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Medical Resident FICA Forum
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Huge News - Looks Like the IRS Will Begin Processing the FICA Refunds

Unbelievable. Check out this press release issued by the IRS at:

http://www.irs.gov/newsroom/article/0,,id=219731,00.html


Here is what the IRS said:

IRS To Honor Medical Resident FICA Refund Claims

IR-2010-25, March 2, 2010

WASHINGTON — The Internal Revenue Service has made an administrative determination to accept the position that medical residents are excepted from FICA taxes based on the student exception for tax periods ending before April 1, 2005, when new IRS regulations went into effect.

The IRS will, within 90 days, begin contacting hospitals, universities and medical residents who filed FICA (Social Security and Medicare tax) refund claims for these periods with more information and procedures. Employers and individuals with pending claims do not need to take any action at this time.

Zip Code: 01801

Re: Huge News - Looks Like the IRS Will Begin Processing the FICA Refunds

Correct me if I'm wrong, but those that started residency training after 2005 are not eligible for any FICA refund based on this ruling?

Re: Huge News - Looks Like the IRS Will Begin Processing the FICA Refunds

As of now, that's what the IRS is saying. However, they keep losing in court, so who knows what will happen to people in their training after 2005.

Based on what happened here, I think it's very important that medical residents and fellows continue to file the FICA Refund paperwork detailed in our February 2001 newsletter at www.mdtaxes.com/news0201.html.

What the IRS did was very tricky. They waited until the Statute of Limitations expired for people to file for a refund of their pre-2006 FICA Taxes before issuing this announcement. Now, only people who have already filed their paperwork will be in line to get back their FICA taxes.

Finally, anyone who did file paperwork with the IRS for pre-2006 FICA refunds, please let us know whether you hear from the IRS, and, if so, what they say.

Zip Code: 01801

Re: Huge News - Looks Like the IRS Will Begin Processing the FICA Refunds

I filed an individual clain several years ago and just received a letter today saying that my FICA taxes will be returned (even though they did not include all years of interest). Has anyone else seen this letter....

Zip Code: 78132

Re: Huge News - Looks Like the IRS Will Begin Processing the FICA Refunds

Also...does anyone have any information on this applying to fellow?

Zip Code: 78132