TAX CALENDAR

JANUARY 2011

January 18
Individuals. Make a payment of your estimated tax for 2010 if you did not pay your income tax for the year through withholding (or did not pay enough in tax that way). Use Form 1040-ES. This is the final installment date for 2010 estimated tax. However, you don’t have to make this payment if you file your 2010 return and pay any tax due by January 31, 2011.

Employers. For Social Security, Medicare, withheld income tax, and nonpayroll withholding, deposit the tax for payments in December if the monthly rule applies.

January 31

All businesses. Give annual information statements (Forms 1099) to recipients of certain payments you made during 2010. Payments that are covered include (1) compensation for workers who are not considered employees, (2) dividends and other corporate distributions, (3) interest, (4) rent, (5) royalties, (6) profit-sharing distributions, (7) retirement plan distributions, (8) original issue discount, (9) prizes and awards, (10) medical and health care payments, (11) debt cancellations [treated as payment to debtor], (12) payments of Indian gaming profits to tribal members, and (13) cash payments over $10,000. There are different forms for different types of payments.

Employers. Give your employees their copies of Form W-2 for 2010. For nonpayroll taxes, file Form 945 to report income tax withheld for 2010 on all nonpayroll items, such as backup withholding and withholding on pensions, annuities, and IRAs.
For Social Security, Medicare, and withheld income tax, file Form 941 for the fourth quarter of 2010.
For all taxes, deposit any undeposited tax. If the total is less than $2,500 and not a shortfall, you can pay it with the return. If you deposited the tax for the year in full and on time, you have until February 10 to file the return.
For federal unemployment tax, file Form 940 (or 940-EZ) for 2010. If your undeposited tax is $500 or less, you can either pay it with your return or deposit it. If it is more than $500, you must deposit it. However, if you already deposited the tax for the year in full and on time, you have until February 10 to file the return.

Individuals. If you claimed exemption from income tax withholding last year on the Form W-4 you gave your employer, you must file a new Form W-4 to continue your exemption for another year.

Employers. Begin withholding income tax from the pay of any employee who claimed exemption from withholding in 2010, but did not give you a new Form W-4 to continue the exemption for 2011.

Employers. For Social Security, Medicare, withheld income tax, and nonpayroll withholding, deposit the tax for payments in January if the monthly rule applies.

February 28
All businesses. File information returns (Form 1099) for certain payments you made during 2010. If you file Forms 1099 electronically (not by magnetic media), your due date for filing them with the IRS is March 31.

Employers. File Form W-3, along with Copy A of all the Forms W-2 you issued for 2010. If you file Forms W-2 electronically (not by magnetic media), your due date for filing them with the Social Security Administration is March 31.