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Payroll Today

Initial impressions: Payroll news from SSA, GSA, OCSE & DOL

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Alice Gilman

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in Payroll Today

The IRS is the big, bad actor in payroll taxes, because, well, it’s taxes. But other federal agencies hold sway over your payroll operations, too. We don’t want to complicate your day any further, but here are some things that recently hit the web that you should know about.

EDCOR letters are back

The Social Security Administration used to routinely send letters to employers that filed W-2s on which employees’ names and Social Security numbers didn’t match. These letters, called EDCOR letters (for Educational Correspondence Announcements), got caught up in the Bush administration’s efforts to overhaul the immigration laws, and rather than tussle with the INS, the SSA just discontinued them.

Well, times have changed. The SSA is again sending EDCOR letters to employers. EDCOR letters aren’t proposed penalty notices—those come from the IRS. They merely inform you that you filed at least one W-2 that it couldn...(register to read more)

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