Withholding Election Form (Page 2 of 2) in pdf

Withholding Election Form Page 2

NOTICE REGARDING FEDERAL TAX WITHHOLDING

FEDERAL INCOME TAX

Reporting Applies to:

All retirees

If monthly pension is:

Under $1,640

We will not withhold any federal income tax, unless you have elected to have

tax withheld.

If monthly pension is:

$1,640 or higher

And you do not have a Withholding Election Form on file, we are required

under Federal Regulations to withhold federal income tax from your pension

as if you are married and claiming three withholding exemptions.

Possible Effect of Insufficient

Withholding is simply a method of paying taxes.

It does not increase or

Withholding

decrease the total amount of your tax liability. If your total income is high

enough to require you to pay income taxes, but you do not have enough tax

withheld from your pension payments, you may be responsible for payment

of estimated tax. You could incur penalties under the estimated tax laws if

your withholding and estimated tax payments are not sufficient.

How to Make a Withholding

To make your election, complete the back of this form and return it to the

Election or Change Your

Trust Fund Office. Your withholding election will remain in effect until you file

Withholding Election

a new election form. If you wish to change your election in the future, you

can request a new form from the Trust Fund Office.

How long does my election

Once you submit a Withholding Election Form, we will continue to withhold

remain in effect

taxes in accordance with your election until you change it.

Reporting of Income Tax

Withheld

We will report your total annual pension amount to the Internal Revenue

Service. The taxes withheld from your pension payments during the year will

be reported on the Form 1099-R mailed to you in January of the following

year.

Questions About Income Tax

If you have a question about how much you should withhold, please consult a

Withholding

tax advisor.

Withholding Election Form Page 2