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New IRS Deadlines begin January 2017

IRS changes W-2 & 1099 Filing deadlines

Effective with the 2016 reporting year, deadlines for filing form W-2 with the Social Security Administration (SSA) and Form 1099-Misc with the IRS are changing to January 31.

In the past, employers were required to provide both the W-2 and 1099-Misc forms to recipients by January 31 with a later submission date for filings with the SSA and the IRS (February 28 for paper filings or March 31 for electronic filings).

Beginning in 2017, the 2016 reporting forms will now have one filing deadline – January 31 – for all federal W-2s. This is true for both employee and agency copies regardless of filing type.

Be aware, many states, including North Carolina, have adopted the Federal change to the January 31 deadline!

The new January 31 deadline also applies if you’re filing Form 1099-MISC and reporting amounts in Box 7: Non-employee Compensation (which is fairly common practice).  If you don’t have amounts in Box 7, then the deadline remains February 28 for paper filings or March 31 for electronic filings.

As a reminder, the IRS recently eliminated the automatic 30-day extension of time to file W-2 forms.  You may still file for an extension, but the IRS states that it will only grant the extension in extraordinary circumstances or due to a catastrophe.

With the timing of the new deadline, it is important that employers, and their CPAs, are well prepared to complete these year-end tasks.

Posted in Newsletters.