Miss the Paper Filing Deadline?

As many of our regular readers should know (we’ve only been posting about it all month), the paper filing deadline form 1099 and W-2 forms was this past Monday, February 29. For e-filers, it was just another Monday. But for scrambling, procrastinating paper filers, it was a Monday for the books.

Unfortunately, when it comes to leaving tasks until the last minute, other things tend to get in the way. And a lot of the time, only the very best of task-jugglers can pull off multiple last minute to-dos right before their deadlines. So what to do if you missed the paper filing deadline this past Monday?

First of all, don’t fret. If you’re not opposed to e-filing, just think of this as missing the practice test (that doesn’t count towards your grade) before the real exam. Sure, it might have helped to have gotten it done, but you’ve still got another chance to provide the information you have to the IRS.

If you decide to e-file instead of sending in your paper forms late, you don’t have to notify the IRS. All you have to do is e-file your forms by March 31, 2016. See? There're an extra 29 days to file without having to do anything at all! And you were going to start fretting.

BUT - and this is an MC Hammer sized “but” - if you’re staunchly against e-filing, you’ll need to complete and send in your paper forms AS SOON AS POSSIBLE because the IRS penalties have already begun.

You see, the IRS fines you for late forms based on when the forms are eventually, correctly, filed. If you get your forms filed within the first 30 days after your deadline (so, by March 29), you’ll only owe $50 per form. If you miss the 30-day deadline but file before August, your penalty goes up to $100 per form. And if you don’t file until after August 1 (or not at all), the IRS can charge you up to $260 per form. The maximum amount you can be fined by the IRS for late filing is $3,193,000 per year ($1,064,000 for small businesses).

Other than e-filing or paper filing as soon as possible, there’s not much else you can do to fix the fact that you’re filing late. There is, however, a small loophole in this whole late-filing-penalty-incurring process. Straight from the horse’s mouth (a.k.a. the IRS website):

“The penalty will not apply to any failure that you can show was due to reasonable cause and not to willful neglect...you must be able to show that your failure was due to an event beyond your control...You also must be able to show that you acted in a responsible manner and took steps to avoid the failure.”

In other words, get that excuse ready - and try to be a little more creative than just blaming the dog - because it could be the difference between paying $50 to $260 per form and paying $0 per form.

If you need help getting started e-filing, or have any questions about the tax filing deadlines, feel free to get in touch with ExpressIRSForms’s customer support team in Rock Hill, South Carolina. We offer support by phone, chat, and email, in English or Spanish, and we’re always happy to help!

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The Adventures of Ace and the Evil Paper Cut

Welcome back to the Adventures of Ace, the world’s first e-filing superhero! Unfortunately, in Ace’s absence, the city did not fare as well as Ace reassured himself it would.

Little did Ace know that a villain, more villain-y than Confusion, was lurking on the outskirts of ExpressIRSForms. Biding his time, this ne’er-do-well waited for Ace to leave the city before invading. He infiltrated, slowly at first, but soon gathering enough speed to spread the kind of chaos Confusion has nightmares about.

Ace would recognize that tell-tale smell of toner and __ anywhere. He was an old but disastrous foe: Paper Cut. In addition to mixing up paper filing and e-filing information in taxpayers’ heads, a wave of information return forms followed him, flooding the streets with papers passersby can’t help but try to figure out.

As Ace flew closer, he could hear the screams that meant Paper Cut wasn’t far behind.

“The e-filing deadline’s today! I haven’t even started!” screams one taxpayer.

“I already e-filed but didn’t send in a 1096! Now I’m going to have to pay the IRS!!” screams another.

“Why, why would the IRS require people who file more than 250 forms to paper file?” lamented a third. “I think my hand’s going to fall off!”*

“And I’ve got just the thing!” Ace continued as he flew off.

Returning almost immediately with what appeared to be a giant half-lemon. In fact, it was a giant lemon, cut in half. Flying to where Paper Cut set up his Epicenter of Confusion (a throne made of stacked paper), Ace squeezed the lemon half directly over Paper Cut, sending a wash of lemon juice over him and dissolving his throne.

“I’ll get you for this Ace!” Paper Cut screamed as the deluge of citrusy liquid washed him out of town. “You can’t protect your precious e-filers forever!”

“How’d you know what to do so fast, Ace?” the wide-eyed child of one of the confused taxpayers asked Ace.

“It was easy! There’s NOTHING more detrimental to a paper cut than lemon juice! Now, taxpayers, gather round so I can set the record straight on these paper filing and e-filing requirements.”

And so another day in ExpressIRSForms ends peacefully, thanks to the help of Ace and his giant lemon.



*All of these are common paper filing/e-filing mix-ups! For more information on paper filing, check out our previous blog. And if you have any questions regarding e-filing or filing deadlines, you can always contact one of Ace’s sidekicks here at ExpressIRSForms. We’re available by phone, 704-839-4470, and live chat Mondays through Fridays from 9 a.m. to 6 p.m. EST. We also offer 24/7 email support at support@expressirsforms.com.

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Paper Filing vs. E-filing with ExpressIRSForms

February is a lull of a month for the 1099 and W-2 e-filers. With the recipient deadline behind us, and the IRS e-filing deadline not until March 31, it’s not unusual for e-filers to put their IRS reporting on the backburner. But if you plan to paper file, don’t switch out pans just yet.

The paper filing IRS deadline for 1099s and W-2s is February 29, 2016. That means you have 26 days to fill out all of those little boxes on your paper forms, then print, stamp, and mail them to the IRS. But before you waste all that paper in the name of “that’s how we’ve always done it,” consider your alternative: e-filing.

E-filers Get an Extra Month to File
If you e-file your 1099s or W-2s, your deadline to file with the IRS isn’t until March 31. Whereas if you paper file, your forms need to be into the IRS by the last day of February (since this year’s a leap year, that’s the 29th). You’d think it would be the other way around since paper filing takes more time, but since there’s more to be done on the IRS’s end to process paper forms, they require them a month earlier. Which brings me to my next point…

Paper Filing Takes More Time
Your time is important. And while you understand the importance of reporting your 1099s and W-2s to the IRS, that doesn’t mean you should have to spend a lot of time on it. When you paper file, you have to take the time to gather your information, print all the forms you’ll need, fill out those forms perfectly (otherwise you’ll get a fine), package them up and stamp them, then send them through the mail. And heaven forbid you make an error: you’ll have to wait on your mailed notice from the IRS, then fill out more forms to correct it, starting the process all over again.

When you e-file with a site like ExpressIRSForms, there’s nothing to print, stamp, or mail. You just sign in, create a new form, enter in your information, then hit transmit. You’ll get email confirmations when you transmit, when the IRS receives your form(s), and when they’re processed and accepted or rejected. And if you need to make any corrections, you just log into your account, find the form, correct it, and retransmit for free. Sounds much easier, doesn’t it?

E-filing Leaves Less Room for Error
Based on research the IRS has done, just less than 1% of e-filers make the common errors that result in penalties that 25% of paper filers make. If you paper file, your best bets for having someone double check your forms before you file are: taking your forms to a CPA (and paying their fee), taking your forms to a local IRS office (and waiting in line), or having your coworker who took an upper level accounting class in college look them over (and probably still making the same mistakes). With ExpressIRSForms, your forms go through a series of error checks before you transmit to make sure you file everything correctly the first time around.

Paper Filers May Have to E-file Anyway
Like it or not, if you have 250 or more of either the 1099 or W-2 forms to file, the IRS requires you e-file them. This is just as much for your convenience as it is theirs. I mean, have you ever tried to fill out over 250 forms? Stubbornness won’t pay out here either: if you paper file more than 250 of one form, the IRS will fine you for it.

ExpressIRSForms E-filers Get the Best Support Team in the Nation
Here all year long instead of just during tax season, the ExpressIRSForms support team is happy to answer any of your 1099, W-2, ACA, and W-9 e-filing questions. Located in Rock Hill, South Carolina, we offer support in English and Spanish, by phone, live chat, or email. You can send us a live chat or give us a call (704-839-2270) Monday through Friday, 9 a.m. to 6 p.m. EST, or send us an email 24/7 at support@expressirsforms.com.

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