There are two major elements to paying your payroll taxes: paying over the money you owe, and filing supporting returns that show how you computed the taxes. For federal payroll tax purposes, these two elements are done separately.

• Federal tax deposits must be made on a periodic basis (usually monthly, for small employers).
• Special deposit coupon forms must accompany the payments, for small employers.
• Electronic transfers of funds must be used by larger employers.
• Federal tax returns are the second major element to be concerned about. The forms must be filed on a quarterly or annual basis.