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Employers take note: New early IRS due dates for wage statement forms

Posted on January 8, 2018

 

Employers face an earlier than usual due date — January 31, 2018 — for filing 2017 forms W-2 and W-3 with the Social Security Administration, say Teipen Selanders Poynter & Ayres business CPAs.

Businesses should note that this date applies to both electronic and paper filers. The January 31st date also applies to Form 1099-MISC, due to the IRS and individuals such as independent contractors, when reporting non-employee compensation payments in box 7.

“This is especially important for small businesses,” says Teipen CPA Barry Sapurstein, “as penalties for failure to file correct information returns or furnish correct payee statements have increased and are now subject to inflationary adjustments.

“An extension of time to file Forms W-2 is no longer automatic,” Sapurstein cautions. “The IRS will only grant extensions for very specific reasons.”

Why the early deadline?

The IRS is doing everything possible to help prevent escalating fraud related to taxpayer returns. An earlier wage statement deadline for businesses provides the time the IRS needs to verify taxpayer income reported by companies ahead of taxpayer returns.

As always, the IRS urges employers and other businesses to take advantage of the accuracy, speed and convenience of filing these forms electronically. However, if your business knows that they will need paper Forms W-2s, they should be ordered early.

Teipen Selanders Poynter & Ayres reminds employers to verify employee information for 2018.

Employers should make it a policy to verify employee names, addresses, Social Security or individual taxpayer identification numbers at the start of each new year.

Businesses should also ensure their company’s account information is current and active with the Social Security Administration before the end of January.

Be advised! 2018 is starting out with all kinds of changes to the tax code as well as date and filing variances. For more information on form extensions or filing, talk to your TSPA CPA. We are up to speed on all changes and can answer your questions. Or, you can always visit Form 8809, or read the instructions for Forms W-2 & W-3 and the Information Return Penalties page at IRS.gov.