The withholding tables are designed to work with the Forms W-4 that workers have already filed with their employers, Treasury states, which "will minimize burden on taxpayers and employers.
The IRS will work with the business and payroll community to encourage workers to file new Forms W-4 next year and share information on changes in the new tax law that impact withholding.
Forms W-4 are not generally required to be submitted to the IRS but should be retained for at least four years.
Department of Health and Human Services maintains a database called the National Directory of New Hires (NDNH), which contains data from
Forms W-4 for newly hired employees, quarterly wage data from state workforce and federal agencies, and unemployment data from state workforce agencies pertaining to persons who have applied for or received unemployment benefits.
Previous regulations required employers to submit certain employees' Forms W-4 to the IRS on the agency's written request.
The new temporary and proposed regulations no longer require an employer to submit any Forms W-4 to the Service, unless it receives a written notice requesting Forms W-4 for specific employees (TD 9196, 4/13/05).
For example, the Service is looking into cash transactions, S corporations and propriety of
Forms W-4, Employee's Withholding Allowance and Atlantic City.
The municipalities, however, should require the employees to complete
Forms W-4.
The predecessor must retain copies of Forms W-4 and W-5 and the "acquired" employees must supply the successor with new Forms W-4 and W-5.
Additionally, the predecessor must forward all Forms W-4 and W-5 for the acquired employees to the successor.
The predecessor must keep on file the
Forms W-4 and W-5 provided by its former employees.
Employee Information
Forms W-4 and I-9; and certain supplemental tax worksheets and schedules.
