What Is Form W-2?
Form W-2, Wage and Tax Statement, is issued by employers to employees to report wages paid and taxes withheld during the calendar year. It is a foundational tax document used when filing IRS Form 1040.
You should receive a W-2 by January 31, 2026 for the 2025 tax year.
IRC Code Governing W-2 Reporting
The obligation for employers to file Form W-2 is outlined under:
- IRC § 6051 – Statements of Wages and Tax Withheld
- IRC § 3402 – Withholding of Income Tax at Source
- IRC § 6041 – Information at Source
These laws require accurate wage reporting and tax withholding documentation to the IRS and employee.
When Employers Must Issue W-2
- Deadline to employees: January 31, 2026
- Deadline to SSA (if paper filed): February 28, 2026
- Deadline to SSA (if e-filed): January 31, 2026
Employers failing to file W-2s timely face penalties up to $630 per form under IRC § 6721 and § 6722.
What’s Reported on a W-2 (Box-by-Box Breakdown)
| Box | Information |
|---|---|
| Box 1 | Wages, tips, other compensation |
| Box 2 | Federal income tax withheld |
| Box 3 | Social Security wages |
| Box 4 | Social Security tax withheld |
| Box 5 | Medicare wages |
| Box 6 | Medicare tax withheld |
| Box 12 | Special codes (retirement plans, HSA, etc.) |
| Box 14 | Other – union dues, employer-paid tuition, etc. |
Also includes:
- Employer & employee info
- State/local wage and tax info
How to Use Form W-2 When Filing Your Tax Return
Step 1: Gather all W-2s from each employer
Step 2: Report income on Form 1040, Line 1
Step 3: Attach Copy B of W-2 if filing by paper
Step 4: Keep Copy C for your records
Step 5: Verify if wages match your final paycheck of 2025
IRS Penalties for Missing or Incorrect W-2s
- Failing to file W-2: Up to $630 per form
- Intentional disregard: Up to $1,270 per form
- Inaccurate info or wrong EIN: Penalties under IRC § 6721 and § 6722
Employers should use IRS Form W-3 to transmit W-2s to the SSA.
Step-by-Step: What to Do If You Didn’t Receive a W-2
- Contact Your Employer – Request a reissue
- Wait until February 15 – IRS allows time for delivery
- Call IRS at 800-829-1040 – Provide name, SSN, employer info
- File with Form 4852 – Substitute for missing W-2
- Amend later if needed – File Form 1040-X if corrected W-2 arrives
Example: Using W-2 to File Form 1040
Scenario:
- Sarah worked full-time in 2025 and received a W-2 from her employer showing:
Box 1: $68,000
Box 2: $8,500 withheld (Federal)
Box 3: $68,000 (SS Wages)
Box 4: $4,216 (SS Tax Withheld)
Box 5: $68,000 (Medicare Wages)
Box 6: $987 (Medicare Tax Withheld)
Sarah enters $68,000 on Form 1040, Line 1, and claims credit for withheld taxes on Line 25a.
Conclusion
Form W-2 is your key to a compliant tax return. It confirms your earned income and how much tax was already paid on your behalf. Don’t delay filing or skip verifying your W-2 details—mistakes or delays can lead to IRS notices and missed refunds. If your W-2 is late or incorrect, act promptly to resolve the issue.
CTA and Disclaimer
Need help interpreting your W-2 or filing your 2025 return?
I’m Anshul Goyal, CPA, EA, FCA, a licensed Certified Public Accountant in the U.S., admitted to practice before the IRS, and an expert in cross-border tax compliance.
📅 Schedule a personal consultation here
Top 5 FAQs – IRS Form W-2
1. What do I do if my W-2 is incorrect?
Contact your employer for a corrected Form W-2c, then amend using Form 1040-X if needed.
2. Can I file taxes without my W-2?
Yes, use Form 4852 as a substitute if your W-2 is missing or delayed.
3. Do I get a W-2 if I’m self-employed?
No, self-employed individuals receive Form 1099-NEC, not W-2.
4. What if I worked multiple jobs in 2025?
You’ll receive a separate W-2 from each employer. Report all on one Form 1040.
5. How long should I keep my W-2?
Keep W-2s for at least 3 years for IRS audit purposes.
Disclaimer
This blog is for informational purposes only and is not a substitute for personalized tax advice. Each taxpayer’s situation is unique. Always consult a qualified CPA or tax professional for your specific filing requirements.