T

by the Internal Revenue Service (IRS) in 1995 with assistance from the State of Colorado and is a cooperative effort of the Social Security Administration (SSA), the IRS and the National Conference of State Social Security Administrators (NCSSSA). Topics addressed in this publication include determination of worker status, public retirement systems (FICA replacement plans), Social Security and Medicare coverage and benefits, agreements under Section 218 of the Social Security Act (Section 218 Agreements), employment tax laws and other tax issues. The tax information generally applies to federal agencies, with some exceptions; for example, the discussion of employment that is subject to Social Security and Medicare taxes, including the Section 218 Agreement information, and the discussion of relief under Section 530 of the Revenue Act of 1978 (Section 530 relief) doesn't apply to federal agencies.

All IRS forms and publications mentioned in this publication can be ordered without charge from the IRS at 800-829-3676, or can be downloaded at www.irs.gov/forms. Governmental taxpayers may get assistance with general or account-related questions by calling Customer Account Services at 877-829-5500, Monday through Friday.

This publication also includes information for Indian tribal governments. Federal tax law establishes the role of Indian tribal governments as employers. Tribal governments are required to follow substantially the same procedures as other employers. Tribes are not eligible for Section 218 Agreements; however, tribes may apply to SSA to have wages paid to tribal council members covered by an agreement under section 218A of the Social Security Act (Section 218A Agreement). Other special statutory provisions apply to tribal governments. For more information about Indian tribal governments, visit IRS.gov/tribes. Publication 4268, Employment Tax for Indian Tribal Governments, addresses employment tax issues for tribal governments.

Frequently asked questions appear at the end of each chapter of this publication. After each answer, the primary contact for the topic is indicated - IRS, SSA or STATE.

The Federal-State Reference Guide is for informational and reference purposes only. This content cannot be used or cited as authority for assuming, or attempting to sustain, a technical position on employment tax, Social Security benefits or other legal issues. Valid citations of authority for technical matters are:

• The Internal Revenue Code (IRC);

• Certain statutory tax provisions affecting the IRC that are not actually part of the IRC (off-IRC provisions, such as Section 530 of the Revenue Act of 1978) and the Social Security Act (Act); and

• Regulations, other published administrative guidance (such as rulings) and case law related to these laws.

i