What happens if you file Form W-2 late?
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Last modified 12/22/2020 10:32:30 AM EST
Form 941 Form 1099 / W-2 Form 2290
Form W-2 must be filed for employees every year without fail. If you miss filing Form W-2 or file after the deadline, there will be penalties. The penalty rates will also differ based on when the Form W-2 is filed. Penalties will also be imposed for inaccurate filing.
Below are the penalty rates for Form W-2:
If you file Form W-2 after the deadline
|Within 30 days||After 30 days but before August 1||After August 1|
|Maximum penalty||$556,500 per year||$1,669,500 per year||$3,339,000 per year|
|Maximum penalty for small businesses||$194,500 per year||$556,500 per year||1,113,000 per year|
|For incorrect reporting of payee statements or intentional disregard: $550/return
For fraudulent filing: $5,000 or more
To avoid penalties, file forms on time before the deadline and file electronically. ExpressEfile provides e-filing services for the lowest price in the industry. Also, the in-built audit check validates your returns and reduces the chances of form rejection.