[Revenews] Payrolltax News LISTSERV-May 2010

Tue May 11 11:54:41 PDT 2010

PayrollTax News LISTSERV
May 2010 Edition

Important Information:

I. Withholding on Deferred Compensation/Annuities:

Administrative Rule 150-316.189 states withholding on distributions from
a commercial annuity, individual retirement plans and other deferred
compensation plan is mandatory in the state of Oregon. However, under
certain circumstances an individual may elect to have no state
withholding by submitting a written request to the payer.   

Withholding is done just as if these payments were wages using the
withholding tax formula and tables furnished by the Department and using
the exemptions as claimed on the IRS form W4P.  State withholding
requirements are similar to federal.  However, withholding is not
required for a roll-over from one qualifying plan to another and Oregon
does not follow federal backup withholding rules.  

Reporting:

Employers making periodic distributions for pensions and annuities need
to obtain a different Business Identification Number (BIN) from the BIN
for their payroll account by submitting the Registration form,
"Registration Report: Withholding on IRA's Annuities and Compensation
Plans" located on our website at
http://www.oregon.gov/DOR/BUS/forms-payroll.shtml
<http://www.oregon.gov/DOR/BUS/forms-payroll.shtml>  .  The same
reporting forms and coupons are used as you would for your payroll tax
reporting. (Oregon Quarterly Tax Report and Oregon Tax Coupons)

If submitting withholding on any periodic payment using your Payroll BIN
prior to obtaining your new number, you MUST add in the amount of this
withholding to your payroll withholding for that particular quarter. For
example, if you are reporting payroll withholding of $1750.00 for the
1st quarter of 2010, but you also sent in a withholding payment of
$57.50 for a deferred compensation distribution, your total withholding
for the quarter is $1807.50 instead of $1750.00. You also will need to
include this amount on the form WR (Oregon Withholding Annual
Reconciliation Report) for that account. 

For a more detailed discussion on how Oregon applies withholding rules
to this special situation, please go to our website at
http://www.oregon.gov/DOR/adminrules.shtml
<http://www.oregon.gov/DOR/adminrules.shtml>   and review Oregon
Administrative Rule 150 316.189, or see the "Combined Payroll Tax
Booklet" for 2010, page 18.   

II. Educational Opportunities:

A. Webinars:  

May 20th: Navigating the Oregon and IRS Web Sites
Learn to find important information on both sites with less "clicks"
saving valuable time and reducing frustration. This webinar is
free...Register TODAY by going to
https://cc.readytalk.com/cc/schedule/display.do?udc=y7y8tiux7qht
<https://cc.readytalk.com/cc/schedule/display.do?udc=y7y8tiux7qht>  

1099 MISC. Filing Requirements for State and Local Governments:

See link:   http://www.tax.gov/sbv_1099webinar/index.htm
<http://www.tax.gov/sbv_1099webinar/index.htm> 

Learn who is required to file, what entities received the 1099MISC, what
types of payment are subject to 1099MISC reporting and other useful
information

B. Events:

Thurs. May 13th:  21st Annual OAME Trade Show-Oregon Convention Center,
Portland

Time: 10:00am-3:00pm

Network and make contacts with over 120 businesses, state and government
agencies helping minority, women and emerging small business. This show
is free.  Go to www.oame.org <http://www.oame.org/>  for complete
information 

Saturday May 15th, 9:00am-2:00pm. IRS Open House
Locations: 1220 SW Third Ave Portland

                   1660 Oak St. SE, Salem OR  

IRS will open Saturday to provide small business owners and individual
tax payers dealing with notices and payments, return preparation and
other tax issues.   

Thurs June 3rd, Lane Community College, Business Development Center

Class: "Are You Really an Independent Contractor"
Times: 10:00am-12:00pm. 
Location: Business Development Center. 1445 Willamette St. Suite 1,
Eugene OR.   
Learn what it really means to be an Independent contractor in Oregon,
the differences between State and Federal law, and the ramifications if
employees are "mis-classified"

Contact the Business Center at 503 463-5255 for additional information  

Weds, June 16th , Gresham Small Business Fair
Location:   Mt. Hood Community College.  
Please contact Gerri Raisanen at the SBDC by calling 503-491-7658 or
emailing Gerri at Gerri.Raisanen at mhcc.edu for further information.

The Payrolltax-News e-mail list provides employers with complete and
up-to-date payroll tax information. Employers can self-subscribe here
<http://listsmart.osl.state.or.us/mailman/listinfo/payrolltax-news> .
Representatives in the Business Division will send information to
employers through this list. Employers can request additional
information by e-mailing payroll.help.dor at state.or.us
<mailto:payroll.help.dor at state.or.us> .

As a standard practice, e-mail sent from the department will be in text
form only. Department of Revenue will not open attachments.

Questions about list content and subscription problems should be
directed to the list owner:  

Cathy Tavares
Oregon Dept of Revenue
Cathleen.M.Tavares at state.or.us <mailto:Cathleen.M.Tavares at state.or.us> 
503-945-8762 <mailto:Cathleen.M.Tavares at state.or.us> 

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