IRS Pub 1179: Rules for Substitute W-2 & W-3 Forms

IRS Publication 1179 is a technical guide for businesses, payroll companies, and software developers who design and print their own versions of various IRS information returns. While Publication 1179 covers a broad range of documents, the specific rules for wage-related forms are detailed in a separate document, Publication 1141, “General Rules and Specifications for Substitute Forms W-2 and W-3.”

These publications exist because the Social Security Administration (SSA) and the IRS use automated scanner equipment to process millions of paper forms. For this technology to work correctly, every submitted form must be an exact replica of the official version in layout, dimension, and content. This guidance ensures that privately printed, or “substitute,” forms are fully compliant and can be processed efficiently, preventing delays and potential penalties for the filer.

Key Specifications for Substitute Forms

The physical characteristics of substitute forms are defined to ensure scannability. For Copy A of Form W-2 and the transmittal Form W-3, substitute forms must be exact replicas of the official government-printed versions. Key specifications include:

• Paper for Copy A must be white, 18-lb. weight or higher, measure either 8 x 11 inches or 8.5 x 11 inches, and be free of any carbon spots on the back.
• The Social Security Administration only accepts black-and-white versions of substitute forms for approval, and the ink for data entry must be black and non-reflective.
• The layout must precisely match the official IRS version, with margins of at least 1/2 inch on all sides to prevent data from being cut off during processing.
• The font must be a standard, legible typeface, like OCR-A, that is easily recognized by optical character recognition software to avoid processing errors.
• Each box must contain the exact information required by the official form instructions, such as the specific letter codes in Box 12. The use of logos or advertisements is heavily restricted.

The Official Submission and Approval Process

Before a substitute Form W-2 or W-3 can be used, it must undergo a formal approval process with the Social Security Administration. This process ensures that the privately printed form meets all the technical specifications required for automated processing. Filers cannot simply create a form and begin using it; they must first receive explicit permission from the agency.

To seek approval, the creator of the substitute form must mail a submission package to the Social Security Administration. This package should include actual-size proofs of the forms, both for the W-2 (Copy A) and the W-3, along with a cover letter providing contact information.

While the SSA accepts submissions for review throughout the year, it is advisable to send them well in advance of when they will be needed. The SSA does not provide a specific turnaround time, so early submission prevents potential delays that could impact timely filing obligations.

Upon successful review, the SSA will issue a formal letter of approval. This letter confirms that the substitute forms meet the required specifications and are acceptable for filing. This approval is valid for only one tax year, and because forms and specifications can change, a new approval must be obtained for each tax year.