Friday, February 4, 2011

IRS Payroll News and Events from Stakeholder Liaison - February 4 2011

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Payroll and Tax News                                                        February 4, 2011


Medical Residents’ Wages 

The U.S. Supreme Court in Mayo Foundation for Medical Education and Research et al. v. U.S., has affirmed Regulations that require hospitals to pay FICA taxes on their medical residents if they work at least 40 hours per week, resolving a long-standing issue between the IRS and teaching hospitals.


Learn about tax topics through video and audio presentations

Archived versions of live panel discussions • Archived webinars

Video clips • Audio archives of national phone forums


Free Tax Help Available Nationwide
IR-2011-13, Jan. 28, 2011 — Over 12,000 free tax preparation sites will be open nationwide this year providing vital tax preparation services for low- to moderate-income and elderly taxpayers.

Workers Urged to Check Eligibility for EITC; IRS and Partners Mark 5th EITC Awareness Day
IR-2011-12, Jan. 28, 2011 — The Internal Revenue Service and partners nationwide mark the 5th Earned Income Tax Credit Awareness Day on Friday, Jan. 28.


IRS Launches the IRS2Go App for iPhone, Android; Taxpayers Can Check Refunds, Get Tax Information
IR-2011-8, Jan. 24, 2011 — The Internal Revenue Service announces its first smartphone app, IRS2Go.


IRS Reminds Small Charities to Check Their Reporting Requirements Because They May Have Gotten Simpler
IR-2011-3, Jan. 13, 2011 — Most tax exempt organizations that had receipts of $50,000 or less during 2010 can file the e-Postcard instead of the standard Form 990, up from $25,000 in prior years.

National Taxpayer Advocate Delivers Annual Report to Congress; Focuses on Tax Reform, Collection Issues, and Implementation of Health Care Reform
IR-2011-2, Jan. 5, 2011 — National Taxpayer Advocate Nina E. Olson released her annual report to Congress.

IRS Kicks Off 2011 Tax Season with Deadline Extended to April 18; Taxpayers Impacted by Recent Tax Breaks Can File Starting in Mid- to Late February
IR-2011-1, Jan. 4, 2011 — The IRS opened the 2011 tax filing season by announcing that taxpayers have until April 18 to file their returns and reminded taxpayers to e-file as the best way to ensure accurate tax returns and get faster refunds.


Pub 1693: SSA/IRS Reporter (Winter 2010)

Social Security Number Randomization, Small Business Jobs Act of 2010 Contains New Tax Provisions, HIRE Legislation— Special Reporting on Form W-2 for 2010, and more . . .


Connect with the IRS

The IRS uses new and social media tools to share the latest information on tax changes, initiatives, products and services. 



Headliner and Technical Guidance


Headliner Volume 308, January 11, 2011 - Employers in Indiana, Michigan and South Carolina Must Adjust Their Unemployment Tax Liability on Their 2010 Form 940.


Headliner Volume 307, January 6, 2011 - IRS Reminds Aggregate Filers to Use Schedule R for Form 941 and Form 940.


Notice 2011-12 provides that, for wages paid after December 31, 2010, the procedure employers use to determine income tax withholding on wages paid for services performed by nonresident alien employees within the United States are different than the procedures used in 2010.  The new procedures are explained in Publication 15 (Circular E), Employer’s Tax Guide, for use in 2011 and Notice 1036, Early Release Copies of the 2011 Percentage Method Tables for Income Tax Withholding.


Notice 2011-11 provides relief by allowing tax return preparers who have made a good faith effort to obtain a PTIN to prepare tax returns for compensation even though they have not received a PTIN.


Notice 2011-06 provides guidance regarding the implementation of new Treasury regulations governing tax return preparers regarding the requirement to obtain a preparer tax identification number (PTIN), identifies the forms that qualify as tax returns or claims for refund for purposes of those regulations, and provides interim rules applicable to certain PTIN holders during the implementation phase of the new regulations governing tax return preparers. 


Revenue Procedure 2011-12 provides the cost-of-living adjustments to certain items for 2011 as required under the Internal Revenue Code.  The cost-of-living adjustments for 2011 for other items were previously published in Rev. Proc. 2010-40, 2010-46 I.R.B. 663 (dated November 15, 2010).


IRS Tax Map

Find answers to tax questions online - Interactive Tax Assistant


IRS Issues Fact Sheets to Help Taxpayers in 2011 - To kick of the tax filing season, the IRS has issued fact sheets to provide information on the many topics.


Payroll Professionals Tax Center - Information for Payroll Professionals and Their Clients
Information for payroll professionals and their clients. This page includes links to information on employment taxes, worker classification, electronic filing, employment tax related forms and publications, news and events, and more.




National/Local Phone Forums and Webinars for Practitioners



EP/EO Presents


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 James R. Kinsey
Sr Stakeholder Liaison Specialist
Communication, Liaison & Disclosure
SB/SE Division
Work 408-817-6842
Fax 408-817-4601