§3510 Coordination of collection of domestic service employment taxes with collection of income taxes

Summary

Sets rules for how employers report and coordinate taxes for people they pay to work in their private home. Returns are done on a calendar-year basis. Employers must file the return by the 15th day of the fourth month after the close of the employer’s taxable year that begins in that calendar year. Employers do not have to make tax deposits or pay installments under section 6157 for these household worker taxes. For the estimated-tax penalty rules in section 6654, these household-worker taxes are treated like a Chapter 2 tax for the employer’s taxable year that starts in that calendar year, unless the employer gets no wage-withholding credit under section 31 and no addition to tax would apply because of section 6654(e). The Treasury Secretary will make rules to adjust how section 6654(d)(2) applies, can limit this rule for employers who also have other types of work, and may treat these taxes as chapter 1 taxes when coordinating collections. “Domestic service employment taxes” means taxes under chapter 21 or 23 on pay for household work and amounts withheld under section 3402(p). The Secretary may also collect state unemployment taxes for a State as the State’s agent, send those amounts to the State’s Unemployment Trust Fund account, and treat them as chapter 23 taxes for certain purposes.