As tax season approaches, it’s a good idea to keep two big payroll tax filing changes in mind:
- Jan. 31 is the new payroll tax filing date for 2016 W-2s and 1099 forms — a month earlier than the former filing date.
- The IRS has increased the penalties for:
- Filing to file the correct forms by the due date,
- Intentional disregard of filing requirements, and
- Failure to furnish W-2s to employees.
The amount of the penalty is based on when you file the correct form and is indexed for inflation. Here is a chart that compares the old and new penalties, showing an average increase of 100%, or $590 per return.
