EFTPS enrollment equals tax refund.

• Position: National

Nearly one million employers could qualify for a refund of a previously paid federal tax deposit penalty if they enroll in the IRS's Electronic Federal Tax Payment System (EFTPS).

The refund offer gives business taxpayers an opportunity to receive an automatic one-time refund if they have been assessed a deposit penalty on a Form 941, Employer's Quarterly Federal Tax Return. The offer is available to employers who are not mandated to use EFTPS. To qualify for the offer, the employer must:

* Use EFTPS for one year (four consecutive quarters).

* Make all Form 941 payments on time.

* Have fully paid the penalty previously.

Beginning in 2005, the IRS will automatically determine which employers have achieved the four quarters of EFTPS compliance and reverse the most recent full-paid FTD penalty, minus...