Justification for No Material or Nonsubstantive Change to Currently-Approved Collection
AGENCY: Pension Benefit Guaranty Corporation (PBGC)
TITLE: Locating and Paying Participants
STATUS: OMB control number 1212‑0055; expires October 31, 2021
CONTACT: Stephanie Cibinic (202-229-6352)
The Pension Benefit Guaranty Corporation (PBGC) is making a change to instructions in four of its forms in this ICR. The ICR enables PBGC to pay participants’ benefits under title IV of the Employee Retirement Income Security Act of 1974 (ERISA).
IRS annually updates federal tax withholding tables to reflect updated withholding amounts. PBGC is updating the applicable withholding information on the forms where a PBGC customer elects or changes their federal withholding on annuity payments. This update is being made so that PBGC customers receive the most current information published by IRS.
The update is being made to the currently-approved instructions for the following four forms:
1. Form 700, Participant Application for Benefits — see section 8.
2. Form 705, Beneficiary Application for Pension Benefits — see section 4.
3. Form 706, Beneficiary Application for Pension Benefits — see section 5.
4. Form 719, Election to Withhold Federal Income Tax from Periodic Payments — see section 2.
Below is a redline of the change, as shown on the Form 700:
8. Federal Tax Election – Complete this section by selecting only one option – A or B or C. If you live outside the United States, you cannot select Option A. For additional guidance regarding these options and federal tax withholding, please read page 4 of the enclosure: Your Benefit, Your Choice. Benefit Options from PBGC. In general, tax laws require PBGC to withhold federal income tax from your pension payments unless you specifically elect not to have taxes withheld. If you do not choose an option, if you choose multiple options or if the option you select is incomplete, we will withhold federal income taxes as if you were a married individual with three allowances. This means that for the year 2020 we will withhold taxes only if your monthly PBGC benefit is $2,095.00 or more.
The four forms with the change have been submitted with this request.
| File Type | application/vnd.openxmlformats-officedocument.wordprocessingml.document |
| Author | Murphy Deborah |
| File Modified | 0000-00-00 |
| File Created | 2021-01-12 |