Form W-2 is issued by employers to every employee who earns a salary, wage, or other forms of compensation. This form outlines the total income earned by the employee during the tax year and the amounts of federal, state, and other taxes withheld from their paycheck. It must be provided to employees by January 31 of the following year to allow for timely tax filing.
Form W-2 includes multiple boxes and codes, each representing specific information:
Form W-2 is indispensable for preparing your federal and state tax returns. It provides the figures necessary to fill out Form 1040 and helps identify how much you may owe or expect as a refund. Taxpayers should ensure that the information on Form W-2 is accurate and matches their own records. Any discrepancies should be immediately addressed with the employer to correct the information before filing taxes.
Verify Accuracy: Double-check all entries on Form W-2 with your pay stubs to ensure accuracy.
Tax Preparation: Use the information from Form W-2 to complete your IRS Form 1040. Most tax preparation software will prompt you to input your W-2 details to calculate your tax liability or refund.
State Taxes: Utilize the state tax information sections to complete your state income tax returns where applicable.
If you do not receive your Form W-2 by the January 31 deadline, follow these steps:
Contact Your Employer: Ask your employer to provide a copy or reissue the Form W-2.
Contact the IRS: If you cannot obtain your Form W-2 by February 15, contact the IRS for assistance.
File on Time: Even without Form W-2, you are required to file your taxes or request an extension by April 15 to avoid penalties.
