Running your trucking business is no easy task, there are so many different demands and requirements. This includes filing and distributing Forms W-2 and 1099-NEC each year.
If you employ truck drivers or hire them as independent contractors, you are required to file Forms W-2 with the Social Security Administration (SSA) and/or 1099-NEC Form with the IRS.
If you fail to file as needed, you can risk your business’ IRS compliance and cause difficulty for your drivers when it comes time for them to file their own taxes.
Don’t worry, we’ve got you covered! Our sister product TaxBandits can help you e-file your Forms W-2 and 1099, they’re the experts!
Here’s a quick rundown of everything you need to know about Forms 1099-NEC and W-2.
When are the Form W-2 and 1099-NEC Deadlines?
The IRS and SSA require that employers file Forms 1099-NEC and W-2 and distribute copies to their employees and independent contractors. The deadline to do this is January 31, 2022.
What is Form W-2?
The Form W-2 is a wage tax form that reports the wages you paid to your employees and the taxes that you withheld from their pay. This includes social security, Medicare, and income taxes.
Your employees need a copy of their Form W-2 in order to complete their own personal taxes and properly report their income to the IRS.
What is Form 1099-NEC?
Businesses should report all non-employee compensation using Form 1099-NEC for the 2021 tax year. The deadline to file and distribute Form 1099-NEC is also January 31, 2022.
If your drivers are independent contractors rather than full-time employees on your payroll, you will need to complete Form 1099-NEC instead of a W-2 Form, if you paid them $600 or more
It is still very important that you provide your independent contractors with a copy of their Form 1099-NEC, as they will need this information to report their income when filing their taxes.
Check Out TaxBandits!
TaxBandits also helps you fulfill your federal and state e-filing requirements for Forms 1099-NEC, W-2, and many more IRS tax forms including other 1099 forms, the 94x Series forms, and ACA Forms.
TaxBandits has easy options for handling your recipient copies. When you select our postal mailing services, we ensure that all of your forms are printed and mailed to USPS Validated addresses.
You can also choose online Tax Form Access. This allows your employees to view and download their forms at any time through a secure portal.
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