by a check or money order.
• For more information about EFTPS, go to EFTPS.gov or
call EFTPS Customer Service at 800-555-4477
(800-244-4829 (Spanish) or 303-967-5916 if you're
outside the United States (toll call)). To contact EFTPS
using Telecommunications Relay Services (TRS) for
people who are deaf, hard of hearing, or have a speech
disability, dial 711 and then provide the TRS assistant the
800-555-4477 number above or 800-733-4829. Additional
information about EFTPS is also available in Pub. 966.
• To pay by IRS Direct Pay, go to IRS.gov/DirectPay. To
pay by credit or debit card, go to IRS.gov/PayByCard. Your
payment will be processed by a payment processor who
will charge a processing fee.
• If you pay by check or money order, make it payable to
“United States Treasury.” On your check or money order,
be sure to write your EIN, “Form 945-X,” and the year
corrected.
You don’t have to pay if the amount you owe is less than
$1.
Previously assessed FTD penalty. If line 5 reflects
overreported tax and the IRS previously assessed an FTD
penalty, you may be able to reduce the penalty. For more
information, see the Form 945-A instructions.

Part 3: Explain Your Corrections for
the Calendar Year You’re Correcting
6. Corrections of Both Underreported and
Overreported Amounts

Check the box on line 6 if any corrections you entered on
lines 3 and 4, column 3, reflect both underreported and
overreported amounts.
Example. If you had an increase to withheld income
tax of $15,000 for payee A and a decrease to withheld
income tax of $5,000 for payee B, you would enter
$10,000 on line 3, column 3. That $10,000 represents the
net change from offsetting corrections.
On line 7, you must explain the reasons for both the
$15,000 increase and the $5,000 decrease.

7. Explain Your Corrections

Treasury regulations require you to explain in detail the
grounds and facts relied upon to support each correction.
On line 7, describe in detail each correction you entered in
6

column 3 on lines 3 and 4. If you need more space, attach
additional sheets, but be sure to write your name, your
EIN, “Form 945-X,” and the calendar year you're correcting
on the top of each sheet.
You must describe the events that caused the
underreported or overreported withheld income tax or
backup withholding. An explanation such as “withheld
income tax was overstated” is insufficient and may delay
processing your Form 945-X because the IRS may need
to ask for a more complete explanation.
Provide the following information in your explanation for
each correction.
• Form 945-X line number(s) affected.
• Date you discovered the error.
• Amount of the error.
• Cause of the error.
You may report the information in paragraph form. The
following paragraph is an example.
“The $1,000 difference shown in column 3 of line 3 was
discovered on May 13, 2025, during an internal audit. Due
to a typographical error, we reported $11,000 as withheld
income tax on Form 945 instead of the $10,000 actually
withheld from payees. This correction removes the $1,000
that was overreported.”

Part 4: Sign Here
You must complete both pages of Form 945-X and sign it
on page 2. If you don’t sign, processing of Form 945-X will
be delayed.
Who must sign the Form 945-X? The following persons
are authorized to sign the return for each type of business
entity.
• Sole proprietorship—The individual who owns the
business.
• Corporation (including a limited liability company
(LLC) treated as a corporation)—The president, the
vice president, or other principal officer duly authorized to
sign.
• Partnership (including an LLC treated as a
partnership) or unincorporated organization—A
responsible and duly authorized partner, member, or
officer having knowledge of its affairs.
• Single-member LLC treated as a disregarded entity
for federal income tax purposes—The owner of the
LLC or a principal officer duly authorized to sign.
• Trust or estate—The fiduciary.
Form 945-X may also be signed by a duly authorized
agent of the taxpayer if a valid power of attorney has been
filed.
Alternative signature method. Corporate officers or
duly authorized agents may sign Form 945-X by rubber
stamp, mechanical device, or computer software program.
For details and required documentation, see Rev. Proc.
2005-39, 2005-28 I.R.B. 82, available at IRS.gov/irb/
2005-28_IRB#RP-2005-39.

Paid Preparer Use Only

A paid preparer must sign Form 945-X and provide the
information in the Paid Preparer Use Only section of Part 4
if the preparer was paid to prepare Form 945-X and isn’t
Instructions for Form 945-X (Rev. 2-2025)

an employee of the filing entity. Paid preparers must sign
paper returns with a manual signature. The preparer must
give you a copy of the return in addition to the copy to be
filed with the IRS.
If you’re a paid preparer, enter your Preparer Tax
Identification Number (PTIN) in the space provided.
Include your complete address. If you work for a firm,
enter the firm's name and the EIN of the firm. You can
apply for a PTIN online or by filing Form W-12. For more
information about applying for a PTIN online, go to
IRS.gov/PTIN. You can’t use your PTIN in place of the EIN
of the tax preparation firm.
Generally, you’re not required to complete this section if
you’re filing the return as a reporting agent and have a
valid Form 8655 on file with the IRS. However, a reporting
agent must complete this section if the reporting agent
offered legal advice, for example, advising the client
whether federal income tax withholding is required on
certain payments.

How Can You Get Forms, Instructions,
and Publications From the IRS?

Paperwork Reduction Act Notice. We ask for the
information on Form 945-X to carry out the Internal
Revenue laws of the United States. You’re required to give
us the information. We need it to ensure that you’re
complying with these laws and to allow us to figure and
collect the right amount of tax.
You’re not required to provide the information requested
on a form that is subject to the Paperwork Reduction Act
unless the form displays a valid OMB control number.
Books and records relating to a form or its instructions
must be retained as long as their contents may become
material in the administration of any Internal Revenue law.
Generally, tax returns and return information are
confidential, as required by section 6103.
The time needed to complete and file Form 945-X will
vary depending on individual circumstances. The
estimated burden for filers of Form 945-X is approved
under OMB control number 1545-0029 and is included in
the estimates shown in the Instructions for Form 941.

You can view, download, or print most of the
forms, instructions, and publications you may
need at IRS.gov/Forms. Otherwise, you can go to
IRS.gov/OrderForms to place an order and have them
mailed to you. The IRS will process your order for forms
and publications as soon as possible. Don't resubmit
requests you've already sent us. You can get forms and
publications faster online.

Instructions for Form 945-X (Rev. 2-2025)

7

Form 945-X: Which process should you use?
Type of errors you are
correcting
Underreported
Use the adjustment process to correct underreported amounts.
amounts ONLY
• Check the box on line 1.
• Pay the amount you owe from line 5 by the time you file Form 945-X.
Overreported
amounts ONLY

BOTH underreported
and overreported
amounts

The process you use
depends on when you
file Form 945-X.

The process you use
depends on when you
file Form 945-X.

If you’re filing Form 945-X MORE
THAN 90 days before the period
of limitations on credit or refund
for Form 945 expires . . .

Choose either the adjustment process or the claim
process to correct the overreported amounts.
Choose the adjustment process if you want the
amount shown on line 5 credited to your Form 945 for
the period in which you file Form 945-X. Check the
box on line 1.
OR
Choose the claim process if you want the amount
shown on line 5 refunded to you or abated. Check
the box on line 2.

If you’re filing Form 945-X WITHIN
90 DAYS of the expiration of the
period of limitations on credit or
refund for Form 945 . . .

You must use the claim process to correct the
overreported amounts. Check the box on line 2.

If you’re filing Form 945-X MORE
THAN 90 days before the period
of limitations on credit or refund
for Form 945 expires . . .

Choose either the adjustment process or both the
adjustment process and the claim process when you
correct both underreported and overreported
amounts.
Choose the adjustment process if you want to
offset your underreported amounts with your
overreported amounts.
• File one Form 945-X, and
• Check the box on line 1 and follow the instructions
on line 5.
OR
Choose both the adjustment process and the
claim process if you want the overreported amount
refunded to you or abated.
File two separate forms.
1. For the adjustment process, file one Form
945-X to correct the underreported amounts. Check
the box on line 1. Pay the amount you owe from line 5
by the time you file Form 945-X.
2. For the claim process, file a second Form 945-X
to correct the overreported amounts. Check the box
on line 2.

If you’re filing Form 945-X WITHIN
90 DAYS of the expiration of the
period of limitations on credit or
refund for Form 945 . . .

8

You must use both the adjustment process and
the claim process.
File two separate forms.
1. For the adjustment process, file one Form
945-X to correct the underreported amounts. Check
the box on line 1. Pay the amount you owe from line 5
by the time you file Form 945-X.
2. For the claim process, file a second Form 945-X
to correct the overreported amounts. Check the box
on line 2.

Instructions for Form 945-X (Rev. 2-2025)