IRS Tax Filing Deadline Passed: The January 31, 2026 tax reporting deadline for several important employer and business tax forms has now passed. This deadline applied mainly to information returns that report wages and nonemployee payments. Businesses that failed to file on time, submitted incorrect forms, or did not send copies to workers and contractors may now face financial penalties. The amount of the penalty depends on how late the forms are filed and whether the mistake is corrected quickly.

Which Tax Forms Were Due by January 31

Employers were required to submit Form W-2, which reports an employee’s yearly wages and the amount of federal, Social Security, Medicare, and applicable state taxes withheld. A copy of this form must also be provided to each employee so they can complete their personal tax return. Along with W-2, employers must also file Form W-3, which summarizes the total wages and taxes reported across all W-2 forms and is sent to the proper authority along with them.

Businesses also had to file Form 1099-NEC for nonemployees such as independent contractors and freelancers. This form reports payments of $600 or more made for services during the year. Contractors must also receive their own copy so they can report their income correctly.

Why Penalties Are Now Being Charged

Penalties can apply when required forms are filed late, contain major errors, or are not delivered to recipients on time. Companies that requested an official 30-day extension using Form 8809 before the deadline may still have extra time, but those that did not request an extension are now considered late. The penalty is charged per form, not per business, which means costs can rise quickly for larger payrolls.

Penalty Amounts Increase Over Time

The penalty amount grows the longer the delay continues. Smaller penalties apply if the correct form is submitted within 30 days after the deadline. Higher amounts apply after that period and increase again after August 1. In cases where there is intentional disregard of the filing rules, the penalty is much higher and there is no maximum limit. Separate penalties may also apply for failing to send copies to workers or contractors. Interest is added until the balance is paid.

Payment Options If You Cannot Pay Immediately

Businesses that cannot afford to pay penalties right away are generally advised to pay as much as possible first and then request a payment plan. This can help reduce additional interest and collection action.

Disclaimer: This article is for general informational purposes only and is not official tax advice. Rules and penalty amounts may change. Always verify details with official IRS sources or a qualified tax professional.