Information Statements

008.01 Every employer required to deduct and withhold income tax from an employee's wages must furnish to each employee a statement, on a Federal Form W-2, showing the amount of wages paid by the employer to the employee during the calendar year, the amount deducted and withheld, and all other information required to be shown on the Federal Form W-2. To meet this requirement, an employer must furnish his or her employee with a "state copy" and an "employee's copy" of the completed Federal Form W-2. 008.02 The required statement must be furnished to the employee on or before February 1 following the close of the calendar year. If his or her employment is terminated before the close of the calendar year, the employer must provide the employee a copy of the Federal Form W-2 within 30 days after the last payment of wages is made. 008.03 Every payor required to deduct and withhold income tax from a payment to a nonresident individual under Reg-21-001.04A or Reg-21-001.04B must furnish a statement showing the amount of the payments and withholding on a Federal Form 1099-MISC to the payee. 008.04 Every payor required to deduct and withhold income tax from a payment to a corporation, partnership, or limited liability company (LLC) under Reg-21-001.04C must furnish a statement showing the amount of the payments and withholding on a Federal Form 1099-MISC to each shareholder, partner, or member of the corporation, partnership, or LLC who performed services in Nebraska. 008.04A The total amount of the payment must be divided among the shareholders, partners, or members performing the service in Nebraska according to each of their ownership interests in the corporation, partnership, or LLC. The amount of income tax withheld is computed on the total payment to the corporation, partnership, or LLC, and must be divided among the shareholders, partners, or members in a similar manner. The amount of withholding will be allowed as a credit on the Nebraska individual income tax returns of the shareholders, partners, or members. 008.04B If the corporation, partnership, or LLC fails to furnish the payor the information necessary to prepare the Federal Form 1099-MISC for the shareholders, partners, or members, the payor must prepare the Federal Form 1099-MISC in the name of the corporation, partnership, or LLC and deliver the copies normally given to the employee to the Department in the same manner as forms that cannot be delivered under Reg-21-013.02. 008.05 Every contractor required to deduct and withhold income tax from a payment to a person or contractor performing construction services in Nebraska under Reg-21-001.05 must furnish a statement showing the amount of the payments and withholding on Federal Form 1099-MISC to the payee. (Neb. Rev. Stat. §§ 77-2754 and 77-2756. October 26, 2014.)