IRS has created an incentive to induce employers who are not required to use the Electronic Federal Tax Payment System (EFTPS) to enroll in and use the system--a refund of previously paid federal tax deposit (FTD) penalty with interest. The EFTPS-FTD penalty refund offer allows qualifying businesses an opportunity to receive an automatic one-time penalty refund if they have been assessed a deposit penalty on a Form 941, Employer's Quarterly Federal Tax Return, which is used to report income tax witholding on employees' wages and both the employer's and employee's share of social security and medicare taxes.