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Accelerated Filing Dates for 1099-MISC and W2 for the 2016 Tax Year Due in January 2017

November 29, 2016 by Cat Tucker
Copeland Buhl

Form 1099-MISC reporting nonemployee compensation in box 7 is now due to the IRS by no later than January 31, 2017 whether you file by paper or electronically. Forms W2 and W3 are due to the Social Security Administration by the same date. Although there are technically 30 day extensions available for either set of forms, the new instructions indicate that the extension will only be granted in case of extraordinary circumstance or catastrophe. All other 1099 forms retain their former due date of February 28, 2017 if paper filing or March 31, 2017 if electronically filing. The recipient copies must still be mailed by January 31, 2017.

Because of the much shortened time frame to file these forms, all electronic filings that Copeland Buhl handles on your behalf will be e-filed as of January 30, 2017 to allow for correction of any rejects on January 31, 2017.

To ensure timely filing, we suggest to all entities required to file any form in the 1099 series or Form W2, that you confirm your vendor or employee information prior to yearend. It is always advisable to send an updated request for Form W9, before any payment is made to a vendor for each year, to ensure that no back up withholding is required. The W9 is a request for the vendor’s name, type of entity, address and federal identification number.

If a vendor refuses to provide you with its federal identification number, you are responsible for withholding and remitting 28% of the payment to the IRS. If the tax is not withheld, your business is still liable to pay the 28% withholding tax out of your business funds.  If you have already made the payment and a vendor refuses to provide you with the information at that point, you have lost the leverage to make them produce the Form W9. 

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