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Reminder: this Wednesday is deadline for W-2s and certain 1099-MISCs

IRS has issued a reminder that wage statements and independent contractor forms must be filed with the government by this Wednesday, January 31.

Background. In general, information returns are required to be filed for compensation paid by persons engaged in a trade or business, to individuals, whether as employees or nonemployees, in the course of the person’s trade or business. The returns for employees are Form W-2, Wage and Tax Statement, and Form W-3, Transmittal of Wage and Tax Statements, and the return for nonemployees is Form 1099-MISC, Miscellaneous Income. Persons required to file a return are also required to furnish the individuals to whom the return relates with a written statement containing the aggregate amount of payments and the payor’s contact information. Those written statements must be supplied by Jan. 31 of the calendar year following the year for which the return must be filed. (Reg. § 31.6051-1(d); Code Sec. 6041(d))

Pursuant to the Protecting American from Tax Hikes Act of 2015, Div. Q (PATH Act, P.L. 114-113, 12/18/2015), the filing due date for Form W-2 and for Form 1099-MISC for nonemployee compensation is Jan. 31, which is the same as the due date for the related written employee and payee statements.

Nonemployee compensation generally includes fees for professional services, commissions, awards, travel expense reimbursements, or other forms of payments for services performed for the payor’s trade or business by someone other than in the capacity of an employee. (PATH Act Joint Committee on Taxation Report —JCX-144-15, pg. 118)

RIA observation: Nonemployee compensation is shown on Form 1099-MISC, Box 7. Thus, Forms 1099-MISC with entries in Box 7 must be filed by January 31. However, for Forms 1099-MISC that don’t have entries in Box 7, the deadline remains Feb. 28 for paper filings or Mar. 31 for electronic filings.

January 31 deadline. IRS has issued a reminder that employers must file their copies of Form W-2 and Form W-3 with the Social Security Administration by this Wednesday, January 31. This deadline also applies to Forms 1099-MISC filed with IRS to report non-employee compensation payments in box 7.

References: For the due date of Form W-2, Form W-3 and Form 1099-MISC, see FTC 2d/FIN ¶  S-4930; United States Tax Reporter ¶  60,414.001.

IRS QuickAlerts for Tax Professionals—Reminder: January 31 Filing Deadline Applies to Wage Statements and Independent Contractor Forms (Jan. 26, 2018).

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