State Form PA Rev-1167

Annual Withholding Reconciliation Statement

The PA REV-1167, “Annual Withholding Reconciliation Statement”, is specific to the Commonwealth of Pennsylvania. Employers and other withholding agents use it to report the state income tax they have withheld during the calendar year. Here’s why it’s necessary to file a PA REV-1167:  

Annual Reconciliation 

The PA REV-1167 serves as the annual reconciliation form for employers and withholding agents to report the total Pennsylvania personal income tax they have withheld from recipients (typically employees, but can also include others based on certain payment types). 

Compliance with State Tax Laws 

As a withholding agent in Pennsylvania, you have a legal obligation to report and remit state income tax withholdings to the Pennsylvania Department of Revenue. The PA REV-1167 is a crucial form in fulfilling this legal requirement. 

Verification of Withheld Amounts 

The Pennsylvania Department of Revenue uses the information provided on the PA REV-1167 to verify the amount of tax withheld, ensuring that employers and other payers have correctly withheld and remitted the appropriate amount of state personal income tax. 

Submission with Wage Statements 

Along with the PA REV-1167, employers and withholding agents are also typically required to submit copies of wage and tax statements, like W-2s or 1099s, for recipients from whom Pennsylvania personal income tax was withheld. 

Tracking and Record Keeping 

Filing the PA REV-1167 allows the state to maintain accurate records of withholdings, which can be essential for auditing and other administrative purposes. 

It’s essential to file the PA Rev-1167 to remain in compliance with state’s tax laws and regulations when you’ve made payments that require information returns and have had Pennsylvania income tax withheld. Not filing or late filing can lead to penalties and interest charges.