! using Form CT-1 X, or because of an IRS

CAUTION examination change, show amounts in column 2

that include those previously reported corrections.

6. Tier 1 Employer Tax—Compensation

TIP

For purposes of these instructions, all references to “sick pay” mean ordinary sick pay, not “qualified sick leave compensation.”

• Identify the basis of the claim; and

• Be dated and contain the employee's signature under penalties of perjury. The penalties of perjury statement should be located immediately above the required signature.

Don’t send these statements and consents to the IRS. Keep them for your records. Generally, all employment tax records must be kept for at least 4 years. Records related to qualified sick leave compensation and qualified family leave compensation for leave taken after March 31, 2021, and before October 1, 2021, should be kept for at least 6 years. Copies must be submitted to the IRS if requested.

In certain situations, you may not have repaid or reimbursed your employees or obtained their consents prior to filing a claim, such as in cases where the period of limitations on credit or refund is about to expire. In those situations, file Form CT-1 X but don’t check a box on line 5. Tell us on line 43 that you haven’t repaid or reimbursed employees or obtained consents at the time you file the claim. However, you must repay or reimburse your employees and certify that you have done so before the IRS can allow the claim.

5c. Check the box on line 5c to certify that your overreported tax is only for the Employer RRTA taxes. This applies when affected employees didn’t give you consent to file a claim for refund for the Employee RRTA taxes, they couldn’t be found, or they didn’t give you a statement described on line 5b.

5d. Check the box on line 5d to certify that your overreported amount is only for RRTA taxes and/or Tier 1 Employee Additional Medicare Tax that you didn’t withhold from your employees.