What If I Failed to File Form W-2?
Posted On 10.11.2020
One of the top responsibilities of employers is handling annual tax filing requirements for their employees. Form W-2 must be sent to employees each year and filed with the IRS.
Failing to file W-2 Forms annually can result in severe financial penalties that no employer wants to add to their ever-growing list of business expenses.
Form W-2 shows the wages and other money paid to your employee for the year and the taxes withheld from these payments. These forms are used by employees to file their [personal] tax returns and cannot do so without them.
These forms should have been filed and supplied to employees no later than Monday, February 1, 2021. If you missed this deadline, your business could receive penalties for not filing by the February 1 deadline.
FYI: There is no longer an extension of time to file Form W-2.
According to the IRS, forms should be postmarked and in the mail by this date, even if it has yet to be received by the employee.
Penalties for Not Filing
Not submitting your W-2s in time may cause a penalty of $50 each W-2 in case you file the right form within 30 days of the expected date. Penalties can reach up to a max of $565,000 annually for big companies or $197,500 for smaller companies.
Prevent the accumulation of those costly costs by filling in w2 form in time.