Withholding Certificate for Pension or Annuity Payments. --.a Code

Transcription

1 epartment f Revenue Services Frm T -W4P ffective January 1, 2018 State f nnecticut (Rev. 10/17) Withhlding ertificate fr Pensin r Annuity Payments r7.'\l New withhlding requirement: ffective January 1, 2018, a payer must withhld nnecticut incme tax frm taxable pensin r annuity payments made t a nnecticut resident. Yu must cmplete this frm fr payments made n r after January 1, 2018, r yur payer will withhld 6.99% f yur payment. Payee Instructins Read instructins n Page 2 befre cmpleting this frm. If yu r yur spuse, r bth, have mre than ne surce f incme, see heck Yur Withhlding n Page 2. Married Filing JOintly Our expected cmbined annual grss incme is less!han r equal t $24,000 and n withhlding IS necessary. My spuse has incme-subject t withhlding and ur expected cmbined annual grss incme is greater than $ and less than r equal t $100,500. See erlain Married Individuals, Page 2. My spuse des nt have incme subject t withhlding and ur expected cmbined annual grss incme is greater than $24,000. My spuse has incme subject t withhlding and ur expected cmbined annual grss incme 0 is greater than $100,500. Select the filing status yu expect t reprt n yur nnecticut incme tax return. See instructins. hse the statement that best describes yur grss incme. nter the Withhlding n Line 1 belw. --.a Married Filing Separately A My expected annual ss incme is less than r equal t $12,000 and n with lding is necessary. than $12,000. I have significant ther incme and wish t avid having Single My expected annual ss incme is less than r equal t $15,000 and n with lding is necessary. than $15,000. F I have significant ther incme and wish t avid having 0 I have Significant ther incme and wish t avid having Qualifying Widw(er) With ependent hild --.. Head f Husehld My expected annual grss incme is less than r equal t $24,000 and n withhlding is necessary. than $24,000. I have significant ther incme and wish t avid having My expected annual grss incme is less than r equal t $19,000 and n withhlding is necessary. than $ I have Significant ther incme and wish t avid having A --.g B Separate here and give Frm T-W4P t the payer f yur pensin r annuity. mplete this frm in blue r black ink nly. \} nt mail t RS. Keep a cpy fr yur recrds _ _......_ _ epartment f Revenue Services State f nnecticut Withhlding ertificate fr Pensin r Annuity Payments 2018 Frm T-W4P 1. ng : nter WifIJhIdiJg IeUef chsen (rm abiie Additinal withhlding amunt pef" payme!1t. if any. See Page _..._ S 3. Reduced wilnilidirlg amurt per payment. if any See Page 3..._ S FJrst name MI Last name Scial Security Number Hme address (number and street, apartment number, suite number, PO Bx) ilyltwn State ZIP cde laim r identiticatin number (if any) f yur pensin r annuity cntract eclaratin: I dedare under penalty f law that I have examined this certificate and, t the best f my knwledge and belief, it is true, cmplete, and crrect. I understand the penalty fr reprting false infrmatin is a fine f nt mre than $5.000, imprisnment fr nt mre than five years, r bth. I Payee's signature

2 Payee General Instructins Frm T -W4P, Withhlding ertificate fr Pensin r Annuity Payments, is fr nnecticut resident recipients f pensin, annuities and certain ther deferred cmpensatin subject t nnecticut incme lax. Frm T-W4P prvides yur payer with the necessary infrmatin t withhld the crrect amunt f nnecticut Incme lax frm yur pensin r annuity payment t ensure thai yu will nt be underwithheld r verwithheld. ffective January 1, 2018, payers f taxable pensin r annuity distributins are required t deduct and withhld incme tax frm such distributins. Payers must calculate the amunt t withhld frm such distributins using the same methd that emplyers use t determine the amunt t withhld frm wages. mplete Frm T-W4P by selecting a withhlding cde based n the fi ling status yu expect t reprt n yur nnecticut incme tax return and the statement that best describes yur grss incme. Frm T-W4P fr years 2017 and prir are bslete. Fr nnecticut incme tax purpses, grss incme means all incme frm all surces, whether received in the frm f mney, gds. prperty. r services, nt exempt frm federal incme tax and Includes any additins t incme frm Schedule 1 f Frm T nnecticut Resident Incme Tax Return r Frm T-1040NR/PY, nnecticut Nnresident and Part- Year Resident Return. Generally. the filing status yu expect t reprt n yur nnectfcut incme tax return is the same as the filing status yu expect t reprt n yur federal incme tax return. Hwever, special rules apply t married individuals wh file a jint federal return but have a different residency status. Nnresidents and part-year residents shuld see the instructins t Frm T-1040NR/PY. Yu can't designate a specific dllar amunt t be withheld. Failure t give yur payer a prperly cmpleted 2018 Frm T-W4P will result in 6.99% withhlding frm yur payment(s). Frm T-W4P will remain in effect until yu submit a new ne. Yu shuld cmplete a new Frm T-W4P if yur tax situatin changes, such as yur filing status changes. Yeu shuld furnish yur payer with a new Frm T-W4P within ten days f the change. These rules d nt apply t lump sum distributins (distributins f the entire accunt balance). The withhlding rate fr lump sum distributins is 6.99%. heck Yur Withhlding Yu may be underwithheld if any f the fllwing apply: Yu r yur spuse, r bth, have mre than ne surce f incme, whether r nt subject t withhlding; Yu qualify under ertain Married Individuals and d nt use the Supplemental Table n Page 3 and Page 4; r Yu have substantial ther incme such as interest. dividends r capital gains. If yu are underwithheld, yu shuld cnsider adjusting yur withhlding r making estimated payments using Frm T-1040S, stimated nnecticut Incme Tax Payment upn fr Individuals. Yu may als select Withhlding "0" t elect the highest level f withhlding. If yu we $1,000 r mre in nnecticut incme tax ver and abve what has been withheld frm yur incme fr the prir taxable year, yu may be subject t interest n the underpayment at the rate f 'I % per mnth r fractin f a mnth. T help determine if yur withhlding is crrect, see Infrmatinal Publicatin 2018(7), Is My nnecticut Withhlding rrect? ertain Married Individuals If yu are a married individual filing jintly and yu and yur spuse bth select Withhlding "A,' yu may have t much r t little nnecticut incme tax withheld frm yur pensin r annuity payment. This is because the phase-ut f the persnal exemptin and credit is based n yur cmbined incmes. The withhlding tables cannt reflect yur exact withhlding requirement withut cnsidering the incme f yur spuse. T minimize this prblem, use the Supplemental Table n Page 3 and Page 4 t adjust yur withhlding. Yu are nt required t use this table. nt use the supplemental table t adjust yur withhlding if yu use the wrksheet in IP 2018(7). Payer Instructins Fr any payee wh des nt cmplete Frm T -W4P, yu are required t withhld at the highest marginal rate f 6.99% withut allwance fr exemptin. Yu are required t keep Frm T -W4P in yur files fr each payee. See Infrmatinal Publicatin 2017(8), nnecticut Tax Guide fr Payers f Nnpayrll Amunts, fr cmplete instructins. Fr Mre Infrmatin all RS during business hurs. Mnday thrugh Friday: (nnecticut calls utside the Greater Hartfrd calling area nly); r (frm anywhere). TTY. TOO, and Text Telephne users nly may transmit inquiries anytime by calling Frms and Publicatins Visit the RS website at t dwnlad and print nnecticut tax frms and publicatins. Frm T-W4P (Rev. 10/17) Page 2 f 4

3 "U c (l) w 9-.t. Supplemental Table Married uples Filing Jintly. ffective January 1, 2018 Fr married cuples wh bth select Withhlding "A" n Frm T-W4P (cmbined incme is $100,500 r less). Instructins 1. Reading acrss the tp f the table, select the apprximate annual pensin r annuity incme f ne spuse. Reading dwn the left clumn. select the apprximate annual pensin r annuity incme f the ther spuse. See Page 4 fr the cntinuatin f this table. 2. At the intersectin f the tw numbers is an adjustment amunt. This Is yearly adjustment amunt. 3. T calculate the adjustment fr each payment. cmplete the fllwing wrksheet. A. Adjustment amunt 3A. _ B. Payments in a year: See Payment Frequency Table _. Payments adjustment: ivide Line 3A by Line If the adjustment is psi.tlve. enter the adjustment amunt frm Line 3 n Frm T-W4P. Line 2. f ne spuse. If the adjustment is negative. enter the adjllstmen amunt in brackets frm Line 3 n Frm T-W4P. Line 3, f ne spuse Payment Frequency Table If yu are paid: Mnthly.. Quarterly.... Semi-annual Payments in a year: Annuli Paymen 2,000 4,000 6,000 8,000 10,000 12,000 14,000 16,000 18,000 20,000 22,000 24,000 26,000 3, (15) (42) (99) (156) (248) (318) (485) 6, (15) (42) (99) (141) (225) (295) (414) 9, (15) (35) (77) (119) (182) (192) (308) 12, (12) (54) (48) (60) (106) (249) 15,000 (23) (23) (23) (23) (15) (24) (70) (162) 18,000 (99) (99) (99) (84) (69) (54) (6) (42) 20 (111) 21,000 (203) (195) (180) (165) (129) (54) (3) 9 (9) (87) 24,000 (325) (310) (295) (232) (145) (106) (82) (70) (12) 27,000 (586) (550) (475) (409) (370) (331 ) (256) (181 ) (170) (142) (113) (6) 25 30,000 (792) (705) (666) (627) (568) (441 ) (405) (347) (319) (206) (87) ,000 (956) (917) (878) (788) (686) (618) (548) (447) (312) (156) (75) ,000 (1,167) (1,128) (981 ) (930) (845) (760) (605) (414) (279) (156) (75) ,000 (1,193) (1,09 1) (1.023) (938) (810) (618) (420) (267) (144) (2 1) ,000 (1,200) (1,115) (1,030) (860) (642) (450) (285) (132) (9) ,000 (1,208) (1,080) (888) (675) (495) (315) (150) ,000 (1,130) (912) (720) (540) (360) (180) (15) ,000 (1,110) (930) (750) (570) (390) (210) (45) ,000 (1,120) (940) (760) (580) (400) (220) (55) ,000 (1,035) (855) (675) (495) (315) (135) ,000 (950) (770) (590) (410) (230) (50) ,000 (885) (70S) (525) (345) (210) (120) (45) (12) 66,000 (800) (620) (440) (350) (260) (170) (95) (32) (62) 69,000 (715) (580) (490) (400) (310) (220) (1 45) (82) (49) (16) (25) (20) (112) 72,000 (720) (630) (540) (450) (360) (270) (195) (132) (99) (66) (75) (70) 18 75,000 (770) (680) (590) (500) (410) (320) (245) (182) (1 49) (116) (36) ,000 (800) (710) (620) (530) (440) (350) (275) (212) (179) ,000 (830) (740) (650) (560) (470) (380) (305) (153) ,000 (860) (770) (680) (590) (500) (410) (155) ,000 (890) (800) (710) (620) (441 ) (1 67) ,000 (920) (830) (740) (470) (192) 50 93,000 (950) (771) (497) (170) 96,000 (800) (552) (280) 99,000 (500) This table Jins the table n Page 4. Frm T-W4P (Rev. 10/17) 12."., 3 -;-t "' m (") - <' c ;j -<...>. /'V...>. <:Xl

4 Supplemental Table Married uples Filing Jintly ffective January 1, 2018 Fr married cuples wh bth select Withhlding "A" n Frm T-W4P (cmbined incme is $100,500 r less), Annua' Payment 28,000 30,000 32,000 34,000 36,000 38,000 40,000 42,000 44,000 46,000 48,000 50,000 3,000 (647) (752) (866) (1,007) (1,148) (1,148) (1, 136) (1,158) (1.163) (1,125) (1,023) (992) 6,000 (525) (666) (807) (948) (981 ) (1,020) (1,025) (1,030) (950) (822) (720) (722) 9,000 (467) (608) (698) (776) (888) (893) (855) (753) (630) (540) (450) (452) 12,000 (408) (441) (570) (665) (760) (680) (552) (450) (360) (270) (180) (182) 15,000 (258) (370) (465) (518) (506) (383) (293) (203) (113) (23) ,000 (224) (319) (329) (291) (279) (189) (99) (9) ,000 (158) (146) (113) (113) (113) (23) , , , , , (92) 39, (92) 42, (92) 45, (92) 48, , (75) (165) (165) (165) (165) (165) (76) , (40) (130) (220) (310) (310) (310) (310) (130) ,000 0 (90) (180) (270) (360) (360) (271) (87) ,000 (50) (140) (230) (320) (410) (230) (42) ,000 (1 20) (210) (300) (301 ) (207) 30 88,000 (170) (260 (170) (72) (10) 89,000 (131 ) ( , This table Jins the table n Page 3. Frm T-W4P(Rev. 10/17) 52,000 (1,031 ) (761 ) (491) : (221 ) (86) (221) I (221 ) (221). (132) 147 I I."... 3 ';-4 m - '". " OJ :::I OJ -< I\.) -...>. (Xl "'0 til c (!) "'" 9. "'"

5 Mail frms t: GO Service enter POBOX incinnati, OH r Fax: