Faegre Drinker Biddle & Reath LLP, a Delaware limited liability partnership | This website contains attorney advertising.
April 08, 2010

IRS Releases HIRE Act Form Affidavit

President Obama recently signed into law the Hiring Incentives to Restore Employment (HIRE) Act. The legislation exempts employers from paying Social Security payroll tax for "qualified employees" in 2010 and offers a $1,000 tax credit to employers who continue to employ "qualified employees" after one full year.

On April 7, 2010, the Internal Revenue Service (IRS) issued Form W-11, the HIRE Act Affidavit. The form, when completed, establishes that a new hire may be a "qualified employee" for purposes of the HIRE Act. Form W-11 may be accessed on the IRS's Web page.

In addition to completing a Form W-11 or similar affidavit, for someone to be a "qualified employee," he or she must be hired between February 4, 2010, and December 31, 2010, but cannot be hired to replace a former employee unless that employee resigned or was discharged for cause. In addition, the new hire cannot be related to the employer.

The material contained in this communication is informational, general in nature and does not constitute legal advice. The material contained in this communication should not be relied upon or used without consulting a lawyer to consider your specific circumstances. This communication was published on the date specified and may not include any changes in the topics, laws, rules or regulations covered. Receipt of this communication does not establish an attorney-client relationship. In some jurisdictions, this communication may be considered attorney advertising.

Related Legal Services