File Forms 1042 & 1042-S before March 16th to avoid penalties of up to $330 per form.
FAYETTEVILLE, AR AND DALLAS, TX / ACCESS Newswire / March 10, 2026 / With just one week remaining before the March 16th deadline, Tax1099, an IRS-authorized eFiling platform, is urging tax professionals and withholding agents to file Form 1042 and 1042-S forms for their clients before the deadline to avoid paying penalties and encountering compliance issues.
The deadline for Form 1042 (Annual Withholding Tax Return for U.S. Source Income of Foreign Persons) and Form 1042-S (Foreign Person's U.S. Source Income Subject to Withholding) is on March 16, 2026.
Note: The original deadline of March 15, 2026, falls on a weekend. Under IRS policy, when a filing deadline falls on a weekend or federal holiday, the due date moves to the next business day, in this case, Monday, March 16, 2026.
Penalties for Late Filing
The penalties for late filing start at $60 per form and can escalate to $330, and for firms managing hundreds or thousands of foreign payees, that add up fast.
Filed within 30 days after the due date: $60 per form
Filed after 30 days but by August 1: $130 per form
Filed after August 1 or not filed at all: $340 per form
Intentional disregard: $680 per form or 10% of the amount that should have been reported, whichever is greater
Besides late filing penalties, you may also be subject to compliance issues due to late filing. This may require additional documents to correct the filings. Responding to these notices can take time and add extra work for tax teams already handling large volumes of forms.
The delay in filing can also affect foreign recipients who rely on Form 1042-S to report U.S.-source income and claim treaty benefits in their home countries.
With the deadline just a week away, Tax1099 offers withholding agents and tax professionals the tools needed to file Form 1042 and Form 1042-S.
Guided eFiling: Walk users through each section of the form to ensure all required fields are accurate before submission.
Built-in validation checks: Automated data checks, TIN check, and USPS address validation help reduce the chances of errors.
Bulk filing capability: Businesses handling large numbers of foreign payees can upload and process hundreds or thousands of Forms 1042-S at once.
Schedule eFiling: Prepare forms in advance, update information, and schedule submission ahead of the deadline.
Data import options: Upload data in bulk or use Excel/CSV template to import data.
Multi-user access: Add users, assign tasks, and control who can access the forms to streamline collaboration.
Notice tracking: Users can track IRS acceptance notifications and manage follow-up correspondence within the platform.
Besides Form 1042 and 1042-S, Tax1099 also supports other forms, including Forms 1099, W-2, 940, 941, 1095-B, 1095-C, and W-9.
About Zenwork Tax1099
Tax1099, an IRS-authorized e-filing service, simplifies tax compliance for over 750,000 businesses and 70,000 CPA firms nationwide. Supporting 40+ federal and state-compliant forms, including Form 941, Tax1099 offers robust features like bulk filing, TIN matching, API integration, and 24/7 support. Backed by over 10 years of experience in tax processing and customer service, the platform offers a suite of capabilities to suit diverse needs. Learn more at www.tax1099.com
About Zenwork Inc.
Zenwork Inc., the parent company of Tax1099, is a leader in digital tax compliance and regulatory reporting. The company leverages automation to revolutionize business tax compliance, providing a modern SaaS and API platform that adapts to evolving regulatory reporting requirements, risk mitigation, and compliance needs.
Learn more about Zenwork and its products at www.zenwork.com, www.tax1099.com, and www.compliancely.com
Contact: Ed Pratt
Zenwork Inc.
ed@zenwork.com
SOURCE: ZENWORK INC
View the original press release on ACCESS Newswire:
https://www.accessnewswire.com/newsroom/en/business-and-professional-services/tax1099-urges-withholding-agents-to-file-1042-and-1042-s-as-marc-1145589
