What is a W-3 Form?

A W-3 Form is a tax document that employers use to report combined employee income to the Internal Revenue Service (IRS) and the Social Security Administration (SSA). Employers who send out more than one Form W-2 to employees must complete and send this form to summarize their total salary payment and withholding amounts. The form is not necessary for employers who send out only one Form W-2, as the necessary information is contained in that one document.

Who is Required to File W-3 Forms?

Any employer required to file a Form W-2 will also need to file a Form W-3. This includes most employers in the United States, as Form W-2 is required whenever an employee earns more than $600 in a given year, regardless of whether or not the employer withholds taxes from their wages.

What are the IRS Requirements for Employers to File W-3 Forms?

Employers are required to file Form W-3 to provide the IRS with an official summary of their employees’ earnings and how much tax has been withheld throughout the tax year. This allows the IRS to compare the total figures on individual employees’ W-2 forms with the official totals filed by their employers.

What Must be Included in a W-3 Form?

Employers must include the total amount of wages paid to all employees during the tax year and the amount of federal taxes withheld. Employers must also include a record of Social Security and Medicare wages and taxes for their employees.

What is the Deadline for Employers to Submit Their W-3 Form?

Employers must submit their Form W-3 by January 31 each year, which is the same deadline for mailing their employees’ copies of Form W-2.

How Must Employers Submit Their W-3 Form?

The most efficient way for employers to submit their Form W-3 is to submit wage files through their payroll software via the Business Services Online (or BSO) portal. The IRS and Social Security Administration are phasing out the use of paper copies and have introduced stricter regulations on who is eligible to file by mail.

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