Greatland Reminds W-2 & 1099 Filers of Key 2012 Deadlines

GRAND RAPIDS, Mich., Jan. 12, 2012 /PRNewswire/ -- With less than a month left to hit the first W-2 and 1099 reporting deadline, Greatland, one of the country's leading providers of W-2 and 1099 products, wants to remind businesses of the key filing dates and associated penalties for failing to file correctly and on time. Even though this year is a "leap year" and gives filers one additional day in February, not all government offices have altered their deadlines to reflect that fact. 

Below are some important dates for business filers to remember as they enter tax season:

• January 31, 2012 – Due date to send most 1099s and Copies B, 2, and C of form W-2 to each employee / recipient
• February 28, 2012 – Due date to send Copy A of form 1099 to the Internal Revenue Service (IRS) on paper
• February 29, 2012 – Due date to send Copy A of form W-2 to the Social Security Administration (SSA) on paper
• April 2, 2012 – Due date to send copy A of form W-2 to SSA and form 1099 to IRS electronically (e-file)
• State deadlines - the deadline for state W-2 and 1099 filing varies by state.  Greatland has a full list of states and corresponding deadlines on the company's website. 
• Quarterly 941 deadlines – a list of the quarterly deadlines for paper and e-filing 941 forms can also be located on Greatland's website.

Reinforced Compliance and Stiffer Penalties

As Greatland has previously noted, in tax year 2011 the IRS will continue to be strict about enforcing compliance, and will implement new form changes and reporting requirements aimed at gathering more information.  

The IRS has always imposed consequences for misfiled or late tax forms, but as of January 1, 2011, W-2 and 1099 penalties for failure to file correct and timely returns have increased. Businesses need to file on time and file correctly to avoid issues.

According to section 2102 of the Small Business Jobs and Credit Act of 2010, Congress made the following increases to information return (W-2 and 1099) filing penalties:

• The penalty for failing to file accurate information returns increases to $100 per return (up from $50)
• The maximum failure-to-file penalty increases to $1.5 million (up from $250,000)
• If corrected returns are filed within 30 days, the penalty increases to $30 per return (up from $15)
• The maximum penalty for organizations that issue corrections within 30 days increases to $250,000 (up from $75,000)
• The penalty for filing corrections more than 30 days after the due date, but before Aug. 1, 2012, increases to $60 per return (up from $30)
• The maximum penalty for organizations that issue corrections more than 30 days past the due date, but before Aug. 1, 2012, increases to $500,000 (up from $150,000)

For small businesses, defined as organizations with annual gross receipts of $5 million or less:

• The maximum failure-to-file penalty increases to $500,000 (up from $100,000)
• The maximum penalty for organizations that issue corrections within 30 days increases to $75,000 (up from $25,000)
• The maximum penalty for organizations that issue corrections more than 30 days past the due date, but before Aug. 1, 2012, increases to $200,000 (up from $50,000)

Furthermore, the penalty for failing to file due to intentional disregard has increased from $100 to $250 per return.  With many 1099 and W-2 reporting penalties having doubled or tripled, it is even more important for businesses to ensure that all wage and income filings are completed accurately and submitted on time.

For additional information, Greatland has an extensive W-2 & 1099 fact center located on its website with answers to many other filing questions.

About Greatland

Greatland (www.greatland.com) is one of the country's leading providers of W-2 and 1099 products for business and accountants.  Through Greatland's subsidiaries – Greatland, Nelco, speedEfiler.com, FileTaxes.com and Broker Forms – the company offers an extensive array of specialized products for business: W-2 and 1099 forms and software, business checks and check writing software, presentation materials, income tax preparation supplies and software, and mortgage forms.  Greatland is an employee-owned company with locations in Grand Rapids, Mich. and Green Bay, Wis.  Follow us on Facebook or Twitter: @GreatlandCorp

SOURCE Greatland