Form 4070, "Employee's Report of Tips to Employer," is typically submitted monthly by employees who receive tips.

Key Points on Filing Frequency:

• The form must be submitted by the 10th day of each month for the tips received in the previous month.

• For example, tips earned in March must be reported by April 10th.

• If the 10th falls on a weekend or holiday, the due date moves to the next business day.

Who Needs to File?

Employees who receive $20 or more in tips per month must report them to their employer using Form 4070.

Would you like more details on employer responsibilities regarding tip reporting?

If you received $20 or more in tips during previous month, report them to your employer. You can use Form 4070.

Employers of Tipped Employees Must Request the Employee’s Tip Report to the Employer.

PENALTY.

• 20% Accuracy-Related Penalty – IRC Sec. 6662

• Up to 25% for Late Payment – IRC Sec. 6651

• Up to 5 Years in Prison for Fraud – IRC Sec. 7201-7203 & 18 USC Sec. 371

📅 April 1, 2025 – Annual Report Filings Due in Select States

Certain U.S. states require business entities to submit Annual or Biennial Reports by April 1, 2025, to maintain compliance and good standing. This requirement applies to specific entity types depending on the state.

🏛️ DISTRICT OF COLUMBIA (D.C.)

• Who must file: All entities (LLCs, Corporations, LPs, etc.)

• Form: BRA-25 – Annual Report

• Filing method: Online through DCRA's CorpOnline Portal

• Late consequences: Penalties and risk of administrative dissolution

🍑 GEORGIA

• Who must file: All entities

• Filing method: Annual Registration via Georgia Corporations Division

• Consequence of non-filing: $25 late fee and possible administrative dissolution

🌽 IOWA

• Who must file: LLCs and LPs

• Report type: Biennial Report, due every odd-numbered year

• Due date: April 1, 2025

• Consequence: $60 reinstatement fee if not filed on time

🌊 MISSISSIPPI

• Who must file: All business entities (LLCs, corporations, etc.)

• Filing method: Online with the Mississippi Secretary of State

• Penalty: Risk of administrative dissolution for non-compliance

🌾 NEBRASKA

• Who must file: LLCs and LLPs

• Report type: Biennial Report (odd-numbered years)

• Due date: April 1, 2025

• Additional requirement: Some may need to file an Occupation Tax Report

• Consequence: Loss of good standing

❄️ NORTH DAKOTA

• Who must file: LPs and LLPs

• Form: Annual Report

• Filing method: North Dakota Secretary of State’s FirstStop portal

• Consequence: Risk of revocation of business registration

🌲 VERMONT

• Who must file: LPs

• Form: Annual Report

• Due date: April 1, 2025

• Penalty: Late filing fees and risk of administrative action

🏦📅 March 31, 2025 – IRS Electronic Filing Deadline for Account Custodians & Trustees

Financial institutions and plan administrators must electronically file these forms by March 31, 2025, to report distributions from education savings accounts, retirement plans, and medical savings accounts.
The paper filing deadline was February 28, 2025.

These forms are crucial for recipients to report taxable or non-taxable distributions, and for the IRS to verify compliance with account usage rules.

🧾 Form 1099-Q – Payments from Qualified Education Programs (529 or Coverdell ESA)

🔍 What is it?

Reports distributions made from 529 college savings plans and Coverdell Education Savings Accounts (ESA).

🏦 Who files it?

• Custodians or program administrators of 529 or ESA plans.

📥 What information does it include?

• Total amount distributed

• Earnings portion and basis portion

• Beneficiary and account owner details

💡 Why it matters:

If funds are used for qualified education expenses, the distribution is generally not taxable. Otherwise, earnings may be subject to tax and penalties.

🧾 Form 1099-R – Distributions from Retirement Accounts & Annuities

🔍 What is it?

Used to report distributions from:

• Pensions

• Annuities

• 401(k) or other retirement plans

• IRAs

• Profit-sharing plans

• Insurance contracts

🏦 Who files it?

• Plan administrators, financial institutions, or insurance companies issuing distributions.

📥 What information does it include?

• Gross distribution amount

• Taxable amount

• Type of distribution (coded)

• Federal and state income tax withheld (if any)

💡 Why it matters:

Taxpayers must report this income on their tax return. Some or all of the distribution may be taxable, depending on the account type, age, and reason for withdrawal.

🧾 Form 1099-SA – Distributions from HSA, Archer MSA, or Medicare Advantage MSA

🔍 What is it?

Reports withdrawals from:

• Health Savings Accounts (HSAs)

• Archer Medical Savings Accounts (MSAs)

• Medicare Advantage MSAs

🏦 Who files it?

• Trustees or custodians of the medical savings accounts.

📥 What information does it include?

• Total distribution amount

• Distribution code (qualified or non-qualified)

• Fair market value of the account

💡 Why it matters:

Distributions used for qualified medical expenses are not taxable.
Non-qualified distributions are subject to income tax and an additional penalty.

🛡️📅 March 31, 2025 – IRS Electronic Filing Deadline for Insurance Companies

Insurance companies and life settlement providers must electronically file these forms with the IRS by March 31, 2025, reporting life insurance-related transactions and benefits.
The paper deadline was February 28, 2025.

These forms help the IRS monitor taxable events related to life insurance contracts, long-term care benefits, and policy sales.

🧾 Form 1099-LS – Reportable Life Insurance Sale

🔍 What is it?

Reports the sale or transfer of a life insurance policy for valuable consideration in a reportable policy sale (e.g., a life settlement).

🏢 Who files it?

• Acquirers of life insurance contracts in a reportable policy sale (e.g., settlement providers or investors).

📥 What information does it include?

• Identity of the seller

• Sale amount

• Policy information

• Insured party

💡 Why it matters:

This form is used to determine the taxability of the sale proceeds for the seller. Proceeds above the seller’s basis may be taxable income.

🧾 Form 1099-LTC – Long-Term Care and Accelerated Death Benefits

🔍 What is it?

Reports benefits paid under:

• Long-term care (LTC) insurance contracts, or

• Accelerated death benefits paid from a life insurance policy due to terminal or chronic illness.

🏢 Who files it?

• Insurance companies issuing LTC benefits or accelerated death benefit payments.

📥 What information does it include?

• Amount of benefits paid

• Whether payments were periodic or per diem

• Insured and policy details

💡 Why it matters:

These benefits are generally tax-free, but must be reported to the IRS to confirm eligibility and track annual benefit limits.

🧾 Form 1099-SB – Seller’s Investment in a Life Insurance Contract

🔍 What is it?

Filed when the issuer of a life insurance policy is notified that the policy has been sold in a reportable policy sale.

🏢 Who files it?

• The insurance company that issued the policy.

📥 What information does it include?

• The seller’s investment in the contract (basis)

• Policy details

• Sale date

💡 Why it matters:

This form provides the buyer and IRS with the seller’s cost basis, which is used to determine gain or loss on future taxable events related to the policy.

📅🗂️ March 31, 2025 – IRS Electronic Filing Deadline for Miscellaneous Payers

Entities like government agencies, health coverage administrators, and payment platforms must electronically file these 1099 forms with the IRS by March 31, 2025.
The paper deadline was February 28, 2025.

These forms help the IRS track government benefits, health credit payments, and income earned via digital platforms or merchant transactions.

🧾 Form 1099-G – Certain Government Payments

🔍 What is it?

Used by government agencies to report payments such as:

• Unemployment compensation

• State or local income tax refunds

• Agricultural payments

• Grants or subsidies

🏛️ Who files it?

• Federal, state, or local government agencies.

📥 What information does it include?

• Payment recipient

• Type and amount of payment

• Whether the payment is taxable

💡 Why it matters:

Recipients must report this income on their tax returns. For example, unemployment income is taxable, and state tax refunds may be taxable if the recipient itemized deductions in the prior year.

🧾 Form 1099-H – Advance Payments of the Health Coverage Tax Credit (HCTC)

🔍 What is it?

Reports advance payments of the Health Coverage Tax Credit (HCTC), made on behalf of eligible individuals to health insurance providers.

🏥 Who files it?

• Health plan administrators receiving advance monthly payments from the IRS on behalf of participants.

📥 What information does it include?

• Amount of premiums paid

• Months of coverage

• Beneficiary information

💡 Why it matters:

The IRS uses this form to reconcile advance HCTC payments with what taxpayers are eligible to claim on their tax return.

🧾 Form 1099-K – Payment Card and Third-Party Network Transactions

🔍 What is it?

Reports gross payment transactions made to a payee through:

• Payment cards (e.g., credit/debit cards)

• Third-party networks (e.g., PayPal, Stripe, Venmo, eBay)

💳 Who files it?

• Payment settlement entities, such as banks, merchant service providers, and third-party platforms.

📥 What information does it include?

• Payee’s name and TIN

• Total amount of transactions per month and for the year

• Number of transactions

💡 Why it matters:

Form 1099-K helps the IRS track self-employment income, side business earnings, and sales via platforms.
For 2024 filings, the threshold remains $20,000 and 200 transactions, though lower thresholds may apply in some states and are set to change federally in coming years.

📅🛑 March 31, 2025 – Penalties and Extension Options for Informational Returns

Filing informational returns late, inaccurately, or not at all can lead to civil or criminal penalties under the Internal Revenue Code (IRC).
However, the IRS provides an option to request an extension using Form 8809.

⚖️ PENALTIES FOR NONCOMPLIANCE

🧾 Civil Penalty – IRC Section 6721

This applies if you fail to file correct information returns by the due date without reasonable cause.

• Amount: Up to $630 per return for the 2024 tax year

• Maximum annual penalty: Can reach into the millions for large filers

• Applies to:

  • Failing to file

  • Filing late

  • Filing with incorrect TINs or missing information

  • Filing paper returns when e-filing is required

💡 Graduated Scale: Penalties may be reduced if the return is filed within 30 days or by August 1st.

🚨 Criminal Penalty – IRC Section 7201

For willful failure to file or for fraudulent behavior, criminal charges may apply.

• Charge: Tax Evasion

• Penalty:

  • Up to $100,000 fine for individuals ($500,000 for corporations)

  • Imprisonment for up to 5 years

  • Or both, plus prosecution costs

💡 This is typically reserved for intentional acts such as knowingly avoiding reporting income or filing false documents.

⏳ EXTENSION TO FILE

🧾 Form 8809 – Application for Extension of Time to File Information Returns

If more time is needed to file returns electronically, Form 8809 can be submitted to request an extension.

• Applies to:

  • Forms 1099, 1098, W-2G, 3921, 3922, 5498, and others

• Filing deadline: Must be submitted on or before the original due date (i.e., March 31, 2025 for electronic filers)

⌛ How much time does it grant?

• A 30-day automatic extension for most information returns

• A second 30-day extension may be available, but it’s not automatic (requires justification)

💡 Form 8809 can be filed electronically or by paper, but for bulk filers, electronic is preferred.

💼📅 March 31, 2025 – IRS Electronic Filing Deadline for Lenders & Brokerage Firms

Entities responsible for reporting income, gains, or losses related to loans, interest, or securities must file electronically by March 31, 2025.
The paper filing deadline was February 28, 2025.
These 1099 forms are essential for both individual and business taxpayers to correctly report income and deductions.

🧾 Form 1099-A – Acquisition or Abandonment of Secured Property

🔍 What is it?

Used to report when a lender acquires property from a borrower through foreclosure or repossession, or when a borrower abandons secured property.

💼 Who files it?

• Lenders or government agencies who held the loan secured by the property.

📥 What information does it include?

• Date of acquisition or abandonment

• Balance of the outstanding debt

• Fair market value of the property

💡 Why it matters:

Borrowers may need this to determine if they have a capital gain or loss from the event. The IRS uses it to monitor foreclosures and debt settlements.

🧾 Form 1099-C – Cancellation of Debt

🔍 What is it?

Reports forgiveness or cancellation of $600 or more of debt.

💼 Who files it?

• Lenders, banks, credit unions, credit card companies, or federal agencies.

📥 What information does it include?

• Amount of canceled debt

• Reason for cancellation

• Whether the borrower was personally liable

💡 Why it matters:

Canceled debt is generally considered taxable income unless excluded (e.g., bankruptcy, insolvency).

🧾 Form 1099-INT – Interest Income

🔍 What is it?

Reports interest payments of $10 or more paid to individuals or entities.

💼 Who files it?

• Banks, financial institutions, and lenders who paid interest to account holders or borrowers.

📥 What information does it include?

• Total interest paid

• Early withdrawal penalties

• Federal income tax withheld (if any)

💡 Why it matters:

Taxpayers use this form to report taxable interest income on their returns.

🧾 Form 1099-OID – Original Issue Discount

🔍 What is it?

Reports income from the discount on bonds or other debt instruments originally issued below face value.

💼 Who files it?

• Issuers or custodians of the debt instrument.

📥 What information does it include?

• OID accrued each year

• Issue price and maturity value

💡 Why it matters:

Even though the investor may not receive cash until maturity, they may owe tax each year on accrued OID.

🧾 Form 1099-B – Proceeds from Broker and Barter Exchange Transactions

🔍 What is it?

Used to report sales of stocks, securities, commodities, or other capital assets handled by brokers or barter exchanges.

💼 Who files it?

• Brokerage firms and barter exchanges

📥 What information does it include?

• Description and date of sale

• Sales proceeds and cost basis

• Type of gain or loss (short or long term)

💡 Why it matters:

Taxpayers must report these transactions on Schedule D of their tax return. The IRS uses it to verify capital gains and losses.

🏠📅 March 31, 2025 – IRS Electronic Filing Deadline for Real Estate Holders & Professionals

Real estate professionals, brokers, and title companies must electronically file by March 31, 2025, to report miscellaneous payments and real estate transaction proceeds.
The paper filing deadline was February 28, 2025.

These forms are used to track reportable payments and real estate sales, ensuring the IRS receives accurate income and capital gains information.

🧾 Form 1099-MISC – Miscellaneous Information

🔍 What is it?

Used to report various types of payments, including those often associated with real estate operations, such as:

• Rents (Box 1)

• Royalties

• Other income payments

• Payments to independent contractors (if not reported on 1099-NEC)

• Attorney fees (Box 10)

• Crop insurance proceeds

• Medical and health care payments

🏠 Who files it?

• Property managers, landlords, real estate investors, or any entity paying $600 or more in qualifying miscellaneous payments.

📥 What information does it include?

• Amount paid

• Type of payment

• Recipient’s taxpayer identification number

💡 Why it matters:

The IRS uses it to ensure that individuals and businesses receiving rental or service income report it properly. Failure to issue this form may result in penalties.

🧾 Form 1099-S – Proceeds from Real Estate Transactions

🔍 What is it?

Used to report the gross proceeds from the sale or exchange of real estate, including:

• Land

• Buildings

• Residential, commercial, and industrial properties

• Permanent structures

🏠 Who files it?

• Usually the settlement agent, closing attorney, or title company, though sometimes the real estate broker or mortgage lender may be responsible.

📥 What information does it include?

• Seller’s name and TIN

• Description of property

• Date of sale

• Gross proceeds

💡 Why it matters:

The IRS uses this information to track potential capital gains on real estate transactions. Sellers are required to report this income on their tax returns.
Certain exclusions may apply (e.g. for the sale of a primary residence under IRC §121).

🏢📅 March 31, 2025 – IRS Electronic Filing Deadline for Corporations

Corporations and financial institutions must file electronically by March 31, 2025, if they are required to report changes in ownership or payments of dividends and similar distributions.
The paper filing deadline was February 28, 2025.

These forms help shareholders and the IRS track capital gains, dividend income, and changes in ownership that may impact taxes.

🧾 Form 1099-CAP – Changes in Corporate Control and Capital Structure

🔍 What is it?

Used to report when a corporation undergoes a significant change in control or capital structure that results in shareholders receiving cash, stock, or other property.

🏢 Who files it?

• The corporation, its agent, or a broker involved in the transaction.

📥 What information does it include?

• Shareholder’s information

• Description of the corporate event

• Amount of cash, stock, or property received

• Date of transaction

💡 Why it matters:

Shareholders may need to report capital gains or losses if they receive distributions due to a merger, acquisition, or similar event.
This form ensures the IRS is aware of such events and their potential tax consequences for shareholders.

🧾 Form 1099-DIV – Dividends and Distributions

🔍 What is it?

Used to report dividends and other distributions totaling $10 or more paid to shareholders.

🏢 Who files it?

• Corporations, mutual funds, and financial institutions that pay dividends or capital gains distributions.

📥 What information does it include?

• Total ordinary dividends

• Qualified dividends

• Capital gain distributions

• Federal income tax withheld (if any)

• Section 199A dividends (for pass-through income reporting)

💡 Why it matters:

Taxpayers must report this investment income on their tax returns.
The IRS uses this form to track and match dividend income reported by taxpayers.

🚘⚖️ March 31, 2025 – IRS Electronic Filing Deadline for Vehicle Donations and Fines

Entities required to file these forms must do so electronically by March 31, 2025.
The paper filing deadline was February 28, 2025.
These forms report specific types of transactions that can affect a taxpayer’s deductions or income.

🧾 Form 1098-C – Contributions of Motor Vehicles, Boats, and Airplanes

🔍 What is it?

This form is used to report donations of qualified vehicles (cars, boats, or airplanes) to a qualified charitable organization.

🎯 Who files it?

• Charitable organizations that receive vehicle, boat, or aircraft donations with a claimed value of more than $500.

📥 What information does it include?

• Donor’s name and SSN

• Vehicle details: make, model, year, VIN

• Date of contribution

• Whether the charity sold the vehicle or used it for charitable purposes

• Sale information (if applicable)

💡 Why it matters:

• The donor may claim a charitable deduction based on the sale price or fair market value, depending on how the charity uses the vehicle.

• The IRS requires this form to prevent inflated deductions.

📤 Filing obligations:

• Copy to donor: Due by January 31, 2025

• Filing with IRS electronically: Due by March 31, 2025

🧾 Form 1098-F – Fines, Penalties, and Other Amounts

🔍 What is it?

This form is used to report fines, penalties, or similar amounts paid to a government or regulatory agency when they exceed $600, and an agreement was reached on or after January 1, 2022.

🏛️ Who files it?

• Governments, government agencies, or certain self-regulatory entities (like FINRA) that collect payments in connection with legal violations, investigations, or settlements.

📥 What information does it include?

• Taxpayer’s identifying information

• Total amount paid

• Portions that are:

  • Non-deductible fines or penalties

  • Restitution or remediation payments (potentially deductible)

  • Amounts paid to come into compliance with the law

💡 Why it matters:

• Taxpayers cannot deduct most fines and penalties on their federal tax return.

• However, restitution or corrective payments may be deductible, and this form helps distinguish them.

📤 Filing obligations:

• Copy to the payer (e.g. business or individual): Due by January 31, 2025

• Filing with IRS electronically: Due by March 31, 2025

IRS Electronic Filing Deadline for Mortgage and Retirement-Related Reporting

These forms must be filed electronically with the IRS by March 31, 2025.
If filing by paper, the deadline was February 28, 2025.

They are used to report interest payments, mortgage assistance, and certain annuity contracts—information that is relevant to both the IRS and taxpayers for reporting income, deductions, or credits.

🧾 Form 1098 – Mortgage Interest Statement

🔍 What is it?

Form 1098 reports mortgage interest of $600 or more paid by an individual to a lender during the calendar year.

🏦 Who files it?

• Lenders, mortgage servicers, or financial institutions that received the interest.

• Includes banks, credit unions, and even private lenders if the loan is secured by real property.

💼 What information does it include?

• Borrower’s information

• Mortgage interest received

• Points paid by the borrower

• Outstanding mortgage principal

• Property address

💡 Why it matters:

Taxpayers may be able to deduct mortgage interest on their tax return, if they itemize deductions.

📤 Filing obligations:

• Copy to borrower: Due by January 31, 2025

• IRS electronic filing: Due by March 31, 2025

🧾 Form 1098-MA – Mortgage Assistance Payments

🔍 What is it?

Used to report mortgage assistance payments made under a State Housing Finance Agency (HFA) Hardest Hit Fund or similar program.

🏘️ Who files it?

• The state housing agencies or programs administering these assistance payments.

💼 What information does it include?

• Total mortgage assistance paid on behalf of the homeowner

• Payments made directly to the mortgage servicer

• Other related payments

💡 Why it matters:

Recipients may need to report these payments on their tax return, depending on the type and amount of assistance.

📤 Filing obligations:

• Copy to homeowner/borrower: Due by January 31, 2025

• IRS electronic filing: Due by March 31, 2025

🧾 Form 1098-Q – Qualifying Longevity Annuity Contract (QLAC) Information

🔍 What is it?

Reports information on QLACs — special types of deferred income annuities purchased with retirement plan funds or IRAs that begin payments at an advanced age (up to age 85).

💼 Who files it?

• Insurance companies or annuity providers that issue QLACs.

📥 What information does it include?

• Owner’s identity and account details

• Contract issuance date

• Amount invested in the annuity

• Required beginning date for distributions

💡 Why it matters:

QLACs are excluded from Required Minimum Distribution (RMD) calculations until payouts begin, offering a tax deferral benefit for retirement planning.

📤 Filing obligations:

• Copy to annuity holder: Due by January 31, 2025

• Filing with IRS electronically: Due by March 31, 2025

🎓 March 31, 2025 – IRS Electronic Filing Deadline for Educational Institutions and Loan Servicers

This deadline applies only to entities that file these forms electronically.
If filed on paper, the due date was February 28, 2025.

These forms help taxpayers claim education-related tax benefits, such as the American Opportunity Credit, Lifetime Learning Credit, or the student loan interest deduction.

🧾 Form 1098-E – Student Loan Interest Statement

🔍 What is it?

Form 1098-E reports the amount of interest paid on qualified student loans during the tax year.

💼 Who files it?

• Typically, student loan servicers or lenders, such as banks, federal loan providers, or educational institutions that issue loans.

• Must file if a borrower paid $600 or more in qualified student loan interest during the year.

📥 What information does it include?

• Borrower’s name and Social Security Number

• Loan interest paid in the tax year

• Lender/servicer’s contact details and TIN

💡 Why it matters:

Taxpayers may be able to deduct up to $2,500 in student loan interest on their federal tax return, depending on income and filing status.

📤 Filing obligations:

• Copy to borrower: Due by January 31, 2025

• Filing with IRS:

  • Paper: February 28, 2025

  • Electronic: March 31, 2025

🧾 Form 1098-T – Tuition Statement

🔍 What is it?

Form 1098-T is used by eligible educational institutions to report tuition payments and related expenses made on behalf of students during the calendar year.

🏫 Who files it?

• Colleges, universities, and other postsecondary institutions that are eligible to participate in federal student aid programs.

• Required to file for students enrolled for any academic period during the tax year.

📥 What information does it include?

• Student’s name and SSN

• Amounts billed or paid for qualified tuition and related expenses

• Scholarships or grants received

• Whether the student was at least half-time or in a graduate program

💡 Why it matters:

Students or their parents may use this form to claim:

• The American Opportunity Credit (up to $2,500/year for undergraduates)

• The Lifetime Learning Credit (up to $2,000/year for postsecondary education)

📤 Filing obligations:

• Copy to student: Due by January 31, 2025

• Filing with IRS:

  • Paper: February 28, 2025

  • Electronic: March 31, 2025

Esta fecha aplica cuando los formularios 3921 y 3922 se presentan electrónicamente ante el IRS. Si se presentan en papel, el deadline fue el 28 de febrero de 2025.

Estas declaraciones informativas son obligatorias para ciertos planes de acciones ofrecidos a empleados y deben presentarse cada año calendario en que haya transacciones relevantes.

🧾 Formulario 3921 – Ejercicio de una Opción de Compra de Acciones de Incentivo (ISO) – Sección 422(b)

• ¿Qué reporta?
  El formulario 3921 reporta cada vez que un empleado ejerce una opción de compra de acciones calificadas como "Incentive Stock Options (ISO)", que están reguladas bajo la sección 422(b) del Código Fiscal de EE.UU.

• ¿Quién lo presenta?
  El empleador (o la corporación emisora de las acciones) debe presentar este formulario al IRS y entregar una copia al empleado.

• ¿Qué información incluye?

  • Nombre del empleado

  • Fecha de otorgamiento y de ejercicio

  • Precio de ejercicio

  • Valor justo de mercado en la fecha de ejercicio

  • Número de acciones adquiridas

• Importancia fiscal:
  Aunque el ejercicio de ISOs no genera ingreso ordinario al momento de ejercerse (si se cumplen ciertos requisitos), puede tener impacto en el Alternative Minimum Tax (AMT) del empleado.

🧾 Formulario 3922 – Transferencia de Acciones Bajo un Plan de Compra de Acciones para Empleados (ESPP) – Sección 423(c)

• ¿Qué reporta?
  Este formulario se usa cuando un empleado adquiere acciones bajo un Employee Stock Purchase Plan (ESPP) calificado bajo la sección 423, y transfiere esas acciones.

• ¿Quién lo presenta?
  Al igual que con el 3921, el empleador debe presentar el 3922 al IRS y enviar una copia al empleado.

• ¿Qué información incluye?

  • Fecha de otorgamiento y de compra

  • Valor justo de mercado en ambas fechas

  • Precio pagado por el empleado

  • Número de acciones transferidas

• Importancia fiscal:
  Estas transferencias pueden desencadenar consecuencias fiscales para el empleado dependiendo de cuándo y cómo se vendan las acciones.

✉️ Entrega al empleado vs. presentación al IRS

• Los formularios deben haberse entregado a los empleados antes del 31 de enero de 2025.

• El 31 de marzo de 2025 es el último día para presentarlos electrónicamente ante el IRS (por ejemplo, usando el sistema FIRE – Filing Information Returns Electronically).

📅 March 31, 2025 – IRS Electronic Filing Deadline

This deadline applies only for electronic filing of certain information returns, including Forms W-2G and 1097-BTC.
If filing by paper, the due date was February 28, 2025.

These forms are required when winnings from gambling or bond tax credits need to be reported to the IRS and the taxpayer.

🎰 Form W-2G – Certain Gambling Winnings

🔍 What is it?

Form W-2G is used to report certain gambling winnings to the IRS. Payers (such as casinos, racetracks, lotteries, or other gambling entities) must file it when a person wins above certain thresholds or when tax is withheld.

💰 When is it required?

Form W-2G must be filed if:

• The winnings are $600 or more and at least 300 times the wager (e.g., from horse racing, lotteries, etc.).

• The winnings are $1,200 or more from slot machines or bingo.

• The winnings are $1,500 or more from keno.

• The payer withholds any federal income tax, regardless of the amount won.

🏦 Withholding rules:

• If winnings are subject to backup withholding or regular gambling withholding (usually 24%), this must also be reported on the form.

📤 Who files it?

The entity paying out the winnings (casino, state lottery, etc.) must:

• Provide a copy to the winner by January 31, 2025.

• File with the IRS electronically by March 31, 2025.

🏛️ Form 1097-BTC – Bond Tax Credit

🔍 What is it?

Form 1097-BTC reports the allocation of tax credits associated with certain bonds, including Build America Bonds (BABs) and other tax credit bonds issued by governmental entities.

🏗️ Who uses it?

• Governmental issuers or intermediaries who are responsible for distributing tax credits to bondholders.

• Recipients of these credits can include financial institutions, corporations, or individuals that hold the qualifying bonds.

🧾 What does it include?

• The amount of bond tax credit allocated to each recipient

• The CUSIP number and bond details

• The type of credit (e.g., Clean Renewable Energy Bond, Qualified School Construction Bond, etc.)

📤 Filing obligations:

• Form must be provided to the taxpayer by January 31, 2025

• Electronic filing with the IRS is due by March 31, 2025

Florida Resellers - DR-15

Florida Sales Tax Return, including transient rentals.

This relates to Florida businesses that resell goods or rent transient properties (short-term rentals).

• The DR-15 form is used to report and pay Florida sales tax on taxable transactions, including resale sales and short-term rentals.

• Businesses that fail to file or pay correctly may face civil and criminal penalties.

Penalties:

• Criminal Penalty: Up to 5 years in prison (Fla. Stat. 212(2)).

• Civil Penalty: Up to 10% of the amount owed (Fla. Stat. 212).

Monthly Deposits

• 1042 – Annual Return for Withholding Tax on U.S.-Source Income of Foreign Persons.

• 945 – Annual Return for Federal Income Tax Withheld.

• 720 – Quarterly Federal Excise Tax Return.

• 941 – Employer’s Quarterly Federal Tax Return.

This refers to monthly tax deposit requirements for withholding agents and employers in the U.S. who are responsible for:

1. Withholding and remitting taxes on payments to foreign persons (Form 1042).

2. Withholding federal income tax on certain nonpayroll payments (Form 945).

3. Reporting and paying excise taxes (Form 720).

4. Submitting employer payroll taxes (Form 941).

Key Compliance Points:

• Form 1042 applies to foreign income withholding and is filed annually.

• Form 945 covers federal income tax withholding on nonpayroll payments.

• Form 720 reports excise taxes (e.g., fuel, tobacco, air transportation).

• Form 941 reports employment taxes (Social Security, Medicare, and withheld income tax) on a quarterly basis.

Penalties for Deposits

• Civil Penalty: Up to 100% of the Amount Owed (IRC § 6656).

• Criminal Penalty: Up to 5 years of imprisonment (IRC § 7201).

• Interest: 7% annually for the first quarter.

These are penalties for late or incorrect federal tax deposits related to withholding, payroll, or excise taxes.

• IRC § 6656: Imposes a civil penalty for failing to timely deposit employment or withholding taxes. The penalty ranges from 2% to 15%, but in cases of fraud or willful failure, it can reach 100% of the unpaid amount (known as the Trust Fund Recovery Penalty).

• IRC § 7201: Covers criminal tax evasion, leading to up to 5 years of imprisonment and/or substantial fines.

• Interest Rate: The IRS adjusts the interest rate quarterly. The 7% rate applies to Q1, but it may change throughout the year.

Annual Reports

• New Mexico: LLPs and Corporations

• South Carolina: Corporations

• Vermont: Corporations and LLCs

These are annual report filing requirements for business entities in specific U.S. states.

• Most states require corporations, LLCs, and LLPs to file an annual or biennial report to maintain good standing.

• New Mexico requires LLPs and corporations to comply with state reporting obligations.

• South Carolina mandates corporations to submit their reports.

• Vermont requires both corporations and LLCs to file annual reports.

Payers to Foreign Persons

• Form 1042-S – U.S. Source Income of a Foreign Person Subject to Withholding

• Form 1042 – Annual Tax Return for U.S. Withholding Tax on Income of Foreign Persons

• Form 1042-T – Annual Summary and Transmittal of Forms 1042-S

Extension

• Form 8809 – Application for Extension of Time to File Information Returns

What Is This About?

These forms are used by U.S. entities making payments to foreign individuals or businesses. They report income subject to withholding tax and ensure compliance with U.S. tax laws.

• Form 1042-S is issued to foreign recipients to report income sourced from the U.S., including interest, dividends, royalties, and compensation.

• Form 1042 is filed annually by withholding agents (such as businesses or financial institutions) to report taxes withheld on payments to foreign persons.

• Form 1042-T summarizes and transmits all 1042-S forms submitted by a business.

• Form 8809 allows businesses to request extra time to file these reports.

Why Is This Important?

• Failure to file or withhold properly can result in penalties and interest.

• The IRS monitors these transactions closely to prevent tax evasion through foreign accounts.

• Withholding agents (employers, banks, corporations) must ensure they collect and remit the correct tax amounts to avoid liability.

Penalties for Form 1042

• 5% of the unpaid tax balance per month of delay, up to a maximum of 25%. (IRC § 6651(a)(1))

• 0.5% of the unpaid balance per month of delay, up to a maximum of 25%. (IRC § 6651(a)(2))

• $330 penalty per Form 1042-S not filed.

• $630 or 10% of the unreported payment amount for willful noncompliance. (IRC § 6721)

• Up to 5 years in prison and a fine of $250,000 for individuals or $500,000 for corporations for tax fraud. (IRC §§ 7201-7206)

These penalties apply to U.S. withholding agents who fail to file, pay, or report correctly when dealing with foreign payees under Form 1042 and 1042-S.

Key Risks:

• Late filing of Form 1042 triggers a 5% penalty per month, maxing out at 25% of the unpaid tax.

• Late payment of tax incurs a 0.5% penalty per month, also maxing out at 25%.

• Failure to file Form 1042-S results in a $330 fine per form.

• Willful failure to report payments can lead to severe fines or even criminal charges.

• Intentional tax evasion can result in prison time and substantial fines.

Partnerships and S Corporations Extension

• Form 7004 – Application for Automatic Extension of Time to File Certain Business Income Tax, Information, and Other Returns

What Is This About?

Form 7004 is used by partnerships and S corporations to request an automatic extension for filing certain tax returns.

• This does not extend the time to pay taxes owed—it only extends the filing deadline.

• The typical extension period is 6 months, meaning most business tax returns can be filed later without penalties for late filing.

Why Is This Important?

• Helps businesses avoid late-filing penalties if they need more time to prepare their returns.

• Applies to various business tax returns, including Forms 1065 (partnerships) and 1120-S (S corporations).

• Must be filed before the original tax deadline (usually March 15 for calendar-year businesses).

Partnerships and S Corporations with Real Estate

• Form 4562 – Depreciation and Amortization (Includes Information on Listed Property)

• Form 4797 – Sales of Business Property

• Form 8825 – Rental Real Estate Income and Expenses of a Partnership or S Corporation

• Forms 8996 & 8997 – Qualified Opportunity Fund (QOF) Reporting

• Form 7205 – Deduction for Energy-Efficient Commercial Buildings

What Is This About?

These forms are used by partnerships and S corporations that own, rent, or sell real estate.

• Form 4562 reports depreciation and amortization of business assets, including real estate improvements and equipment.

• Form 4797 is used for reporting sales or exchanges of business property, including real estate used in a trade or business.

• Form 8825 tracks rental real estate income and expenses for partnerships and S corporations.

• Forms 8996 & 8997 relate to Qualified Opportunity Funds (QOFs), which provide tax incentives for investing in designated Opportunity Zones.

• Form 7205 allows deductions for commercial buildings that meet high energy efficiency standards, promoting sustainability in real estate investments.

Why Is This Important?

• Depreciation deductions (Form 4562) can help reduce taxable income.

• Selling commercial property (Form 4797) may have capital gains tax implications.

• Rental income and expenses (Form 8825) must be accurately reported for tax compliance.

• QOF investments (Forms 8996 & 8997) can defer or reduce capital gains taxes.

• Energy-efficient buildings (Form 7205) can qualify for additional tax deductions.

Partnerships and S Corporations with Foreign Activities

• Schedule K-2 – Items of Partner’s Distributive Share – International

• Schedule K-3 – Partner’s Share of Income, Deductions, Credits, etc. – International

What Is This About?

These schedules apply to partnerships and S corporations that have foreign activities, foreign partners/shareholders, or international tax items.

• Schedule K-2: Expands the international tax reporting for partnerships and S corporations, detailing foreign income, taxes, and deductions.

• Schedule K-3: Provides each partner/shareholder’s share of international income, deductions, and credits, helping them comply with U.S. international tax laws.

Why Is This Important?

• These schedules ensure that U.S. taxpayers correctly report foreign income and tax credits.

• They align with IRS and foreign tax compliance rules, such as Foreign Tax Credit (FTC) calculations.

• Failure to file accurately can lead to penalties and IRS audits.

S Corporations

• Form 1120-S – U.S. Income Tax Return for an S Corporation

• Form 1125-E – Compensation of Officers

• Section 7203 – Limitations on Shareholder Stock and Debt Basis in an S Corporation

Note: The penalties applicable are the same as for Form 1065.

These forms are used by S Corporations (S Corps) to report their income, officer compensation, and shareholder basis limitations:

• Form 1120-S: The main tax return for S Corporations, reporting income, deductions, and credits.

• Form 1125-E: Required if total officer compensation exceeds $500,000, detailing payments to corporate officers.

• Section 7203: Rules that limit a shareholder’s ability to deduct losses based on their stock and debt basis in the S Corp.

Penalties:

• Since S Corps are pass-through entities, the penalties for failing to file are the same as for partnerships (Form 1065):

  • $235 per shareholder, per month (up to 12 months) for late filing.

  • Up to $280 per error for incorrect or incomplete information.

  • Intentional noncompliance – Up to 5 years in prison and fines up to $250,000 for individuals or $500,000 for corporations.

Partnerships and S Corporations with Foreign Assets

• FBAR (Form 114) – Report of Foreign Financial Accounts (Civil penalty starting at $10,000 or 50% of the account value, up to 10 years in prison)

• Form 8938 – Statement of Specified Foreign Financial Assets (Civil penalty up to $50,000 and 40% of unpaid tax, IRC § 6038)

• Form 8858 – Information Return of U.S. Persons with Respect to Foreign Disregarded Entities (FDEs) and Foreign Branches (FBs) (Same penalty as Form 8938)

• Form 8865 – Return of U.S. Persons with Respect to Certain Foreign Partnerships (Same penalty as Form 8938)

• Form 8621 – Information Return by a Shareholder of a Passive Foreign Investment Company (PFIC) or Qualified Electing Fund (No direct penalty)

• Form 5471 – Information Return of U.S. Persons with Respect to Certain Foreign Corporations (Same penalty as Form 8938)

What Is This About?

These forms are used by U.S. partnerships and S corporations that own foreign financial accounts, assets, or interests in foreign entities.

• FBAR (Form 114) is required if total foreign financial accounts exceed $10,000 at any time during the year. Severe penalties apply for noncompliance.

• Form 8938 is for reporting foreign financial assets if they exceed IRS thresholds.

• Forms 8858, 8865, and 5471 are for U.S. persons or entities with ownership in foreign entities (disregarded entities, partnerships, or corporations).

• Form 8621 is used for Passive Foreign Investment Companies (PFICs) but does not have a direct penalty.

Why Is This Important?

• Failure to report foreign accounts or assets can lead to severe IRS penalties, including high fines and potential criminal charges.

• Certain thresholds apply, so not all entities must file all forms.

• These forms ensure compliance with U.S. tax laws and foreign asset reporting requirements under FATCA and FBAR regulations.

Partnerships and S Corporations (Specific Cases)

• Form 7208 – Excise Tax on Corporate Stock Repurchases

• Form 8918 – Material Advisor Disclosure Statement

• Form 3800 – General Business Credit (Energy Investment, Disability Access, etc.)

• Form 1125-A – Cost of Goods Sold (For Businesses with Inventory)

What Is This About?

These forms apply to specific tax situations for partnerships and S corporations:

• Form 7208 reports the 1% excise tax on corporate stock buybacks. This applies mainly to publicly traded companies repurchasing their own shares.

• Form 8918 is used by tax advisors who design or promote certain tax-advantaged transactions—it’s a compliance requirement for advisors, not businesses themselves.

• Form 3800 consolidates various tax credits for businesses, including energy-efficient investments, research and development, and hiring certain employees (e.g., disabled individuals).

• Form 1125-A is required for businesses that sell physical products and maintain inventory, as it calculates the Cost of Goods Sold (COGS), impacting taxable income.

Why Is This Important?

• Stock buybacks (Form 7208) can trigger excise taxes, affecting corporate financial strategies.

• Material tax advisors (Form 8918) must disclose their involvement in complex tax planning, ensuring transparency.

• General business credits (Form 3800) can reduce tax liability for businesses investing in sustainability, employment, and innovation.

• Inventory-based businesses (Form 1125-A) must accurately report COGS to determine gross income and taxable profit.

Partnerships and S Corporations (All) - Schedule K-1 – Partner’s/S Shareholder’s Share of Income, Deductions, Credits, Etc.

Penalties:

• Failure to provide Schedule K-1 to partners/shareholders – $310 per partner/shareholder.

What Is This About?

• Schedule K-1 reports each partner’s or S Corp shareholder’s share of income, deductions, and credits.

• It is essential for pass-through entities since they do not pay taxes at the entity level; instead, income passes through to the partners/shareholders.

Why Is This Important?

• Partners and shareholders need Schedule K-1 to correctly file their personal tax returns.

• Not providing it on time can result in IRS penalties and delays in tax filings.

• Accuracy is crucial, as errors may trigger IRS audits or additional fines.

Entities with Domestic Partners That Want to Be S Corps

• Form 2553 – Election by a Small Business Corporation

This refers to business entities with domestic (U.S.) partners that want to elect S Corporation (S Corp) status for tax purposes.

• Form 2553 is filed with the IRS to elect S Corporation status, which allows a corporation to be taxed as a pass-through entity (avoiding double taxation).

• Only domestic corporations and eligible entities can make this election.

• The election must generally be made by March 15 for it to apply to the current tax year.

Partnerships (Multi-Member LLCs) - Form 1065: U.S. Return of Partnership Income

What Is It About?

This relates to multi-member LLCs and partnerships, which must file Form 1065 with the IRS to report their income, deductions, and other financial details.

• Partnerships and multi-member LLCs don’t pay income tax directly; instead, income is passed through to the partners, who report it on their personal tax returns.

• Failure to file or errors in reporting can result in significant penalties, including fines and even criminal charges for intentional violations.

Penalties:

• Failure to File the Form – $235 per partner, per month (up to a maximum of 12 months).

• Incorrect or Incomplete Information – Up to $280 per error.

• Willful Noncompliance – Up to 5 years in prison and a fine of $250,000 for individuals or $500,000 for corporations (26 USC § 7201).

Partnerships with Foreign Partners and U.S. Income

• Form 8804 – Annual Return for Partnership Withholding Tax (Section 1446)

• Form 8805 – Foreign Partner’s Information Return for Withholding Tax (Section 1446)

• Form 8813 – Payment Voucher for Partnership Withholding Tax

These forms relate to U.S. partnerships with foreign partners, specifically those with effectively connected income (ECI) in the U.S.

• Form 8804: The partnership reports the total tax withheld on income allocable to foreign partners under IRC Section 1446.

• Form 8805: Each foreign partner receives this form to report their share of withheld U.S. taxes.

• Form 8813: Used by the partnership to submit quarterly tax payments for withholding on foreign partners.

Why Is This Important?

• U.S. partnerships with foreign partners must withhold taxes on income allocated to them, ensuring the IRS collects taxes before distributions.

• These forms help both the partnership and the foreign partners stay compliant with U.S. tax laws.

Penalties:

• $310 per form not filed if submitted more than 60 days late.

• $630 penalty if the noncompliance is intentional.

• Failure to withhold the correct amount – 100% of the unpaid tax plus interest from the due date.

• $310 per foreign partner if the required form is not provided on time.

• If considered intentional, the minimum penalty is $630 per partner.

These penalties apply to U.S. partnerships with foreign partners that fail to properly report or withhold taxes on U.S.-sourced income.

• Failure to file Form 8804, 8805, or 8813 on time can lead to substantial fines.

• Not withholding or under-withholding taxes on foreign partners’ income can result in the partnership being liable for the full tax amount plus interest.

• Intentional violations lead to higher penalties, reinforcing the IRS’s strict enforcement on tax compliance for foreign investors in U.S. partnerships.

BE-13 survey, which is a mandatory reporting requirement for foreign direct investment in the U.S..

The U.S. Bureau of Economic Analysis (BEA) requires certain foreign investors to file Form BE-13 when acquiring, establishing, or expanding a U.S. business. Failing to file can lead to civil and criminal penalties.

The BE-13 survey is not a recurring or periodic report; instead, it is a one-time filing triggered by specific foreign investment activities.

• When Must the BE-13 Be Filed?

  • A U.S. business must file the BE-13 survey within 45 days after:

  • Being acquired (at least 10% ownership) by a foreign entity (BE-13A).

  • Establishing a new U.S. business with foreign ownership (BE-13B).

  • Expanding an existing U.S. business with foreign capital (BE-13D).

  • Meeting reporting exemption criteria (BE-13 Claim for Exemption).

  • If none of these events occur, the business does not need to file the BE-13.

• Foreign Investment

  • BE-13 – Exemption from foreign investment reporting in the U.S. (Less than $3 million)

  • BE-13A – Acquisition of an existing U.S. business

  • BE-13B – Establishment of a new U.S. business

  • BE-13D – Expansion of an existing U.S. business

• PENALTIES

  • CIVIL FINE – Between $4,450 and $44,539 (22 USC Sec. 3105)

  • CRIMINAL PENALTY – Up to one year in prison and $10,000 fine (22 USC Sec. 3105)

Form 4070, "Employee's Report of Tips to Employer," is typically submitted monthly by employees who receive tips.

Key Points on Filing Frequency:

• The form must be submitted by the 10th day of each month for the tips received in the previous month.

• For example, tips earned in March must be reported by April 10th.

• If the 10th falls on a weekend or holiday, the due date moves to the next business day.

Who Needs to File?

Employees who receive $20 or more in tips per month must report them to their employer using Form 4070.

Would you like more details on employer responsibilities regarding tip reporting?

If you received $20 or more in tips during previous month, report them to your employer. You can use Form 4070.

Employers of Tipped Employees Must Request the Employee’s Tip Report to the Employer.

PENALTY.

• 20% Accuracy-Related Penalty – IRC Sec. 6662

• Up to 25% for Late Payment – IRC Sec. 6651

• Up to 5 Years in Prison for Fraud – IRC Sec. 7201-7203 & 18 USC Sec. 371