Revocation of Exemption From Self-Employment Tax. (IRS News).
The Ticket to Work and Work Incentives Improvement Act of 1999 provides an opportunity for certain individuals to revoke To annul or make void by recalling or taking back; to cancel, rescind, repeal, or reverse.
revoke v. to annul or cancel an act, particularly a statement, document, or promise, as if it no longer existed. their Form 4361, Application for Exemption From Self-Employment Tax Self-Employment Tax
A tax imposed on self-employed people, who must pay this tax in order to receive social-security benefits upon retirement.
The self-employment tax may be reduced if the person also pays social security and Medicare taxes through another employer. for Use by Ministers, Members of Religious Orders and Christian Science Practitioners A Christian Science practitioner is an individual who devotes his or her full time--24/7--to the practice of healing through prayer according to the teachings of Christian Science. .
Elections that were effective for the tax year including Dec. 17, 1999, may be revoked under this provision. The revocation The recall of some power or authority that has been granted.
Revocation by the act of a party is intentional and voluntary, such as when a person cancels a Power of Attorney that he has given or a will that he has written. will be effective for either 2000 or 2001 and all later years.
Clients who choose to revoke the exemption will be covered under the Social Security System, and their earnings will be subject to Self-Employment Tax.
Once the exemption is revoked, they cannot re-apply for exemption from Self-Employment Tax.
To revoke the exemption, complete and file Form 2031, Revocation of Exemption From Self-Employment Tax for Use by Ministers, Members of Religious Orders and Christian Science Practitioners.
You can file the form with the IRS An abbreviation for the Internal Revenue Service, a federal agency charged with the responsibility of administering and enforcing internal revenue laws. by fax at (859) 292-7867 or mail to: Internal Revenue Service; Stop 14M; Attn: Exemption Revocation; P.O. Box 12267; Covington KY 41012-0227.