2016 has rolled in and with it comes another tax season. For CPAs and accountants this can be a grueling few months, however, with the right staff and the proper mindset we can cultivate a productive and cooperative working atmosphere which will lead to a rewarding tax season for all.
As each of us – businesses and individuals go through the process of preparing for taxes, here are a few dates to not let escape you:
During January
All Employers – Give your employees their copies of Form W-2 for 2015 by February 1, 2016. If an employee agreed to receive Form W-2 electronically, post it on a website accessible to the employee and notify the employee of the posting by February 1.
All Businesses – Give annual information statements to recipients of certain payments you made during 2015. You can use the appropriate version of Form 1099 or other information return. Form 1099 can be issued electronically with the consent of the recipient.
January 15
Individuals – Make a payment of your estimated tax for 2015 if you did not pay your income tax for the year through withholding (or did not pay in enough tax that way). Use Form 1040-ES. This is the final installment date for 2015 estimated tax. However, you do not have to make this payment if you file your 2015 return (Form 1040) and pay any tax due by February 1, 2016.
Employers – Social Security, Medicare, and withheld income tax. If the monthly deposit rule applies, deposit the tax for payments in December 2015.
Employers – Nonpayroll Withholding. If the monthly deposit rule applies, deposit the tax for payments in December 2015.
Farmers and Fishermen – Pay your estimated tax for 2015 using Form 1040-ES. You have until April 18 to file your 2015 income tax return (Form 1040). If you do not pay your estimated tax by January 15, you must file your 2015 return and pay any tax due by March 1, 2016, to avoid an estimated tax penalty.
February 01
Individuals – who must make estimated tax payments. If you did not pay your last installment of estimated tax by January 15, you may choose (but are not required) to file your income tax return (Form 1040) for 2015. Filing your return and paying any tax due by February 1, 2016 prevents any penalty for late payment of last installment. If you cannot file and pay your tax by February 1, file and pay your tax by April 18.
Businesses – Give annual information statements to recipients of 1099 payments made during 2015.