Don’t Risk Penalties! E-File 1042 & 1042-S with TaxBandits Before Midnight to Ensure IRS Compliance

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Time’s ticking, and the deadline to file crucial IRS forms is here! 

As the clock winds down, let’s talk about the forms that could make or break your day: the 1042 and 1042-S. Normally, March 15 would be your final day to file, but thanks to the IRS’s weekend grace, you have until midnight tonight—March 17, 2025. But let’s face it: waiting until the last minute can be stressful. Fortunately, TaxBandits is here to make the filing process smooth and straightforward. With built-in error checks, quick signature options, real-time updates, and automatic recipient copy distribution, filing these forms has never been easier or more efficient.

You might be rushing to file for multiple recipients or double-checking your entries, but TaxBandits’ advanced features ensure that everything is in place before submission. Here’s what you need to know about the forms and how we can help you file before time runs out.

Here’s a quick overview of the annual tax forms your business must file before today’s deadline:

Form 1042: Foreign Person’s U.S. Source Income Subject to Withholding

This form reports taxes withheld on certain income paid to foreign individuals or entities. Withholding agents, including partnerships, corporations, individuals, associations, and brokers, must file Form 1042 by today’s deadline to remain compliant with IRS regulations.

Form 1042-S: Annual Withholding Tax Return for U.S. Source Income of Foreign Persons

This form reports U.S.-sourced income paid to foreign individuals or entities subject to withholding tax. Form 1042-S is filed by withholding agents, including employers, financial institutions, educational institutions, and businesses.

Here’s What Happens If You Miss Today’s Deadline

Failing to file Form 1042-S and Form 1042 by today’s deadline can lead to significant IRS penalties. Here’s what you need to know:

Penalties for Late Filing and Payment of Form 1042

• Late Filing Penalty: 5% penalty on the unpaid tax per month (or part of a month) with a maximum penalty of 25% of the unpaid tax.
  
• Late Payment Penalty: 0.5% penalty on the unpaid tax per month (or part of a month) with a maximum penalty of 25% of the unpaid tax.

Penalties for Late Filing of Form 1042-S

Failing to file a correct and complete Form 1042-S by the deadline (including extensions) may result in penalties unless you can demonstrate reasonable cause and not willful neglect.

The penalty amounts vary based on delay

• Filed within 30 days after the deadline: $60 per form
• Filed after 30 days but by August 1: $130 per form
• Filed after August 1 or not filed at all: $330 per form
• Intentional disregard of filing requirements: $660 per form (with no maximum limit)

Click here to learn more about Form 1042-S penalties.

Need More Time? Request an Extension Today!

If you think you cannot file Forms 1042 and 1042-S by today’s deadline, you can request an extension from the IRS. However, acting before the day ends is essential, as the extension requests must be submitted today.

How to Request an Extension:

• For Form 1042-S: File Form 8809 to request a 30-day extension.
• For Form 1042: File Form 7004 to request a 6-month extension.

Important Reminder: While these extensions grant extra time to file the forms, they do not extend the deadline for tax payments. Any unpaid taxes are still due today to avoid penalties and interest.

Additionally, if you need extra time to furnish Form 1042-S recipient copies, you can submit Form 15397 to request a 30-day time extension. This request must be faxed to the IRS before today’s deadline.

TaxBandits: Your Last-Minute E-Filing Solution for Forms 1042 and 1042-S

TaxBandits acknowledges the challenges associated with last-minute filing and, therefore, provides tailored solutions designed to facilitate the process and ensure compliance. The following outlines how TaxBandits can assist you in efficiently managing the e-filing of the 1042-S and 1042 forms:

Fast and Secure E-Filing

With TaxBandits, e-filing Forms 1042 and 1042-S is quick and secure—even on deadline day! Our user-friendly platform simplifies the process, minimizes errors, and ensures compliance. Avoid the last-minute rush and file easily before today’s deadline. Say goodbye to paperwork and welcome a seamless, stress-free e-filing experience with TaxBandits!

Upload Multiple Records Simultaneously to Reduce Errors

Eliminate the burdensome task of manual data entry and seamlessly utilize TaxBandits’ Bulk Upload feature. This allows for the rapid upload of multiple records within seconds, thereby minimizing errors and expediting your filing process—ensuring compliance with today’s deadline.

Seamless Distribution of 1042-S Recipient Copies

Providing recipients with a copy of their Form 1042-S constitutes a vital IRS requirement for compliance. Utilizing TaxBandits, you may select either secure online access or foreign postal mailing to distribute recipient copies. 

AI-Powered Assistance & World-Class Customer Support

Navigating tax filings can be complex, but with BanditAI, TaxBandits’ AI-powered chatbot, you’ll have real-time support at every step. Plus, our customer support team is always ready to assist you with any questions or concerns through phone, live chat, or email. Whether it’s last-minute clarifications or any other filing questions, we’ve got your back!

Options to Request Extension

If you need an extension to file your 1042-S, you can simply e-file 8809 with TaxBandits and get a 30-day extension. For requesting an extension for 1042, you can get started with ExpressExtension, our sister product, to file Form 7004 and get up to six months more time.

Note: Not just for 1042 and 1042-S, today is also the deadline for filing 1120-S, 1065, and certain other business tax returns. You can file Form 7004 with ExpressExtension today to get more time and avoid costly penalties.

Don’t Wait: E-File Now!

With time running out, you must act immediately to meet today’s deadline. TaxBandits is here to help! Our user-friendly platform ensures quick, accurate, and secure e-filing.

Get started now and file Form 1042 & 1042-S before it’s too late!