Accelerated Deposit Rule

In general, an employer must deposit its combined federal income tax withholding (FITW) and Social Security and Medicare tax (FICA) liabilities in accordance with either monthly or semiweekly schedule rules, depending on how great its total FITW-FICA liability was during the official "lookback" period. The accelerated deposit rule is the requirement that an accrued FICA and FITW liability which totals $100,000 or more on any day must be deposited by the end of the next banking day.