The below table summarizes the W-2 and 1099 late filing penalties for tax years 2023, 2024, and 2025. You will have an easier time avoiding late tax return consequences as long as you familiarize yourself with the IRS’ 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.