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Focus on State & Local Taxation: Employers Required to Verify St. Louis Earnings Tax Refund Claims of Employees

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Individuals requesting an earnings tax refund from the City of St. Louis not only are required to use a new form, but they also now need employer verification and sign off.
February 16, 2011

Individuals requesting an earnings tax refund from the City of St. Louis not only are required to use a new form, but they also now need employer verification and sign off.

The new form, Form E-1R (2010), will need to be completed by non-resident individuals of the City of St. Louis who request refunds of withheld earnings tax when they travel outside of the city to perform work while their employer continues the withholding of 1 percent of their earnings.

In addition to the form expanding to two pages, it also requires that employers sign page 2 of the Form E-1R with the following new certification:

“I certify, to the best of my knowledge, that the above information is true and accurate, and the records are available to verify this information.”

Also, the instructions to the Form E-1R contain the following bolded and underlined statements: “Employees who start and / or finish their work day in the city are not allowed to use that day as a day worked out of the city.” The form also states: “Actual whole days worked outside the city per employer verification.”

In prior years, to document the “out of City of St. Louis days," nonresidents generally attached a letter from their employer. City of St. Louis employers must be prepared to not only sign tax returns presented to them from their employees but also to defend their certification under a City of St. Louis audit.

Click here to review the new FORM E-1R

For further questions, please contact:

Harlan Kwiatek – St. Louis
Partner-In-Charge
State and Local Tax Services Group
314.290.3271
harlan.kwiatek@rubinbrown.com

Jim Massaro – Denver
Partner
State and Local Tax Services Group
303.952.1211
jim.massaro@rubinbrown.com

Mary Ramm – Kansas City
Partner
State and Local Tax Services Group
913.499.4406
mary.ramm@rubinbrown.com

Under U.S. Treasury Department guidelines, we hereby inform you that any tax advice contained in this communication is not intended or written to be used, and cannot be used by you for the purpose of avoiding penalties that may be imposed on you by the Internal Revenue Service, or for the purpose of promoting, marketing or recommending to another party any transaction or matter addressed within this tax advice. Further, RubinBrown LLP imposes no limitation on any recipient of this tax advice on the disclosure of the tax treatment or tax strategies or tax structuring described herein.