Tax-Filing Cage Match: W-2 vs. Pay Stub
Jan. 7, 2008
Let’s face it – the last pay stub of the year is pretty weighty. It has all kinds of informational goodies, like how much time off you’ve stockpiled, how much you made, how much you “donated” to FICA.
Plus, if you don’t have to wait for other statements (like a 1099 or a property tax statement), and you have a refund coming, you might be tempted to file your tax return early. Here’s my advice – don’t do it. Here are three reasons why:
You can’t electronically file without having your W-2 in hand. If you use the state’s free electronic filing program (I-File), go to a paid preparer or buy the tax-preparation software and file yourself, you must have your W-2 – the pay stub won’t work.
Navigating a pay stub can be tricky. For instance, if you have any taxsaver items, the total annual income reported on the pay stub is probably more than the “taxable” amount you should be reporting. In other words, you could wind up paying more tax than you should. Who among us would willingly do that?
Filing a return without a W-2 attached will put your return on hold. If you mail in your tax return, a pay stub won’t do. Expect to get a letter from us requesting the W-2. By the time you finally get it and mail it to us, you’ve gained no advantage by filing early. In fact, it will delay things.
Your employer is required to make your W-2 available to you by the end of January at the latest, and most of us get it before then. That’s a modest wait. And, here’s the pay off – your tax return will be filed correctly the first time.
Information on the W-2 is well organized, accurate and easy to find. Pound for pound, my money is on the W-2. And yours should be, too.
- What does the state require to start a business?
- How can I check on my State income tax refund?
- How do I obtain a state tax number to collect sales tax?
- Who can I contact about Indiana income tax?
- Where do I go for tax forms?
- Where is my state tax refund?
- I filed my Indiana tax return. I owe, but am unable to pay at this time. What sh...
- I worked in Indiana six months. Then I worked six months in another state. How s...
- Know when I will receive my tax refund.
- File a part-year Indiana tax return.
- File my taxes as an Indiana resident while I am in the military, but my spouse is not an Indiana resident.
- Take the renter's deduction.
- Pay my tax bill in installments.
- Claim a gambling loss on my Indiana return.
- Have more time to file my taxes and I think I will owe the Department.
Welcome to Tax Talk, hosted by DiB (dye-bee), the Indiana Department of Revenue’s individual income tax guru. DiB, who says she’s been with the Department “since the earth cooled” (though it’s actually 30+ years), writes and develops Indiana’s individual income-tax instruction booklets and forms. DiB created Tax Talk to address Indiana individual income tax questions and issues during the filing season. If you would like to submit a question or topic suggestions, please send those to DiB at feedback@dor.in.gov
Individual Tax Links
Indiana Free Filing - I-File
Individual Tax Forms
Pay Indiana Taxes Online
Internal Revenue Service
Other State’s Tax Forms
