Upcoming Tax Reporting and Compliance Returns: What’s Due in January 2018

Tax season commences soon – let’s review some upcoming tax reporting and compliance returns that are due in January of 2018.

January 16, 2018

Form 1040-ES: Estimated Tax Payment (4th Quarter 2017)
If you don’t pay your income tax obligations through withholding because you are self-employed or are otherwise required to pay quarterly estimated taxes, be sure to postmark your fourth payment before the January 16th deadline.

Note that if you file your 2017 income tax return and pay your entire balance with that return by January 31st, you do not need to file a fourth quarter Form 1040-ES or make that payment separately.

January 31, 2018

W-2s and 1099s
Employers are obligated to prepare annual reports to people who did work for them during the course of the previous year. These reports (W-2s and 1099-MISCs) are used by employee and non-employee workers (independent contractors and other outside businesses who received $600 or more last year) to prepare their personal and business income tax returns.

In an effort to fight tax fraud and identity theft, last year the IRS moved up the filing date for these forms to January 31st. Earlier W-2 and Form 1099-MISC submissions make it easier for the IRS to verify the legitimacy of income tax returns at the time they are filed, and to issue refunds to the proper (eligible) taxpayers. Other 1099 forms for interest, dividends, and certain other kinds of income are also due on January 31st.

Copies of Form W-3 (Transmittal of Wage and Tax Statements), along with all Forms W-2 must be e-filed or mailed to the Social Security Administration. Copies of Form 1096 (Annual Summary and Transmittal of U.S. Information Returns), along with all 1099 and 1099-MISC forms, must be submitted to the IRS.

Other Required Employer Reporting: Payroll and Non-Payroll
Employers must report on all federal income tax and Social Security/Medicare taxes that have been withheld from their employees’ wages:

  • Form 940: 2017 Federal Unemployment Tax Report and FUTA tax payment – payments that fund unemployment compensation for jobless workers.
  • Form 941: Employer’s Quarterly Federal Tax Return (4th Quarter 2017) to report federal income tax withholding amounts and FICA taxes (Social Security and Medicare).
  • Form 943: Employer’s Annual Federal Tax Return for Agricultural Employees for wages subject to Social Security/Medicare taxes or federal income tax withholding paid to farmworkers.
  • Form 944: Employer’s Annual Federal Tax Return instead of Form 941, for smaller employers with $1,000 or less in Social Security/Medicare and withheld federal income tax liabilities for the entire previous year who have been previously notified in writing by the IRS.
  • Form 945: Annual Return of Withheld Federal Income Tax to report nonpayroll income tax, if any, from pensions, military retirement, gambling winnings, Indian gaming profits, backup withholding and voluntary withholding on certain government payments.

For assistance with all of your tax filing needs, contact the tax preparation team at Moskowitz, LLP today.