Before you prepare your Form 940, make sure that you have recorded in QuickBooks all state unemployment (SUI) tax payments. If your SUI payments aren't recorded correctly, QuickBooks will not be able to populate Part II, Line 3(i) with data from the Form 940 interview. This means you may not receive the full FUTA credit you are entitled to unless you manually adjust the QuickBooks calculated value for Contributions that you actually paid to the state. If your FUTA tax liability by quarter is significantly higher than you expected, it is likely that QuickBooks was not set up to give you credit for contributions to SUI tax.
Receiving credit toward FUTA tax