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Federal Register (IRS) · Jan 9, 2026

Backup Withholding on Third Party Network Transactions

Tax Brief summary and classification of the original reporting.

Bottom Line

💡 Backup Withholding on Third Party Network Transactions. Worth reviewing for potential client impact.

Summary

[Proposed Rule] This document contains proposed amendments to the regulations governing backup withholding. The proposed regulations reflect recent changes to the statutory law. These changes will affect third party settlement organizations who make payments in settlement of third party network transactions.

Classification

Category: fyiPriority: importantReason: Contains 'proposed regulation' - significant update

Applies To

payroll

Affected Groups

Payroll/employment tax specialists

Related Topics

Original Source

We aggregate public tax updates and provide AI-assisted summaries. Please read the original reporting for full details.

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