West Virginia adjusts withholding return due dates

West Virginia has adjusted its withholding return due dates as follows:
Not later than January 31, 2019, and January 31 of each year thereafter, employers and payers must file the annual reconciliation return together with state copies of all withholding tax statements reflecting West Virginia tax withholding, including, but not limited to, forms W-2, W-2G, and 1099, that were furnished to each employee or payee for the preceding calendar year, notwithstanding the fact that the employer or payer may have a calendar tax year ending on December 31 or a fiscal tax year ending on a date other than December 31.
Where the average quarterly amount deducted and withheld by any employer is less than $150 and the aggregate for the calendar year can reasonably be expected to be less than $600, the Tax Commissioner is authorized to permit an employer to file an annual return and pay over the taxes deducted and withheld on or before the last day of the month following the close of the calendar year.

Annual returns and payments of withheld tax of certain domestic and household employees.

Employers of domestic and household employees whose federal income tax withholding is paid and reported annually also file a state annual report state income tax withheld on or before January 31 of the next succeeding year for the previous year.

Accelerated payments.

Every employer required to deduct and withhold tax whose average payment per calendar month for the preceding calendar year exceeded $100,000 must deposit the tax attributable to the first 15 days of June each year by June 23. The employer must pay an amount equal to the withholding tax due on employee compensation subject to withholding tax payable or paid to employees for the first 15 days of June or, at the employer’s election, the employer may remit an amount equal to 50% of the employer’s liability for withholding tax on compensation payable or paid to employees for the preceding month of May.
For an employer who has not been in business for a full calendar year, the total amount the employer was required to deduct and withhold for the prior calendar year will be divided by the number of months, including fractions of a month, that it was in business during the prior calendar year and if that amount exceeds $100,000, the employer must deposit the tax attributable to the first 15 days of June each year by June 23.
When an employer required to make an advanced payment of withholding tax completes its return for the month of June, which is due by July 20, that employer may claim as a credit against its liability for tax on employee compensation paid or payable for employee services rendered during the month of June the amount of the advanced payment of tax.

Annual reconciliation.

An annual reconciliation of personal income tax withheld must be submitted by the employer by January 31, following the close of the calendar year, together with copies of all withholding tax statements for that preceding calendar year. The reconciliation must be accompanied by a list of the amounts of income withheld for each employee and must be filed separately from the employer’s monthly or quarterly return.

Electronic filing.

Any employer required to file a withholding return for 50 or more employees must file its return using electronic filing. For any tax period beginning after December 31, 2017, any employer that uses a payroll service or who is required to file a withholding return for 25 or more employees must file its return using electronic filing. An employer who is required to file electronically but does not do so is subject to a penalty in the amount of $25 per employee for whom the return was not filed electronically, unless the employer shows that the failure is due to a technical inability to comply. (S.B. 338, Laws 2018, approved March 20, 2018, and effective June 1, 2018.)

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