Department of the Treasury Instructions for Forms Internal Revenue Service

W-2c and W-3c

(Rev. December 2002)

Do not use Form W-2c to correct Form W-2G, Certain Items To Note Gambling Winnings. Instead, see the Instructions for Forms

1099, 1098, 5498, and W-2G. New magnetic/electronic reporting requirement. If you Use Form W-3c to send Copy A of Form W-2c to the are required to file 250 or more Forms W-2c during a Social Security Administration (SSA). Form W-3c is required calendar year, you must now file them on magnetic media to be filed with a single Form W-2c as well as with multiple (or electronically) unless the IRS granted you a waiver. You

may be charged a penalty if you fail to file on magnetic Forms W-2c. You may file Form W-3c separately if you are

media (or electronically) when required. See also Magnetic simply correcting your EIN on a previously filed Form W-3 or

media/electronic reporting W-3SS, Transmittal of Wage and Tax Statements (for Forms below. W-2AS, W-2GU, W-2CM, and W-2VI).

For purposes of the magnetic media/electronic Where to file Forms W-2c and W-3c. If you use the U.S. requirement, only Forms W-2 for the immediate prior year Postal Service, send Forms W-2c and W-3c to: are taken into account. Also, if an employer must file 200 Social Security Administration Forms W-2c for the immediate prior year in March and then Data Operations Center discovers that another 100 Forms W-2c for the same year P.O. Box 3333 must be filed in August, only the 100 Forms W-2c that are Wilkes-Barre, PA 18767-3333. filed in August must be filed on magnetic media or If you use a carrier other than the U.S. Postal electronically. Service, send Forms W-2c and W-3c to:

You may request a waiver on Form 8508, Request for Social Security Administration

Waiver From Filing Information Returns Magnetically. Data Operations Center

Submit Form 8508 to the IRS at least 45 days before you file Attn: W-2c Process

Forms W-2c. See Form 8508 for filing information. 1150 E. Mountain Drive

Wilkes-Barre, PA 18702-7997. Revised Forms W-2c and W-3c. We revised Form W-2c,

Corrected Wage and Tax Statement, to provide boxes for Do not send Form W-2, to either of these addresses.

the correction of state and local tax information. We also Instead, see the Instructions for Forms W-2 and

added other Federal boxes that appear on Form W-2, Wage W-3.

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and Tax Statement. As a result, Form W-2c is now printed When to file. File Forms W-2c and W-3c as soon as one per page. possible after you discover an error. Also provide Form

We revised Form W-3c, Transmittal of Corrected Wage W-2c to employees as soon as possible.

and Tax Statements, by adding a new box (box 14) “Inc. tax How to file. You may file Forms W-2c and W-3c on paper. W/H by 3rd party sick pay payer.” Use box 14 to correct the Please type all entries using dark or black ink in 12-point amount reported in box 14 of Form W-3, Transmittal of Courier font, if possible, and make sure all copies are Wage and Tax Statements. legible. See the Instructions for Forms W-2 and W-3 for

Copy A of Form W-2c and Form W-3c are now printed in more information.

red dropout ink to enhance their scanning capabilities. After If any item shows a dollar change and one of the

June 30, 2003 do not use prior versions of Forms W-2c and amounts is zero, enter “-0-.” Do not leave the box blank.

W-3c. Magnetic media or electronic reporting. If you are

Substitute forms. required to file 250 or more Forms W-2c during a calendar If you are not using the official IRS form year, you must file them on magnetic media or electronically to furnish Form W-2c to employees or to file with the SSA, unless the IRS granted you a waiver. See New magnetic/ you may use an acceptable substitute form that complies

with the rules in electronic reporting requirement above. Pub. 1223, General Rules and

Specifications for Substitute Forms W-2c and W-3c. Pub. To submit Forms W-2c on magnetic media or

1223 is a revenue procedure that explains the requirements electronically, contact the Employer Service Liaison Officer

for format and content of substitute Forms W-2c and W-3c. (ESLO) for your state. Call 1-800-772-6270 for your ESLO’s

Your substitute forms must comply with the require- phone number. Employers in the U.S. Virgin Islands may

ments in Pub. 1223. call 787-766-5574. Employers in American Samoa and

Guam may call 510-970-8247.

General Instructions Specifications for filing Form W-2c on magnetic media or

electronically are contained in SSA’s MMREF-2, Magnetic Purpose of forms. Use Form W-2c to correct errors on Media Reporting and Electronic Filing of W-2c Information. Forms W-2, W-2c, W-2AS, W-2GU, W-2CM, or W-2VI filed You can download MMREF-2 by visiting the SSA Web Site with the SSA. Also use Form W-2c to provide corrected at www.socialsecurity.gov/employer. You can also order Forms W-2, W-2AS, W-2GU, W-2CM, or W-2VI to a copy of MMREF-2 by calling SSA’s Employer Reporting employees. Branch at 1-800-772-6270.

Do not use Form W-2c to report back pay. Instead, see If you file fewer than 250 forms W-2c, they are not

Pub. 957, Reporting Back Pay and Special Wage Payments required to be filed on magnetic media or electronically;

to the Social Security Administration, and Form SSA-131, however, doing so will enhance the timeliness and accuracy

Employer Report of Special Wage Payments. of forms processing.

Cat. No. 25978H
Shipping and mailing. If you have a large number of • Issue a new, corrected Form W-2 to the employee

forms, you may send them in separate packages. Show including the new address. Indicate “REISSUED

your name and employer identification number (EIN) on STATEMENT” on the new copies. Do not send Copy A to

each package. Number them in order (1 of 4, 2 of 4, etc.), the SSA.

and place Form W-3c in package 1. Show the number of • Issue a Form W-2c to the employee showing the correct

packages at the bottom of Form W-3c below the title. You address in box f and all other correct information. Do not

must send Forms W-2c and W-3c by First-Class Mail. send Copy A to the SSA.

Who may sign Form W-3c. • Mail the Form W-2 with the incorrect address to the Generally, employers must employee in an envelope showing the correct address or sign Form W-3c. However, the transmitter or sender otherwise deliver it to the employee. (including a service bureau, paying agent, or disbursing

agent) may sign Form W-3c for the employer or payer only if Correcting more than one Form W-2 for an employee.

the sender: There are two ways to prepare a correction for an employee

• Is authorized to sign by an agency agreement (either oral, who received more than one Form W-2 under the same

written, or implied) that is valid under state law and employer identification number (EIN) for the tax year. You

• Writes “For (name of payer)” next to the signature. can: (a) consider all the Forms W-2 when determining the

amounts to enter on Form W-2c as shown in Example 1 Even though an authorized sender signs for the payer, below, or (b) file a single Form W-2c to correct only the the payer still has the responsibility for making sure the incorrect Form W-2 (see Example 2). However, state, local, Form W-3c and attachments are filed correctly and timely. and Federal government employers who are preparing The payer is subject to any penalties that result from not corrections for Medicare Qualified Government Employment complying with these requirements. (MQGE) employees must also follow the instructions in the

Online Wage Reporting. Using a personal computer and a CAUTION under Boxes 5 and 6 on page 3.

modem, you can access SSA’s Business Services Online Example 1. Mary Smith received two Forms W-2 for tax (BSO) to electronically report wage data. To obtain year 2002 under the same EIN. One form incorrectly information regarding filing wage data electronically with reported social security wages of $30,000 and the second SSA or to access BSO, visit the SSA Web Site at correctly reported social security wages of $20,000. A single www.socialsecurity.gov/employer. Call the SSA at Form W-2c filed to change the $30,000 to $25,000 (correct 1-888-772-2970 if you experience problems using any of the amount) would show $50,000 in box 3 under “Previously services within BSO. reported” and $45,000 in box 3 under “Correct information.”

Information available includes magnetic media filing Example 2. The facts are the same as in the first

information, some IRS and SSA publications, information on example. However, you may choose to correct only the

electronic filing, and general topics of interest about annual incorrect Form W-2 by filing a Form W-2c that shows

wage reporting. You can also use BSO to ask questions $30,000 in box 3 under “Previously reported” and $25,000 in

about wage reporting. box 3 under “Correct information.”

Repayments. If an employee repays you for wages Special Situations received in error in a prior year, file Form W-2c to correct

only social security and Medicare wages and tax. Do not Correcting more than one kind of form. You must use a correct wages reported in box 1 for the amount paid in error. separate Form W-3c for each type of Form W-2 (i.e., W-2, Report an adjustment on Form 941, Employer’s Quarterly W-2c, W-2AS, W-2GU, W-2CM, or W-2VI) being corrected. Federal Tax Return (or 941-SS, 943, or CT-1) for the period You must also use a separate Form W-3c for each kind of during which the repayment was made to recover the social payer in box c (unless the second, checked box is the security and Medicare taxes. Instead of making an “Third-party sick pay” indicator). If you are correcting more adjustment on Form 941 (or 941-SS, 943, or CT-1) you may than one kind of form, please group forms of the same kind, file a claim for these taxes using Form 843, Claim for and send them in separate groups. Refund and Request for Abatement. You may not make an Correcting an employee’s name and/or SSN only. If you adjustment for income tax withholding because the wages are correcting only an employee’s name and/or SSN, were paid in a prior year. complete Form W-2c through box i, as appropriate. Do not Please tell your employee that the wages paid in complete boxes 1 through 20. Advise your employee to error in a prior year remain taxable to him or her for correct the SSN and/or name on his or her original Form that year. This is because the employee received

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W-2. and had use of those funds during that year. The employee If your employee is given a new social security card is not entitled to file an amended return (Form 1040X, following an adjustment to his or her resident status that Amended, U.S. Individual Income Tax Return) to recover the shows a different name or SSN, file a Form W-2c for the income tax on these wages. Instead, the employee is most current year only. entitled to a deduction (or a credit, in some cases) for the

To correct an incorrect tax year or EIN on Form W-2, file repaid wages on his or her Form 1040 for the year of

one Form W-2c showing the incorrect tax year or EIN and repayment.

reducing the previously-reported money amounts to zero Undeliverable Forms W-2c. Keep for 4 years any

and a second Form W-2c reporting the money amounts employee copies of Forms W-2c that you tried to deliver but

(showing zeros in the “Previously reported” columns) in the could not. Do not send undeliverable Forms W-2c to the

correct year or with the correct EIN. SSA.

Employee’s incorrect address on Form W-2. If you filed a

Form W-2 with the SSA showing an incorrect address for

the employee but all other information on the Form W-2 is

correct, do not file Form W-2c with the SSA merely to Specific Instructions for Form W-2c

correct the address. Box a—Tax year/Form corrected. If you are correcting

However, if the address was incorrect on the Form W-2 Form W-2, enter all four digits of the year of the form you

furnished to the employee, you must do are correcting. If you are correcting Form W-2c, W-2AS,

one of the following: W-2GU, W-2CM, or W-2VI, enter all four digits of the year

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you are correcting, and also enter “c,” “AS,” “GU,” “CM,” or and W-3 for the proper format to use in reporting coded

“VI” to designate the form you are correcting. For example, items from box 12.

“2001” and “GU” shows that you are correcting a 2001 Form If a single Form W-2c does not provide enough blank W-2GU. spaces for corrections, use additional Forms W-2c.

Box b—Employee’s correct SSN. You must enter the Box 13. Check the boxes in box 13, under “Previously employee’s correct SSN even if it was correct on the original reported,” as they were checked on the original Form W-2; Form W-2. under “Correct information,” check them as they should Box c—Corrected name. Check this box only if the have been checked. For example, if you checked the employee’s name on Form W-2 (or on a prior Form W-2c) “Retirement plan” box on the original Form W-2 by mistake, was incorrect. If you check this box, you must also enter the check the “Retirement plan” box in box 13 under “Previously employee’s correct name in box e and show his or her reported,” but do not check the “Retirement plan” box in box previously reported, incorrect name in box i. 13 under “Correct information.”

Box d—Employer’s Federal EIN. Show the correct EIN Box 14. Use this box to correct items reported in box 14 of

assigned to you by the IRS in the format 00-0000000. the original Form W-2 or on a prior Form W-2c. If possible,

Boxes e and f—Employee’s name, address, and ZIP complete box 14 on Copies B, C, 1, and 2 of Form W-2c

code. Enter the employee’s correct name and address. See only, not on Copy A.

the Instructions for Forms W-2 and W-3 for name Boxes 15-20—State/local taxes. If your only changes to formatting information. If you are correcting the name, check the original Form W-2 are to state or local data, do not

the “Corrected name” box in box c and also complete box i. send Copy A of Form W-2c to the SSA. Just send Form

Box g—Employer’s name, address, and ZIP code. This W-2c to the appropriate state or local agency and furnish

entry should be the same as shown on your Form 941, 943, copies to your employees.

Employer’s Annual Return for Agricultural Employees, CT-1, Correcting state information. Contact your state or Employer’s Annual Railroad Retirement Tax Return, or locality for specific reporting information. Schedule H (Form 1040), Household Employment Taxes.

The IRS will not use Form W-2c to update your address

of record. To change your address, file Form 8822, Change Specific Instructions for Form W-3c of Address. To get Form 8822, or any other IRS form, call Please do not staple or tape the Forms W-2c to Form W-3c 1-800-TAX-FORM (1-800-829-3676) or visit the IRS Web or to each other. File a separate Form W-3c for each tax Site at www.irs.gov. year, for each type of form, and for each kind of payer Boxes h and i. Complete these boxes only if you are except “Third-party sick pay.” (The “Third-party sick pay” correcting an employee’s SSN or name. indicator box does not designate a separate kind of payer.)

Boxes 1–20. For the items you are changing, enter under Make a copy of Form W-3c for your records.

“Previously reported” the amount reported on the original Form W-3c can be filed alone (without Forms W-2c) to Form W-2 or on a prior Form W-2c. Enter under “Correct correct your EIN on a previously filed Form W-3. If the EIN is information” the correct amount. the only change you need to make, complete only boxes a, Do not make an entry in any of these boxes on Copy A b, e, f, and h, and sign the form. unless you are making a change. However, see CAUTION In the money boxes (except box 12- see Boxes 1–12 below. and 14 on page 4) of Form W-3c, total the amounts from Box 2—Federal income tax withheld. Use this box only each box and column on the Forms W-2c you are sending. to make corrections because of an administrative error. Box a—Tax year/Form corrected. Enter all four digits of (An administrative error occurs only if the amount you the year of the form you are correcting and the type of form entered in box 2 of the incorrect Form W-2 was not the you are correcting. For the type of form, enter “2,” “2c,” amount you actually withheld.) If correcting Forms W-2AS, “2AS,” “2GU,” “2CM,” “2VI,” “3,” “3c,” or “3SS.” For example, W-2GU, W-2CM, or W-2VI, box 2 is for income tax withheld entering “2001” and “2” indicates that all the forms being for the applicable possession. corrected are 2001 Forms W-2. Boxes 5 and 6. Complete these boxes to correct Medicare Box b—Employer’s name, address, and ZIP code. This wages and tips and Medicare tax withheld. State, local, or should be the same as shown on your Form 941, 943, CT-1, Federal government employers should also use these boxes or Schedule H (Form 1040). Include the suite, room, or other to correct MQGE wages. Box 5 must equal or exceed the unit number after the street address. If the Post Office does sum of boxes 3 and 7 for 1991 and later years. not deliver mail to the street address and you use a P.O.

A state, local, or Federal government employer box, show the P.O. box number instead of the street

correcting only social security wages and/or social address. CAUTION security tips (boxes 3 and/or 7) for an MQGE

!

The IRS will not use Form W-3c to update your employee for 1991 and later years must also complete

Medicare wages and tips in box 5. Enter the total Medicare address of record. If you wish to change your

address, file Form 8822. To get this or any other IRS

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wages and tips, including MQGE-only wages, even if there form, call 1-800-TAX-FORM (1-800-829-3676) or visit the is no change to the total Medicare wages and tips previously IRS Web Site at www.irs.gov. reported.

Boxes 8–11. Box c—Kind of Payer. Check the applicable box. If your Use these boxes to correct allocated tips, an previous Form W-3 or W-3SS was checked incorrectly, advance EIC payment, dependent care benefits, or deferrals report your prior, incorrect payer type in the “Explain and distributions relating to nonqualified plans. decreases here:” area below box 19. Box 12–Codes. Complete these boxes to correct any of 941/941-SS. Check this box if you file Form 941 or the coded items shown on Form W-2. Examples include

uncollected social security and/or Medicare taxes on tips, 941-SS and no other category (except “Third-party sick

pay,” if applicable) applies. taxable cost of group-term life insurance coverage over

$50,000, elective deferrals (codes D through H and S, box Military. Check this box if you are a military employer

12), sick pay not includible as income, and employee correcting Forms W-2 for members of the uniformed

business expenses. See the Instructions for Form W-2 services.

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943. Check this box if you file Form 943 and you are Boxes 1–12 and 14. Enter the totals of each box and each

correcting Forms W-2 for agricultural employees. For column from Forms W-2c. For box 12, enter only the total of

nonagricultural employees, send Forms W-2c with a codes D through H and S.

separate Form W-3c, generally with the 941/941-SS box Boxes 16–19. If your only changes to the Forms W-2c and checked. W-3c are to the state and local data, do not send either

Section 218. Check this box if you are a state or local Copy A of Form W-2c or Form W-3c to the SSA. Just send

government employer correcting 1986 or earlier Forms W-2 the forms to the appropriate state or local agency. Furnish

for employees covered under section 218 of the Social copies of Form W-2c to your employees.

Security Act. You must also enter your employer’s SSA Explain decreases here. Explain any decreases to

number (“69–”) in the shaded “corrected” box below box amounts “Previously reported.” Also report here your 12a-d (in box 14 on Form W-2c). previous, incorrect entry in box c, “Kind of Payer.” Enclose

CT-1. Check this box if you are a railroad employer (but do not attach) additional sheets explaining your

correcting Forms W-2 for employees covered under the decreases, if necessary.

Railroad Retirement Tax Act (RRTA). If you also have to Signature. Sign and date the form. Also enter your title, correct forms of employees who are subject to social phone number, and the name of a person to contact. If you security and Medicare taxes, complete a separate Form have a fax number and/or e-mail address, enter them. If you W-3c with the 941/941-SS box checked instead. are not the employer, see Who may sign Form W-3c, on

Hshld. emp. Check this box if you are a household page 2.

employer correcting Forms W-2 for household employees

and you file Schedule H (Form 1040) (or Form 942 before Privacy Act and Paperwork Reduction Act Notice. We 1995). If you also have to correct forms of employees who ask for the information on Forms W-2c and W-3c to carry are not household employees, complete a separate Form out the Internal Revenue laws of the United States. We W-3c. need it to figure and collect the right amount of tax. Section Medicare govt. emp. Check this box if you are a U.S., 6051 of the Internal Revenue Code and its regulations state, or local agency filing corrections for employees require you to furnish wage and tax statements to subject only to Medicare taxes. employees and to the Social Security Administration.

Third-party sick pay. Check this box and another box Section 6109 of the Code requires you to provide your such as the “941/941-SS” box if you are a third-party sick employer identification number.

pay payer (or are an employer reporting sick pay payments You are not required to provide the information requested made by a third party) correcting Forms W-2 and the on a form that is subject to the Paperwork Reduction Act “Third-party sick pay” box in box 13 of Form W-2c under unless the form displays a valid OMB control number. Books “Correct information” is checked. File a single Form W-3c or records relating to a form or its instructions must be for the regular and “Third-party sick pay” Forms W-2c. retained as long as their contents may become material in Box d—Number of Forms W-2c. Show the number of the administration of any Internal Revenue law. individual Forms W-2c filed with this Form W-3c or enter Generally, tax returns and return information are “-0-” if you are correcting only a previously filed Form W-3 or confidential, as required by section 6103. However, section Form W-3SS. 6103 allows or requires the Internal Revenue Service to Box e—Employer’s Federal EIN. Enter the correct disclose or give the information shown on your return to number assigned to you by the IRS in the following format: others as described in the Code. For example, we may 00-0000000. If you are correcting your EIN, enter the disclose your tax information to the Department of Justice incorrect EIN you used in box h. for civil and criminal litigation, and to cities, states, and the

Box f—Establishment number. You may use this box to District of Columbia for use in administrating their tax laws.

identify separate establishments in your business. You may We may also disclose this information to Federal and state

file a separate Form W-3c, with Forms W-2c, for each agencies to enforce Federal nontax criminal laws and to

establishment or you may use a single Form W-3c for all combat terrorism.

Forms W-2c. You do not have to complete this item; it is The time needed to complete and file these forms will optional. vary depending on individual circumstances. The estimated

Box g—Employer’s state ID number. You are not average times are: Form W-2c—40 minutes; Form W-3c—

required to complete this box. This number is assigned by 51 minutes. If you have comments concerning the accuracy

the individual state where your business is located. of these time estimates or suggestions for making these

However, you may want to complete this item if you use forms simpler, we would be happy to hear from you. You

copies of this form for your state returns. can write to the Tax Forms Committee, Western Area

Box h—Employer’s incorrect Federal EIN. Your correct Distribution Center, Rancho Cordova, CA 95743-0001. Do

number must appear in box e. Make an entry here only if not send these tax forms to this address. Instead, see

Where to file Forms W-2c and W-3c on page 1. the number on the original form was incorrect.

Box i—Incorrect establishment number. You may use

this box to correct an establishment number.

Box j—Employer’s incorrect state ID number. Use this

box to make any corrections to your previously reported

state ID number.

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