Form W-2, Wage and Tax Statement is an IRS tax form that is mandatory to file by employers to report income paid to employees. Form W-2 reports wage, salary, and other compensation paid to employees along with the taxes withheld from their income. The taxes withheld not only shows the federal income tax withheld but state and local income tax and Social Security and Medicare taxes under FICA.
Employers have until January 31st to file Form W-2. If it isn’t filed by this deadline, and the employer files it within 30 days after the deadline, the employer will pay a $50 fine for every W-2 they are late-filing. After the 30 days, the penalty goes up to $100 per W-2.
If you’re an employee and haven’t received your Form W-2 from your employer yet, read this article to see how you can file taxes without it.
File Forms W-2 on Business Services Online – Instructions
As for filing Form W-2 in 2021, there are many ways to do it. If you have a few Forms W-2 to file, filing it on paper shouldn’t be a trouble. If you have — let’s say — more than five employees working for you, we suggest filing it online.
Although you can file Forms W-2 with any tax software, Social Security Administration allows employers to file Form W-2 online on Business Services Online (BSO). It is completely free to file Forms W-2 on BSO and you will be able to verify employees’ Social Security Numbers. This will help you see if they provided the right Social Security Number and they are who they are they say.
Here is how to file Form W-2 on BSO.
Click here to open the BSO Registration page. On the registration page, enter the required information and keep your User ID. Then, proceed to complete phone registration. After these steps are done, you can start filing Forms W-2 2021 for free. Take note that if you’re an employee that needs to file more than 250 Forms W-2, online filing is mandatory so you cannot file online.