New law accelerates federal W-2 filing due date next year

Employers will be required to file Form W-2 by January 31 each year, beginning in 2017 for the 2016 tax year. Currently, the W-2 is due to the Social Security Administration by the end of February if filing paper forms and March 31 if filing electronically.

The Consolidated Appropriations Act of 2016, which President Obama signed into law in December, includes a provision requiring the accelerated W-2 and W-3 filing due date. The change is intended to give the Internal Revenue Service more time to process employer-provided data in order to coordinate with the issuance of tax refunds.

Missouri currently requires employers to submit W-2 data by the last day of February. We will continue to monitor the issue and let you know if the state opts to follow the federal filing deadline next year.

EMPLOYMENT ELIGIBILITY VERIFICATION: THE EMPLOYER’S RESPONSIBILITIES. By federal law, employers have a responsibility to ensure their employees are eligible to work in the United States, and the government provides two tools for doing so: the Form I-9, which all employers are required to complete, and the E-Verify system, which is optional for some employers and required for others.
IMPLICATIONS OF HAVING OUT-OF-STATE EMPLOYEES. What business obligations do you have as an employer when one of the following occurs?
WHAT TO DO ABOUT UNCLAIMED BENEFIT CHECKS. You’ve issued a check to close a retirement account, and for whatever reason, it hasn’t been cashed. Did you know that, as a plan sponsor, you’re still responsible for those funds?

Posted 2-8-2016 | Topics: Client Alerts, Essentials, Ledgers, Newsletters,