Form 1042-S Due Date for
2023 Tax Year
Form 1042-S Due Date for 2023 Tax Year
Updated on February 12, 2024 - 10:30 AM by Admin, TaxBandits
For 1042-S, Foreign Person’s U.S. Source Income Subject to Withholding is an IRS information return used to report the income paid to foreign persons by a United States-based business or institution. The deadline for filing Form 1042-S with the IRS is March 15, 2024, for the 2023 tax year. Here is the information about the deadlines for filing Form 1042-S and late filing penalties if missed.
Table of Contents:
1. When is the Due Date for filing Form 1042-S for the 2023 tax year?
Generally, the deadline to file your Form 1042-S with the IRS is March 15. The withholding agent must also furnish a copy of Form 1042-S to the foreign recipients on the same date.
Note: If the date falls on a Saturday, Sunday, or a legal holiday, the form must be filed on the next business day.
| Form 1042-S (Foreign Person's U.S. Source Income Subject to Withholding) |
E-filing - March 15, 2024 Paper filing - March 15, 2024 Recipient Copy - March 15, 2024 |
2. What are the Filing Requirements for Form 1042-S?
In general, for filing Form 1042-S with the IRS, it's always essential to have the following information regardless of whether tax is withheld or not. The information needed to file form 1042-S includes payer and recipient information, Income and withholding Information, withholding agent info, primary withholding agent information, and state withholding information.
Also, the IRS has mandated the electronic filing requirements for Form 1042-S for the 2023 tax year under the following conditions:
- If you are an individual required to file ten or more information returns.
- If you are a withholding agent working as a partnership with more than 100 partners.
- If you are a financial institution required to report payments under Chapter 3 or 4 (regardless of the number of forms) must file Form 1042-S electronically.
3. What are the 1042-S Late Filing Penalties?
The penalty for late filing Form 1042-S will vary based on the business size and when the Form 1042-S is filed. Here are possible penalties for late filing Form 1042-S with the IRS.
| Time Limit | Minimum | Maximum |
|---|---|---|
| Filed within 30 days | $60 /form | $664,500 per year($232,500 for a small business) |
| After 30 days and before Aug 1, 2024 | $130 /form | $1,993,500 per year ($664,500 for a small business) |
| After August 1 | $330/form | $3,987,000 per year ($1,329,000 for a small business) |
Suppose you intentionally disregard the requirement to report correct information while filing Form 1042-S in that case, the penalty is increased to $660 or 10% of the total the the number of items reported, with no maximum penalty.
Failure to file electronically
If you are required to file electronically but fail to do so and do not have an approved waiver on record. In that case, penalties may apply unless they establish reasonable cause for the failure to file electronically.
4. What is the time extension to file Form 1042-S?
In order to avoid penalties, the filer can seek an extension of time to file Form 1042-S to the IRS through Form 8809, Application for Extension of Time To File Information Returns. By filing Form 8809, the filer will get an automatic 30-day extension to file Form 1042-S.
5. How to File Form 1042-S Online?
As mentioned above, the IRS has reduced the electronic filing threshold from 250 to 10 or more returns for the 2023 tax year, it is essential to file Form 1042-S electronically.
Here’s where TaxBandits comes in!
TaxBandits is an IRS-authorized e-file service provider that provides filers with the best form 1042-S e-filing experience. With TaxBandits,
- You can import data in bulk with the help Excel/CSV upload template.
- You can send foreign recipient copies on time via postal mail or a secure online portal.
- You are provided with the best Customer support to assist you all the time via phone, email, and live chat.
Want to e-file Form 1042-S with the IRS? Get started with TaxBandits today.