Just when you think things can't get any more difficult for business owners.
Beginning in 2017, the deadline for submission of government copies of Form W-2s and Form 1099s will be January 31.
This means that you are required to provide Form W-2s to your employees by January 31st, but you must now also file those W-2s and their W-3 transmittal with the Social Security Administration on that same January 31st deadline. Even if you file electronically, the due date is January 31, 2017.
You must also issue your Form 1099-MISCs to your contractors, and file those 1099s and their Form 1096 transmittal to the IRS by January 31st.
Unfortunately, you no longer have the option to wait until February 28th to file the government copies of either form set.
As a result of this shortened deadline period between year-end and the filing date, it is extremely important that you implement practices that ensure you are obtaining all the necessary information and tracking all the appropriate expenses. You will need to be sure all of your 1099-MISC contractors have completed and returned a signed a Form W-9 with all their current information and Tax Identification Number. You should verify with all your employees their filing status and mailing addresses prior to the end of 2016.
If you have questions about how this new tax deadline will impact your business, please call our office at (773) 792-1910. We're here to help!