05-P-031 Questionable W-4's

DATE:	May 17, 2005
SUBJECT:	Questionable W-4's
EFFECTIVE DATE:	April 14, 2005
CONTACT:	Roger Heckerson	(785) 296-5384	Roger.Heckerson@da.state.ks.us
APPROVAL:
SUMMARY:	Change in submission of W-4's to the IRS

Pursuant to Treasury Decision 9196, Internal Revenue Bulletin 2005-19, employers will no longer be required to send copies of potentially questionable Forms W-4 (Employee's Withholding Allowance Certificate) to the Internal Revenue Service. Previously, employers were required to send to the IRS any form W-4 claiming more than 10 allowances or claiming complete exemption from withholding if $200 or more in weekly wages was expected. Under the new regulation, an employer must submit a copy of any currently effective W-4 only if directed to do so in a written notice to the employer from the IRS or if directed to do so under any published guidance. The Division of Accounts and Reports, Payroll Section, will continue to be responsible for submitting W-4's to the IRS if so requested.

Agencies are still required to provide copies of an employee's Form W-4 on request. Please refer to the SHARP CBT (Employee Payroll Tax Data book) for specific information related to providing Form W-4 for employees entering their W-4 information via self-service.

DB:rh