Since the “Protecting Americans from Tax Hikes” act in 2015, employers must file their copy of Forms W-2 & W-3 with the Social Security Administration by January 31.
Form 1099-MISC, reporting of non-employee compensation, also must be filed with the IRS by this deadline.
By verifying the income taxpayers report on their returns, the IRS can detect refund fraud, while still administering refunds as quickly as possible. This is the need for an early deadline and is the reason for the PATH act.
We recommend using e-file to file these forms. Filing on time and without error is the best way to avoid penalties.
As the end of the year approaches employers should verify the following:
Employee/Contractor name
Employee/Contractor address
Employee/Contractor Social Security or individual taxpayer ID number
Your account information with the Social Security Administration