Recently enacted AB 64, Act 59, biannual budget bill 2017-2019, lowers the threshold at which an employer must file Forms W-2/1099 electronically with the Wisconsin Department of Revenue from 50 or more forms to 10 or more.

The bill also changes the deadline to file Forms 1099 with no Wisconsin income tax withheld reported to January 31 (formerly due to the Department by February 28, or March 15 if filed electronically). Currently, all Forms W-2 and those Forms 1099 that report Wisconsin income tax withheld must be filed with the Department by January 31.

These changes are effective for calendar year 2017 returns filed in 2018.

The Department has released information on the law change and the filing of calendar year 2017 Forms W-2 in 2018.

Other guidance on filing of Forms W-2 and 1099

According to the Department, a 30-day extension period is available for employers unable to meet the January 31, 2018 deadline. Note, however, that the Department may not issue a personal income tax refund to an employed individual before March 1, unless both the individual and the individual's employer have filed all required returns and forms with the Department.

The Department will reject electronic returns with incomplete or incorrect information and give the employer a reject reason so the information may be corrected and resubmitted.

Incorrect or incomplete returns filed on paper will not be returned. Instead, employers that have filed on paper will receive a letter asking them to correct and resubmit the corrected forms.

Filing an incomplete or incorrect wage or information return is subject to a penalty of $10 for each violation.

For more information, see the Department's Publication 117, Guide to Wisconsin Wage and Information Returns, and the webpage entitled "Wage and Information Return Reporting Requirements for Payers — 2017."

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