2018 W-2/W-3

What to know for the 2018 W-2/W-3 forms:

- Vacation/Sick/Personal Leave can be donated to a registered non-profit. It is not income to the donor.

- Moving expense reimbursement from an employer cannot be excluded from income.

- Sinai Peninsula of Egypt income is combat zone income.

- Qualified equity grants are reportable.

- Penalties for non-filing have been adjusted up for inflation.

- SSA filing deadline is January 31 2019. One 30-day extension may be requested.

- FSA limit is $2650.

- Additional Medicare tax is due for income over $200000. Some Medicaid waiver payments are excludable from income.

- BSO can be used to correct wage reports.

- Disability for victims of terrorist attacks are not included in income.

- Form 1099-R should be used to report 457(b) distributions.

- Employees with no income tax withholding may claim a refund because of EIC and must be notified so by the employer.

- Copies B/C/2 of the W-2 may be furnished electronically to employees.

- A processor submitting more than 250 forms must e-file. Form 8508 is available for the e-file requirement waiver.

- Forms can be distributed to employees prior to being submitted to SSA.

- BSO auto generates W-3s.

- More info can be found in the instructions for the Military spouses residency relief act.

- NQDC amounts must be included in income unless certain requirements are satisfied.

- Employer sponsored health coverage must be reported.

- Severance payments are taxable.

- Guidelines for forms W-2/W-3 substitutes can be found in Pub 1141; for forms W-2C/W-3C can be found in Pub 1223.

- More info can be obtained by calling one of the following helplines: 800-772-6270, 888-772-2970, 212-264-1462, 510-970-8247, 866-455-7438, TTY/TDD 304-579-4827.


* Note that the above apply to income in year 2018.


We have 5 W-2 and 10 W-3 red ink 2018 copies on hand. Contact us for more info on how to have your forms filed.



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United States