Penalties to Rise for Incorrectly Filed Information Returns

Posted on: July 27, 2015

The article below is from the Bureau of National Affairs regarding increased fees for incorrect filed forms.

 

Penalties for failing to file correct information returns, such as Forms W-2, are to increase, effective Jan. 1, 2016, as part of the Trade Preferences Extension Act of 2015 (Pub. L. 114-27), which was signed June 29 by President Barack Obama. The penalty for each form is to increase to $250 from $100, with the maximum total annual amount imposed increasing to $3 million from $1.5 million, according to the law. If the return that is to be filed with the Internal Revenue Service is corrected within 30 days, the penalty is to increase to $50 from $30 and the maximum total amount is to increase to $500,000 from $250,000. The penalty for forms corrected by Aug. 1 is to rise to $100 from $60, with the maximum total amount rising to $1.5 million from $500,000.

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