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Issue Number:  2017-12

Inside This Issue

1. New on IRS.gov
2. Reminder: E-Services Registration and Secure Access
3. Reminder: January 31 Filing Deadline Applies to Wage Statements and Independent Contractor Forms
4. Filing Forms 1099-MISC With NEC in Box 7
5. Please review Filing Information Returns Electronically (FIRE)
6. Standard Mileage Rates for 2018 Up from Rates for 2017
7. Consumer Alert: IRS Warns Taxpayers, Tax Pros of New Email Scam Targeting Hotmail Users

• Form W-2VI, U.S. Virgin Islands Wage and Tax Statement (info copy only)
• Form W-2GU, Guam Wage and Tax Statement (info copy only)
• Form W-2AS, American Samoa Wage and Tax Statement (info copy only)
• Form 940 (PR) (Schedule A), Multi-State Employer and Credit Reduction Information (Puerto Rican Version)
• Form 940 (PR), Planilla Para La Declaracion Federal Anual Del Patrono de la Contribcion Federal Para El Desempleo (FUTA)
• Inst. 8962, Instructions for Form 8962, Premium Tax Credit (PTC)
• Form 8962, Premium Tax Credit
• Form 940 (Schedule R), Allocation Schedule for Aggregate Form 940 Filers
• Form 940 (Schedule A),  Multi-State Employer and Credit Reduction Information
• Form 940, Employer's Annual Federal Unemployment (FUTA) Tax Return
• Inst. 940, Instructions for Form 940, Employer's Annual Federal Unemployment FUTA) Tax Return
• Pub. 1220, Specifications for Electronic Filing of Forms 1097, 1098, 1099, 3921, 3922, 5498 and W-2G
• Pub. 1187, Specifications for Filing Form 1042S, Foreign Person's U.S. Source Income Subject to Withholding"##

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All e-Services users must re-register through Secure Access, a more rigorous identity proofing and two-factor authentication process. If you have not already registered through Secure Access, plan to upgrade your account now.

Before registering please review:

• Information about Your e-Services Account
• Secure Access: How to Register for Certain Online Self-Help Tools
• FAQs about e-Services and Secure Access 

Access your account by going to your normal login page and entering your e-Services username. You will receive a prompt that will direct you through the new registration process.

If you are an existing e-Services user who cannot register online via Secure Access and need exception processing Call the e-Help desk at 1-888-841-4648 (select your language, then prompt 1 and remain on the line until an assistor picks up) 7:30 a.m. to 7 p.m. (EST).

• You must have access to your email account and your tax return information, including related information documents.

You must attempt to register online before contacting the help desk. Here are a few other caveats:

• If you require an activation code by mail, it may take up to 10 business days to receive this code, which will enable you to complete the registration process.
• If you previously registered through Secure Access (via Get Transcript, IP PIN, etc.) you only need to enter your e-Services username and your Secure Access password. Do not make more than 2 attempts.
• If you can’t remember your password, use the “forgotten password” feature. If you have obtained a new mobile phone number, the vendor may not be able to validate it. You should request an activation code by mail.
• After you have requested an activation code by mail either online or through an assistor, do not continue attempts to register online.

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Wage statements and independent contractor forms must be filed with the government by January 31.

The Protecting Americans from Tax Hikes (PATH) Act includes a requirement for employers to file their copies of Form W-2  and Form W-3  with the Social Security Administration by the end of January. This deadline also applies to certain Forms 1099-MISC  filed with IRS to report non-employee compensation to independent contractors.

An extension of time to file is no longer automatic. The IRS will only grant extensions for very specific reasons.

Failure to file these forms correctly and timely may result in penalties.

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The Protecting Americans from Tax Hikes (PATH) Act of 2015 requires Forms 1099-MISC reporting non-employee compensation (NEC) in box 7 to be filed by January 31 for both paper filing and electronic filing.

If any of your Forms 1099-MISC reporting NEC will be filed after the January 31, 2018 due date, the IRS recommends you separate the submission of those Forms 1099-MISC from the submission of any Forms 1099-MISC that do not report NEC.

The IRS may inadvertently treat all Forms 1099-MISC in a combined submission as subject to the Section 6721 penalty for failure to file by January 31, even though many of the forms might not be due until February 28 or March 31.

Additional guidance on how to file 2017 Forms 1099 MISC:

• Publication 1220, Specifications for Electronic Filing of Forms 1097, 1098, 1099, 3921, 3922, 5498, and W-2G Tax Year 2017 (page 16)
• Filing Forms 1099-MISC With NEC in Box 7 with the IRS

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Please review the FIRE webpage for planned outages during the first part of January 2018 and other important information.

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The Internal Revenue Service issued the 2018 optional standard mileage rates  used to calculate the deductible costs of operating an automobile for business, charitable, medical or moving purposes.

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A new email scam targets Hotmail users. The scam attempts to steal personal and financial information.

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