The is a critical document for both employees and the IRS. For employees, it provides a comprehensive overview of their annual earnings and taxes paid, which is essential for filing accurate tax returns. The W2 also aids in determining whether an employee is eligible for a tax refund or if they owe additional taxes to the government.
For the IRS, the W2 acts as a means of verifying the accuracy of an employee's tax return. Employers like Walmart are required by law to submit copies of their employees' W2 forms to the IRS, which allows the agency to cross-reference the information reported by employees on their individual tax returns.
For the IRS, the W2 acts as a means of verifying the accuracy of an employee's tax return. Employers like Walmart are required by law to submit copies of their employees' W2 forms to the IRS, which allows the agency to cross-reference the information reported by employees on their individual tax returns.