If you represent a government entity that makes payments to contractors for products or services—or you are a contractor yourself—you may be interested in learning more about the new Federal income tax withholding provisions under Internal Revenue Code section 3402(t). These new provisions will require payers to withhold three percent from certain payments for products and services, beginning on January 1, 2013. These requirements apply to all Federal and state agencies, and certain units of local government. Learn more about which entities are required to withhold, which payees may be exempt from withholding, and which payments are subject to this withholding. These issues and others will be explained and discussed via two free phone forums offered by the IRS office of Federal State and Local Governments on August 4th and August 18th.
Each phone forum will be limited to 1,000 participants, so please sign up through the links above as soon as possible. If you have a specific issue that you would like the speakers to address, please let us know via email at email@example.com. You can find more information abut the section 3402(t) withholding on the FSLG website.