All You Need to Know About IRS Tax Form W-2

Introduction

IRS Tax Form W-2, also known as the Wage and Tax Statement, is a crucial document that employers are required to provide their employees each year. The form summarizes the total amount of money an employee earned from a particular employer during the year and the amount of federal, state, and other taxes withheld from their paychecks.

What is IRS Tax Form W-2?

Form W-2 is a tax form issued by the Internal Revenue Service (IRS) to report an employee’s annual wages and the amount of taxes withheld from their paycheck. The employer is responsible for filling out and issuing the form to the employees. Form W-2 is used by employees to report their annual income and file their tax returns.

Who Needs IRS Tax Form W-2?

Both employers and employees need IRS Tax Form W-2. Employers must issue a Form W-2 to their employees who receive wages, salaries, and other forms of compensation. Employees, in turn, use the form to prepare their federal and state income tax returns.

When Is IRS Tax Form W-2 Due?

Form W-2 must be completed and issued to employees no later than January 31st of the following year. For example, for the tax year 2020, Form W-2 must be given to employees by January 31st, 2021. Employers must also send a copy of Form W-2 to the Social Security Administration (SSA) by the end of February, along with Form W-3 (Transmittal of Wage and Tax Statements).

How to Fill Out IRS Tax Form W-2?

Here’s how to fill out the IRS Tax Form W-2:

1. Enter the employer’s identification number (EIN), name, and address in the boxes provided.
2. Enter the employee’s social security number (SSN), name, and address in the boxes provided.
3. Enter the total amount of federal income tax, social security tax, and Medicare tax withheld from the employee’s paycheck during the year, in the appropriate boxes.
4. Enter the total amount of compensation the employee earned from the employer during the year, including wages, salaries, and tips, in box 1.
5. Enter the amount of any dependent care benefits provided by the employer in box 10.
6. If the employee participated in any retirement plans, such as a traditional 401(k), 403(b), or IRA, enter the contributions made by the employee and any employer contributions in boxes 12 and 13.
7. Attach Copy B of Form W-2 to the employee’s federal income tax return for the year.
8. Mail Copy A to the Social Security Administration (SSA) along with Form W-3 (Transmittal of Wage and Tax Statements).

What to Do If You Don’t Receive Your Form W-2?

If you don’t receive your Form W-2 by January 31st, you should contact your employer. If you still don’t receive it after contacting your employer, you can contact the IRS for assistance. You can also use Form 4852 (Substitute for Form W-2) to estimate your wages and taxes withheld and complete your tax return.

Can I Get My Form W-2 Online?

Yes, many employers offer their employees the option to receive their Form W-2 online. You can also get a copy of your Form W-2 from the Social Security Administration by filing Form 4506 (Request for Copy of Tax Return).

The Benefits of Using IRS Tax Form W-2

IRS Tax Form W-2 provides many benefits to both employers and employees. The form helps employees file their tax returns accurately and on-time. It also ensures that employers comply with federal and state tax laws. By issuing Form W-2, employers can avoid penalties and legal consequences for failing to report employee wages and taxes correctly.

Frequently Asked Questions

1. What happens if I don’t receive my Form W-2?

If you don’t receive your Form W-2 by January 31st, you should contact your employer. If you still don’t receive it after contacting your employer, you can contact the IRS for assistance. You can also use Form 4852 (Substitute for Form W-2) to estimate your wages and taxes withheld and complete your tax return.

2. Can I get my Form W-2 online?

Yes, many employers offer their employees the option to receive their Form W-2 online. You can also get a copy of your Form W-2 from the Social Security Administration by filing Form 4506 (Request for Copy of Tax Return).

3. What should I do if I find an error on my Form W-2?

If you find an error on your Form W-2, you should contact your employer immediately to correct it. If the error is related to taxes withheld, your employer will need to issue you a corrected Form W-2 (also known as a W-2c).

4. Can I file my tax return without a Form W-2?

Yes, you can file your tax return without a Form W-2 by using Form 4852 (Substitute for Form W-2) to estimate your wages and taxes withheld. However, it’s best to try and obtain your Form W-2 from your employer or the Social Security Administration to avoid any errors on your tax return.

5. What happens if my employer doesn’t issue me a Form W-2?

If your employer doesn’t issue you a Form W-2 by January 31st, you should contact them immediately. If they fail to issue you a Form W-2, you can file a complaint with the IRS by filling out Form 4852 (Substitute for Form W-2) and Form 3949-A (Information Referral).

Conclusion

IRS Tax Form W-2 is a critical document that employers must issue to their employees each year. The form summarizes the employee’s annual wages and the amount of taxes withheld from their paychecks. By issuing Form W-2, employers can comply with federal and state tax laws and avoid penalties and legal consequences for failing to report employee wages and taxes correctly. Employees can use Form W-2 to file their tax return accurately and on-time. If you have any questions or issues related to Form W-2, be sure to contact your employer or the IRS for assistance.