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Disclaimer: This article is for informational purposes only and reflects IRS guidelines current as of May 13, 2025. Tax laws and filing requirements may change, so we recommend consulting the latest IRS resources or a licensed tax professional to ensure compliance with current regulations. This content does not constitute legal or tax advice.
Last Updated on May 13, 2025
Table of Contents
- Introduction
- W-2 Filing Requirements For Employers
- Why The IRS No Longer Offers Automatic W-2 Extensions
- What Other IRS Forms Are Affected?
- How To File An Extension For Taxes With IRS Form 8809: Step-by-Step Instructions
- Frequently Asked Questions (FAQS): W-2 Filing Extension For Employers
Introduction
Tax season can be overwhelming, especially when you're managing payroll, year-end reports, and compliance deadlines all at once. If delays keep you from submitting employee W-2 forms by January 31, you may be able to file a W-2 tax extension through the IRS, if you meet specific criteria.
This guide breaks down what employers need to know about requesting a W-2 filing extension, how to file Form 8809, and how to avoid late-filing penalties.
W-2 Filing Requirements For Employers
The W-2 form, also known as the Wage and Tax Statement, reports wages paid and taxes withheld for each employee over the calendar year. Employers should file W-2 forms with both the IRS and the Social Security Administration (SSA), as well as provide copies to their employees.
Under normal circumstances, employers must:
- File Copy A of each employee’s W-2 to the SSA by January 31
- Provide Copies B, C, and 2 to employees by January 31
- File a W-3 form, summarizing all W-2’s to the SSA
Most employers file W-2s electronically through the SSA’s Business Services Online (BSO) portal. If you’re filing 10 or more W-2s, the IRS requires you to file them electronically as of 2023.
Late W-2 filings may result in penalties ranging from $60 to $330 per form, depending on how late they are submitted. However, you can avoid the penalty by requesting a tax extension as soon as you anticipate delays.
Managing W-2s, deadlines, and IRS forms doesn’t have to be stressful.
“Identity theft and refund fraud is a persistent and evolving threat to the nation’s tax system. It places an enormous burden on the United States Government, with the most painful and immediate impact being on the victims whose personal information is used to commit the crime and the most pervasive impact being an erosion of public confidence in the tax system.” — Treasury Department in new regulations |
Why The IRS No Longer Offers Automatic W-2 Extensions
The rules for filing an extension for taxes have significantly changed in recent years.
Before 2016, the IRS allowed a 30-day automatic extension for W-2 filings with an option to request an additional 30 days, giving them up to 60 extra days to complete their filings. It was also relatively simple to file a tax extension, and the request was approved without much scrutiny.
However, the IRS updated its policies in 2016, and the rules have changed:
- W-2 extensions are no longer granted automatically
- Employers must submit Form 8809 to request a single 30-day extension
- Extensions are granted only in limited situations, such as:
- Natural disasters
- Serious illness
- Fire or data loss
Important: Filing Form 8809 doesn’t guarantee approval. If the IRS denies your extension and you file late, you still may face penalties, even if you submitted the request on time.
The shift towards tighter extension rules is part of a broader effort by the IRS to curb identity theft and refund fraud. According to a 2016 IRS bulletin, W-2 data was being exploited by fraudsters to file fake returns and claim refunds early in the season. So, by accelerating the deadline and limiting extensions, the IRS is aiming to close that window of opportunity.
Staying ahead of tax deadlines is easier with the right tools. Excelforce makes payroll, year-end filings, and compliance simpler for your team.
What Other IRS Forms Are Affected?
In addition to W-2s, the following information returns are now subject to the same stricter extension process:
- Forms in the 1099 series (e.g., 1099-NEC, 1099-MISC)
- Form 1042-S
- Form 3921
- Form 3922
- Form 8027
These Affordable Care Act (ACA) reporting forms are also affected.
- Form 1094-C
- Form 1095-B
- Form 1095-C
However, the new extension rules do not apply to Form 1095-A (Health Insurance Marketplace Statement).
How To File An Extension For Taxes With The IRS Form 8809: Step-by-Step Instructions
If you’re unable to meet the W-2 deadline, you should quickly request a tax extension.
Here’s how:
Step 1: Download IRS Form 8809 (Application for Extension of Time to File Information Returns)
Make sure you’re using the most up-to-date version of the form, which can be downloaded from the IRS website.
Step 2: Fill out the form
Check the box for a “First Request” under the “Type of Return” section and provide an acceptable reason for the delay, such as a natural disaster, serious illness, or unavoidable circumstances.
Step 3: Submit the IRS extension form electronically or by mail
You can submit the form in one of two ways:
- Electronically via the Filing Information Returns Electronically (FIRE) system
- By mail, using the address listed on the Form 8809 instructions
Important: Make sure you submit the extension form on or before January 31 to be considered for approval.
Once you’ve submitted the form, you’ll receive a confirmation if your tax deadline extension request is accepted. However, approval doesn’t mean you should pause your preparation. Use the extra 30 days to finalize your W-2s and avoid further issues.
The rules are stricter, but you don't have to do it alone.
Frequently Asked Questions (FAQs): W-2 Filing Extension For Employers