Form 8919 is the US Government Department of the Treasury Internal Revenue Service (IRS) official form used to report your share of Uncollected Social Security and Medicare Taxes on Wages.
When an employee works or performs any services for a firm but is treated as an independent contractor, hence no Social Security or Medicare deductions are made by the employer at the time of paying compensation to the employee, in this case, an employee is required to fill out the Form 8919 and submit that with the IRS.
This is the way to file your tax return for a particular tax year when you are to perform services for a firm.
The purpose of filing Form 8919 (to be filed by a worker) is to report a worker’s earnings made as compensation by providing services to the organization (either you work for it regularly or otherwise) but the organization treated you as an independent contractor!
Through such reporting by filing Form 8919, the worker’s social security earnings amount is credited to the social security record for a worker’s benefit.
IRS Form 8919 is a must to file in case of meeting the below-mentioned criteria:
Whereas the reason codes are, the applicant must write the reasons that apply to her or him from the reasons mentioned here, only reason code G is to be mentioned in column (C) of Form 8919 if the applicant believes that it should have been treated as an employee, for reason code “G”, file Form SS-8 with IRS for filing your tax return. The reason codes are as mentioned:
Here it is necessary to know what a “Firm” meant to be by the Government. As per the IRS, a firm can be:
The firm may or may not have compensated the worker or employee directly, but paid the wage without deduction of Medicare and Social Security giving the treatment the same which is given to an individual contractor.
An employee, being a service provider, must be cautious and take due care of the below-mentioned things:
Form 8919 is the official tax reporting Form issued by the Department of the Treasury the United States Internal Revenue Service (IRS). This form is for individual workers and employees who provide or perform services to a firm and when paid compensation, the firm did not cut the Medicare and Social Security Tax from the Wage provided. In other words, your employer treats you as an independent contractor.
Hence such an employee reports her or his earnings to the IRS. Such reporting is both mandatory and beneficial for an employee to credit the social security earnings into the concerned employee’s accounts. Moreover, the HR professionals need to check before sending any correct information and if there is received a reply from the IRS or otherwise.
Important Note: This write-up is a helpful tool for HR professional readers, clientele, and to-be customers working in HR dominion with active payroll activities. Thereupon, this is the crux of the idea. Hence, employees working in HR are advised to actively check the IRS official website.