Self-Assessment Forms Receive IRS Updates
The Form 14581 series is put out by the IRS and updated regularly. These forms are used to help government entities conduct self-assessments of their compliance with federal tax and Social Security laws. While the completion of a Form 14581 is not mandatory, the IRS does strongly recommend it to persons responsible for withholding and filing related returns.
More specifically, the IRS has unique legal requirements for public employers—generally defined as state, city, and local agencies that provide government services—in order to ensure with the above-mentioned laws. These rules apply to both government employees and their workers (employees and independent contractors). Two forms in the 14581 series, specifically, apply to public employers, employees, and independent contractors: Form 14581-A, Fringe Benefits Compliance Self-Assessment For Public Employers, and Form 14581-G, Employee or Independent Contractor Compliance Self-Assessment For Public Employers.
In order to maintain compliance, the IRS recently released versions of Form 14581-A and Form 14581-G updated for June 2017. Both forms enumerate a variety of common errors that the IRS found during audits of public employers.