This article gives details on deadlines, extensions, and how to mail or e-file W-2 forms.
Preparing To Send the W-2 Forms
Before you prepare W-2 forms you must gather information for the tax year for each employee, including:
Their total taxable pay (wages, tips, and compensation) for the yearSocial Security and Medical payFederal income tax, Social Security tax, and Medicare tax withheldOther information about taxable benefitsState taxable pay and state taxes withheld
If you are filing W-2 forms by mail, you must also prepare a W-3 form summarizing the information included in the W-2s. Make sure that the totals for all boxes on the W-2 forms for your employees match the total fox that box on the W-3 form. Also, check to make sure that your business information is the same.
Due Date for Sending W-2 Forms
Each year you must send W-2 forms to each of your employees by January 31 of the following year so they can use the form to prepare their tax return. You must also send the form to the Social Security Administration (SSA) by January 31 to verify and file the information for the employee’s benefit credits. If January 31 is a weekend or holiday in a specific year, the due date is the next business day. For example, if January 31 is a Saturday, the deadline is February 2 for that year.
Getting an Extension for Filing W-2 Forms
You can request one 30-day extension to file W-2 forms. Use IRS Form 8809 to apply; the form must be filed before the due date. You must file this form by mail but your request isn’t automatically granted. The IRS will only grant extensions in “extraordinary circumstances or catastrophe.” To get an extension on giving W-2s to employees, fax a letter to the IRS on or before the due date that includes your reason for the delay and the signature of the person authorized to sign for the company. The fax goes to:Internal Revenue ServiceAttn: Extension of Time CoordinatorFax: 866-477-0572 Make every effort to get the forms to employees and the IRS as soon as possible to avoid penalties.
How To Submit W-2 Forms
Review your completed W-2 forms to make sure all information is clear and readable and there are no errors. Send the red Copy A of each W-2 form to the SSA along with the W-3 transmittal form if you are mailing the forms. The SSA will not accept photocopies of this form. Then, give the other copies (B, C, and 2) of the W-2 form to the employee.
Mailing W-2 Forms to the SSA
Send the forms through the post office to theSocial Security Administration at: Data Operations CenterWilkes-Barre, PA 18769-0001 If you file at the last minute and must use a private delivery service such as UPS or Federal Express to get it there overnight, the address is different: Data Operations CenterATTN: W-2 Process1150 E. Mountain DriveWilkes-Barre, PA 18702-7997 If you send them by regular mail, corrected forms should be sent to: Data Operations CenterP.O. Box 3333Wilkes-Barre, PA 18767-3333 If you send them by private delivery service, use the same 1150 E. Mountain Drive address you would use for original copies sent overnight.
Sending W-2 Forms to the SSA Online
You may e-file W-2 forms online to the Social Security Administration through their Business Services Online portal. There is no extension of the filing deadline of January 31 for online filing. You can submit corrected forms online as well.
Avoid Fines and Penalties by Filing on Time
The penalties for late filing of W-2 forms are steep, and they are imposed on each form, so file on time if you possibly can. The late filing penalty is:
$50 a form if you file within 30 days of the due date$110 a form if you file more than 30 days after the due date but by August 1$280 a form if you file after August 1, you don’t file corrections, or you don’t file the required form.
These are maximum penalties for each due date above. You must also disclose certain information to employees on the consent form, including their rights to receive a paper copy of Form W-2 if they don’t consent to an e-copy and how to withdraw consent. Because the deadline for mailing W-2 forms to employees and submitting them to the SSA is the same, it’s a good idea to send the forms to employees early in the month so you can catch errors. It’s not as easy to correct errors once the forms have been filed with the SSA.
