2022 IRS Information Reporting Backup Withholding and Penalties – ON-DEMAND WEBINARS

Date Recorded: June 28, 2022
Presented By: Anetria Cohen, Vice President and Senior Consultant, ProBank Austin

A two-hour webinar series that is tailored to address when things go wrong.

Financial institutions always can be assured of one thing: whether it is providing or receiving products or services, there’s likely going to be a tax consequence to it, and therefore will have to comply with a variety of requirements to report information to the IRS and its customers.

Unfortunately, IRS rules and reporting responsibilities are complex, extensive, and overwhelming, and, like with all things, mistakes may be made with IRS reporting. Sometimes customers give us incorrect information and sometimes we make mistakes. Either way, two consequences may occur: backup withholding and penalties. The IRS may require us to backup withhold if it has reason to believe the Taxpayer Identification Number is missing or incorrect or if it believes the taxpayer is underreporting. Also, the IRS may impose penalties for anything that we are responsible for and for which is incorrect.

Please note that separate webinars conducted at the end of the year will review the forms on which we are required to report, including the 1098, 1099s, and 1042-S.

HERE’S WHAT YOU’LL LEARN:

• Backup withholding
  • The four types of backup withholding
  • Determining if the entity is exempt
  • Complying with the B-Notice and C-Notice provisions
• Penalties
  • Why the IRS imposes penalties
  • How much penalties may be
  • Knowing your exemptions and defenses, including reasonable cause
  • Responding to an IRS penalty notice – timing and draft responses