Late W2s
The following is excerpted from the Instructions to Forms W2 and W3.
If you fail to provide correct payee statements (Forms W-2) to your employees and you cannot show reasonable cause, you may be subject to a penalty. The penalty applies if you fail to provide the statement by January 31, you fail to include all information required to be shown on the statement, or you include incorrect information on the statement. The penalty is $50 per statement, no matter when the correct statement is furnished, with a maximum of $100,000 per year.
Use of a reporting agent or other third-party payroll service provider does not relieve an employer of the responsibility to ensure that Forms W-2 are furnished to employees and filed correctly and on time.