The below table summarizes the W-2 and 1099 late filing penalties for for tax years 2023, 2024, and 2025. These are based on the IRS’s published “Information Return Penalties” structure.
| Tax Year (due the following year) | Filing Situation | Penalty per Return | Notes / Max Penalty* |
|---|---|---|---|
| 2023 | Up to 30 days late | $50 | Max: ~$588,500 for large filers. IRS |
| 31 days late through August 1 | $110 | Max: ~$1,766,000. | |
| After August 1 / Not filed | $290 | Max: ~$3,532,500. | |
| Intentional disregard | $580 | No statutory maximum. IRS | |
| 2024 | Up to 30 days late | $60 | Max: $630,500 for large filers. IRS |
| 31 days late through August 1 | $120 | Max: $1,891,500. | |
| After August 1 / Not filed | $310 | Max: $3,783,000. | |
| Intentional disregard | $630 | No statutory maximum. IRS | |
| 2025 | Up to 30 days late | $60 | Max: $664,500 (or $239,000 for small business) per IRS for some returns. Tax News |
| 31 days late through August 1 | $130 | Max: $1,993,500 (or $683,000 small business). IRS | |
| After August 1 / Not filed | $330 | Max: $3,987,000 (or $1,366,000 small business). | |
| Intentional disregard | $660 | No maximum limit. |
* Max penalty = the annual cap for a filer, depends on whether “small business” definition (avg receipts ≤ $5M) or not, per IRS rules.
Notes & Caveats
Applies to many “information returns”
These are not just 1099-NEC or 1099-MISC — the penalty rules under § 6721 apply broadly to many info returns (including W-2). https://www.irs.gov/irm/part20/irm_20-001-007rIRC § 6722 (furnishing payee statements)
There’s a separate but very similar penalty structure if you fail to provide correct payee statements (e.g., giving a contractor their Copy B of 1099). The tiered penalty amounts mirror § 6721.Reasonable Cause
The IRS may waive (or not assess) a penalty if you can show “reasonable cause” (for example, a system failure, natural disaster, etc.). https://www.law.cornell.edu/cfr/text/26/301.6724-1Inflation adjustments
Penalties are indexed for inflation, so the IRS updates these periodically.Electronic-filing requirement
Starting in 2024, if you have 10 or more information returns, you’re required to file electronically. Failure to e-file when required can trigger § 6721 penalties.