Do You Have to File All Your W2s in the Same Year?
Unravel the complexities of reporting all your income and withholdings for tax season. Ensure accurate tax filing by understanding W-2 requirements.
The Form W-2, Wage and Tax Statement, is a central document for income tax filing. It reports the wages you earned and the taxes your employer withheld throughout the year. Taxpayers often wonder about handling multiple W-2s, particularly whether all of them are necessary for accurate filing.
Understanding Your W-2 Form
An employer issues a Form W-2 to each employee by January 31. This form reports annual wages and the amount of federal, state, and local taxes withheld. The W-2 also includes information about other compensation, such as tips, and contributions to certain benefits like 401(k) plans.
Key details are found in specific boxes on the W-2. Box 1 shows your total taxable wages, tips, and other compensation. Box 2 indicates the total federal income tax withheld by your employer. Other boxes provide information regarding Social Security and Medicare wages and taxes withheld, which are used to calculate future benefits.
How W-2 Information is Used for Tax Filing
The information on your W-2 forms is used to prepare your annual income tax return. While you do not physically attach your W-2 forms to an electronically filed return, the data from each W-2 must be accurately entered. The Internal Revenue Service (IRS) and the Social Security Administration (SSA) receive copies of your W-2 directly from your employer.
This direct reporting allows the IRS to cross-reference the income and withholding amounts you report with the information provided by your employers. Your total income and the sum of all taxes withheld are aggregated from all W-2s received. This combined data then determines your overall tax liability or potential refund.
Scenarios Involving Multiple W-2s
It is common for individuals to receive multiple W-2 forms in a single tax year, especially if they changed jobs or held more than one concurrently. Each employer is required to issue a separate W-2 detailing the wages paid and taxes withheld. This applies even if an individual worked for a particular employer for only a portion of the year.
When preparing a tax return, include the income and withholding information from every W-2 received. Tax preparation software or a tax professional will combine these figures from all your W-2s to accurately calculate your total taxable income and total taxes withheld. Failing to report all W-2s can result in discrepancies with IRS records.
What to Do if a W-2 is Missing or Wrong
If you have not received your W-2 by January 31, or if you find errors, take action. First, contact your employer’s payroll or human resources department to request the missing form or a corrected one. Employers are required to issue Form W-2c, Corrected Wage and Tax Statement, to rectify inaccuracies on a previously submitted W-2.
If you cannot obtain the necessary W-2 or W-2c from your employer by the end of February, contact the IRS for assistance. The IRS can reach out to your employer to request the missing document. If you still cannot obtain the correct W-2 in time to file your return, you may use Form 4852, Substitute for Form W-2, Wage and Tax Statement. This form allows you to estimate your wages and withheld taxes based on pay stubs or other records.