Form 8922 (2023)

What Is Form 8922?

Form 8922, otherwise known as 'Third-Party Sick Pay Recap,' is a tax form used to reconcile employment tax returns with third-party sick pay reports. It is mainly utilized when third-party payers, such as insurance companies, provide sick pay benefits to employees on behalf of employers. The main function of this form is to ensure that the total amount of taxes reported to the IRS by both the employer and the third-party payer is consistent and correct. 

Who must file form 8922?

Determining who must file form 8922 is an important step for compliance. Generally, this form must be submitted by third-party payers of sick pay that are not employers of the recipients of the sick pay, or by employers that have had sick pay paid by third parties.

It's required when the liability for employment taxes on the sick pay is split between the third-party payer and the employer. Knowing if you fall into this category will help you avoid any issues with the IRS regarding sick pay reporting.

How to Fill Out IRS Form 8922

Navigating the process of how to fill out this IRS form is simpler with a step-by-step guide or a fillable PDF. Here's an outline of what you'll typically need to include:

1. Begin by typing in the company name or your name if you're self-employed, in the section labeled "FILER'S name."
2. Enter the physical location of the business or your home address if self-employed, into the "street address" line.
3. Specify the municipality where the business is located or your town of residence on the "city or town" line.
4. For the area governing the address, input the relevant "province or state."
5. If applicable, select the nation pertaining to the business address in the "country" field.
6. Complete the contact details by providing the ZIP code or the equivalent international mail code in the "ZIP or foreign postal code" section.
7. Record the primary contact number for the business or yourself in the "telephone no." area.
8. In the next section of the document, detail the name of the second involved party involved in issuing or receiving sick pay under "OTHER PARTY’S name."
9. Include the tax identification number for the second involved entity, such as another business or insurer, in the field for "OTHER PARTY’S employer identification number."
10. Indicate the nature of the filer's involvement by marking either "Employer" or "Insurer/Agent," whichever applies to you or your business.
11. On the line assigned for the "FILER’S employer identification number," insert the nine-digit EIN.
12. Declare the total amount of sick pay subject to federal income tax under the relevant dollar field.
13. Specify the amount of federal income tax that has been withheld from the sick pay in the next dollar value area.
14. For sick pay that falls under the purview of social security tax, enter the sum in the field provided.
15. Indicate the amount of social security tax that was withheld from this sick pay on the respective line.
16. Document the total sick pay amount that is to be considered for Medicare tax next.
17. Lastly, write down the dollar value of Medicare tax that has already been deducted from the sick pay.

Form 8922 payment due

One key aspect of managing 8922 form is understanding when payment is due. Employers and third-party payers must be mindful of the specific deadlines set forth by the IRS for filing this form to avoid any penalties for late submissions. Keeping track of payment deadlines is equally as crucial as properly completing the form to uphold tax compliance.