Notice 2015-6 [PDF 65 KB] provides that:
Notice 2015-6 sets forth a modified procedure that only affects the filing of the third-party sick pay recaps and does not otherwise affect the current rules for: (1) furnishing statements of the third-party sick pay to individual employees on Form W-2, Wage and Tax Statement; (2) filing with the SSA copies of the Forms W-2 together with Form W-3, Transmittal of Wage and Tax Statements, that are not third-party sick pay recaps; and (3) reporting such payments to the IRS on Form 941, Employer’s QUARTERLY Federal Tax Return (or on Form 944, Employer’s ANNUAL Federal Tax Return, if applicable).
The IRS notice states that the change to using Form 8922 also has no effect on liability for employment taxes (e.g., FICA tax, income tax withholding, FUTA tax).
Notice 2015-6 sets forth rules concerning responsibility for the withholding and payment of employment taxes and for reporting employment taxes and wages with respect to third-party sick pay.
With today’s release, the IRS has requested comments on the appropriate length of time to retain a rule under which third-party filers (insurers or agents) of Form 8922 are not required to complete the boxes for the other party’s name and EIN, including whether third-party filers would need additional transition time prior to being required to complete these boxes if electronic filing of Form 8922 becomes available. Comments are due on or before June 30, 2015.
© 2016 KPMG LLP, a Delaware limited liability partnership and the U.S. member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative (“KPMG International”), a Swiss entity. All rights reserved.
The KPMG logo and name are trademarks of KPMG International. KPMG International is a Swiss cooperative that serves as a coordinating entity for a network of independent member firms. KPMG International provides no audit or other client services. Such services are provided solely by member firms in their respective geographic areas. KPMG International and its member firms are legally distinct and separate entities. They are not and nothing contained herein shall be construed to place these entities in the relationship of parents, subsidiaries, agents, partners, or joint venturers. No member firm has any authority (actual, apparent, implied or otherwise) to obligate or bind KPMG International or any member firm in any manner whatsoever. The information contained in herein is of a general nature and is not intended to address the circumstances of any particular individual or entity. Although we endeavor to provide accurate and timely information, there can be no guarantee that such information is accurate as of the date it is received or that it will continue to be accurate in the future. No one should act on such information without appropriate professional advice after a thorough examination of the particular situation. For more information, contact KPMG's Federal Tax Legislative and Regulatory Services Group at: + 1 202 533 4366, 1801 K Street NW, Washington, DC 20006.