The IRS has Issued Employee Job Aids for Tribal Governments
July 19, 2018
The IRS has issued employee job
aids for tribal governments:
- IRC Section 7873 –
Treaty Fishing Rights-Related Income - Certain
income from a tribal fishing rights-related activity that’s earned by a
qualified Indian entity, or by a tribal member directly or through a qualified
Indian entity, is exempt from federal, state and local taxes.
- IRC Section 414(d) –
Governmental Plans for Tribes - This
snapshot discusses the types of retirement plans an Indian tribal government
may offer and when those plans may be treated as governmental plans.
- Revenue Ruling 59-354 –
Tribal Council Members’ Wages - Amounts
paid to Indian tribal council members for their tribal council service is
includible in gross income; however, they are not considered wages subject to
withholding for Social Security, Medicare and federal income tax reporting.
- FUTA Exemption for
Indian Tribal Governments - Indian tribal governments are exempt from tax under the Federal Unemployment Tax Act (FUTA), provided the tribes are fully compliant with the applicable State Unemployment Insurance. This exemption applies to any subdivision, subsidiary or business enterprise wholly owned by the tribe.