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                                   Employee Representative’s Quarterly Railroad Tax Return
Form  CT-2                                                                                                                                     OMB No. 1545-0002
(Rev. March 2023)                                       Complete both copies of Form CT-2.  
Department of the Treasury                        Go to www.irs.gov/CT2 for the latest information.
Internal Revenue Service 

1 Taxable compensation paid during this quarter subject to Tier 1 tax  .   $                             × 12.4% (0.124)                    1 
2 Taxable  compensation  paid  during  this  quarter  subject  to  Tier  1 
  Medicare tax    .      .  .    . . .  .    .  . . .   . .     . . . .    $                             ×        2.9% (0.029)              2 

3 Taxable  compensation  paid  during  this  quarter  subject  to  Tier  1 
  Additional Medicare Tax  .       . .  .    .  . . .   . .     . . . .    $                             ×        0.9% (0.009)              3 

4 Taxable compensation paid during this quarter subject to Tier 2 tax .  $                               × 13.1% (0.131)                    4 

5 Credit (attach explanation in duplicate)  .   . . .   . .     . . . .    .   . .            . . .  . . .  .     .    . .                  5

6 Total taxes for quarter (add lines 1 through 4; subtract line 5). See instructions for payment details  . .     .    . .                  6
Under penalties of perjury, I declare that I have examined this return, including accompanying schedules and statements, and to the best of my knowledge and belief, it is 
true, correct, and complete. Declaration of preparer (other than taxpayer) is based on all information of which preparer has any knowledge. 
Signature                                                                                       Date 
  Pay by                                                                                                                                    T 
EFTPS or                                                                                                                                    FF 
  Enclose                                                                                                                                   FP 
  Your  
Check or                                                                                                                                    I 
  Money    Employee representative’s name, address, and social security number, and name        Return for Calendar Quarter                 T 
  Order    of organization represented.                                                              (Months and year)                         ORIGINAL 
                  Print/Type preparer’s name              Preparer’s signature                           Date
Paid                                                                                                                         Check          if     PTIN
                                                                                                                             self-employed 
Preparer 
                  Firm’s name                                                                                                Firm’s EIN 
Use Only          Firm’s address                                                                                             Phone no. 
For Privacy Act and Paperwork Reduction Act Notice, see page 3.                                   Cat. No. 16030S                             Form CT-2 (Rev. 3-2023) 
                                                Don’t cut or separate the forms on this page. 

Form   CT-2                        Employee Representative’s Quarterly Railroad Tax Return                                                     OMB No. 1545-0002
(Rev. March 2023)
Department of the Treasury  
Internal Revenue Service 

1 Taxable compensation paid during this quarter subject to Tier 1 tax  .   $                             × 12.4% (0.124)                    1 
2 Taxable  compensation  paid  during  this  quarter  subject  to  Tier  1 
  Medicare tax    .      .  .    . . .  .    .  . . .   . .     . . . .    $                             ×        2.9% (0.029)              2 

3 Taxable  compensation  paid  during  this  quarter  subject  to  Tier  1 
  Additional Medicare Tax  .       . .  .    .  . . .   . .     . . . .    $                             ×        0.9% (0.009)              3 

4 Taxable compensation paid during this quarter subject to Tier 2 tax .  $                               × 13.1% (0.131)                    4 

5 Credit (attach explanation in duplicate)  .   . . .   . .     . . . .    .   . .            . . .  . . .  .     .    . .                  5 

6 Total taxes for quarter (add lines 1 through 4; subtract line 5). See instructions for payment details .  .     .    . .                  6 
                                                File this DUPLICATE copy with the ORIGINAL return. 

Employee representative’s name, address, and social security number, and name of organization   Return for Calendar Quarter                    DUPLICATE
represented exactly as shown on ORIGINAL above.                                                      (Months and year) 
For Privacy Act and Paperwork Reduction Act Notice, see page 3.                                   Cat. No. 16030S                             Form CT-2 (Rev. 3-2023)

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Form CT-2 (Rev. 3-2023) Page 2

Section references are to the Internal Revenue Code unless Quarter covered: Due by:
otherwise noted. January, February, March May 31, 2023
Future Developments April, May, June August 31, 2023
For the latest information about developments related to Form July, August, September November 30, 2023
CT-2 and its instructions, such as legislation enacted after they October, November, December February 29, 2024
were published, go to www.irs.gov/CT2.
If any due date shown above falls on a Saturday, Sunday, or
What’s New legal holiday, you may file your return and pay the tax on the
next business day. The term “legal holiday” means any legal
Tax rates and compensation bases for 2023. The Tier 1 tax holiday in the District of Columbia. If we receive Form CT-2 after
rate is 12.4%. The Tier 1 compensation base is $160,200. The the due date, we will treat Form CT-2 as filed on time if the
Tier 1 Medicare tax rate is 2.9%. There is no compensation envelope containing Form CT-2 is properly addressed, contains
base limit for Tier 1 Medicare tax. The Tier 2 tax rate on sufficient postage, and is postmarked by the U.S. Postal Service
employee representatives is 13.1%. The Tier 2 compensation on or before the due date, or sent by an IRS-designated private
base is $118,800. delivery service (PDS) on or before the due date. If you don’t
follow these guidelines, we will consider Form CT-2 filed when it
Reminders is actually received. See Pub. 15 for more information on legal
Tier 1 Additional Medicare Tax. In addition to the Tier 1 holidays. Go to www.irs.gov/PDS for the current list of PDSs.
Medicare tax of 2.9%, employee representatives are subject to For the IRS mailing address to use if you’re using a PDS, go to
0.9% Additional Medicare Tax on compensation in excess of www.irs.gov/PDSstreetAddresses.
$200,000, beginning in the pay period in which your
compensation for the calendar year exceeds $200,000. If you Where To File
pay any Additional Medicare Tax during the year, you must Form CT-2 contains two copies. Be sure to make an additional
complete and file Form 8959, Additional Medicare Tax, with copy of Form CT-2 for your records. Send both the ORIGINAL
your federal income tax return. See the Instructions for Form and DUPLICATE to the Department of the Treasury, Internal
8959. For more information on Additional Medicare Tax, go to Revenue Service Center, Kansas City, MO 64999-0049.
www.irs.gov/ADMTfaqs.
Penalties and Interest
General Instructions The law provides a penalty for late filing or late payment unless
you can show reasonable cause for the delay. If you’re late in
Purpose of Form filing a return or paying the taxes, send an explanation with the
Use this form to report railroad retirement taxes imposed on return. Interest is charged on taxes paid late at the rate set by
compensation received by employee representatives. law.
Railroad retirement taxes. The Railroad Retirement Tax Act Records
imposes taxes on an employee representative, which are based
on compensation. You must keep records relating to employee representative
taxes for at least 4 years after the taxes are due or were paid,
These taxes are comprised of Tier 1 and Tier 2 taxes. The whichever is later.
amount of compensation subject to each tax is different.
The Tier 1 tax rate is 12.4%. It applies only to the first Definitions
$160,200 paid to you during 2023 for services performed as an Employee representative. An employee representative is:
employee representative. The Tier 1 Medicare tax rate is 2.9%. 1. Any officer or official representative of a railway labor
It applies to all compensation paid to you during 2023 for organization that isn’t an employer under section 3231(a) who
services performed as an employee representative. The Tier 1 (a) was in the service of an employer, and (b) is authorized and
Additional Medicare Tax is 0.9%. It applies to compensation designated to represent employees under the Railway Labor
paid to you during 2023 that exceeds $200,000 for services Act, or
performed as an employee representative.
2. Any individual who is regularly assigned to or regularly
The Tier 2 tax rate on employee representatives is 13.1%. It employed by an employee representative as defined above in
applies only to the first $118,800 paid to you during 2023 for connection with the duties of the employee representative’s
services performed as an employee representative. office.
Who Must File Compensation. Compensation means payment in money,
You must file Form CT-2 for the first quarter in which you’re meaning currency issued by a recognized authority as a
paid taxable compensation for services you performed as an medium of exchange, for services performed as an employee
employee representative. Continue filing returns for each representative. It doesn’t include payments made specifically for
quarter, even if you’re not paid taxable compensation. When traveling or other bona fide and necessary expenses that meet
your taxable compensation payments stop completely, you the rules in the regulations under section 62. For purposes of
must file a final return. Write “Final Return” at the top of Form Tier 1 taxes, compensation doesn’t include sickness or accident
CT-2 and on the duplicate copy. disability payments received (a) under a workers’ compensation
law, (b) under section 2(a) of the Railroad Unemployment
When To File Insurance Act for days of sickness due to an on-the-job injury,
(c) under the Railroad Retirement Act, or (d) more than 6 months
Due dates for filing Form CT-2 and paying the tax each quarter after the month in which the employee representative last
are as follows. worked for the railway labor organization. For purposes of Tier 2
taxes, compensation doesn’t include payments made under a
sickness or accident disability plan or a medical or
hospitalization plan in connection with sickness or accident
disability.

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Form CT-2 (Rev. 3-2023) Page 3
Compensation is considered paid when actually paid or when Paid preparer. A paid preparer must sign Form CT-2 and
constructively paid. Constructively paid means that the pay (a) provide the information in the Paid Preparer Use Only section if
has been credited to the employee representative’s account or the preparer was paid to prepare Form CT-2 and isn’t an
set apart with no substantial limit or condition on how or when employee of the filing entity. Paid preparers must sign paper
the payment will be made, and (b) is available to draw on at any returns with a manual signature. The preparer must give you the
time and to control. original return and duplicate copy to be filed with the IRS and
another copy of the return for your records.
Specific Instructions If you’re a paid preparer, enter your Preparer Tax
Identification Number (PTIN) in the space provided. Include your
If you perform services as both an employee representative and complete address. If you work for a firm, write the firm’s name
an employee and your total pay for these services is more than and the EIN of the firm. You can apply for a PTIN online or by
the applicable maximum (see Line 1 and Line 4, later), then for filing Form W-12. For more information about applying for a
lines 1 and 4 subtract your pay as an employee from the PTIN online, go to www.irs.gov/PTIN. You can’t use your PTIN
maximum to determine the amount subject to the employee in place of the EIN of the tax preparation firm.
representative’s tax.
Line 1. Multiply the compensation subject to Tier 1 tax by Privacy Act and Paperwork Reduction Act Notice. We ask for
12.4% (0.124). This tax applies only to the first $160,200 paid to the information on Form CT-2 to carry out the Internal Revenue
you during 2023 for services performed as an employee laws of the United States. We need it to figure and collect the
representative. right amount of tax. Section 3211 and section 6011 and their
regulations require employee representatives to report and pay
Line 2. Multiply the compensation subject to Tier 1 Medicare over to the IRS railroad retirement taxes (Tier 1, Tier 2, Tier 1
tax by 2.9% (0.029). This tax applies to all compensation paid Medicare tax, and Additional Medicare Tax). Form CT-2 is used
to you during 2023 for services performed as an employee to determine the amount of such taxes that you owe. Section
representative. 6109 requires you to provide your identification numbers. If you
Line 3. Multiply the compensation subject to Tier 1 Additional fail to provide this information in a timely manner, or provide
Medicare Tax by 0.9% (0.009). This tax applies only to false or fraudulent information, you may be subject to penalties.
compensation that exceeds $200,000. You’re not required to provide the information requested on a
Line 4. Multiply the compensation subject to Tier 2 tax by form that is subject to the Paperwork Reduction Act unless the
13.1% (0.131). This tax applies only to the first $118,800 paid to form displays a valid OMB control number. Books and records
you during 2023 for services performed as an employee relating to a form or its instructions must be retained as long as
representative. their contents may become material in the administration of any
Line 5. Enter a credit for an overpayment of tax, penalty, or Internal Revenue law.
interest you overpaid for an earlier quarter. Attach two copies of Generally, tax returns and return information are confidential,
a detailed statement explaining the credit claimed. However, as required by section 6103. However, section 6103 allows or
don’t include a credit for an overpayment of Additional Medicare requires the IRS to disclose or give the information shown on
Tax for an earlier year. Any Additional Medicare Tax paid will be your tax return to others as described in the Code. For example,
credited against the total tax liability shown on your Form 1040, we disclose your tax information to the Railroad Retirement
U.S. Individual Income Tax Return, or Form 1040-SR, U.S. Tax Board for use in administering the Railroad Retirement Act, and
Return for Seniors. If you have filed Form 1040 or 1040-SR for we may disclose your tax information to the Department of
the earlier year, you should make a claim for refund for Justice for civil and criminal litigation, and to cities, states, the
Additional Medicare Tax paid using Form 1040-X, Amended District of Columbia, and U.S. commonwealths and possessions
U.S. Individual Income Tax Return. for use in administering their tax laws. We may also disclose this
Line 6. You may pay the amount shown on line 6 using the information to other countries under a tax treaty, to federal and
Electronic Federal Tax Payment System (EFTPS) or by check or state agencies to enforce federal nontax criminal laws, or to
money order. To get more information about EFTPS or to enroll federal law enforcement agencies and intelligence agencies to
in EFTPS, visit www.eftps.gov or call 800-555-4477. To contact combat terrorism.
EFTPS using Telecommunications Relay Services (TRS) for The time needed to complete and file Form CT-2 will vary
people who are deaf, hard of hearing, or have a speech depending on individual circumstances. The estimated average
disability, dial 711 and then provide the TRS assistant the time is: Recordkeeping, 13 min.; Learning about the law or
800-555-4477 number above or 800-733-4829. Additional the form, 13 min.; Preparing the form, 26 min.; Copying,
information about EFTPS is also available in Pub. 966. assembling, and sending the form to the IRS, 16 min.
If you pay by check or money order, make it payable to If you have comments concerning the accuracy of these time
“United States Treasury.” Enter on your check or money order estimates or suggestions for making Form CT-2 simpler, we
your social security number (SSN), “Form CT-2,” and the would be happy to hear from you. You can send us comments
quarter (for example, “1Q 2023” for the first quarter of 2023). from www.irs.gov/FormComments. You may also mail your
Signature. You or your authorized agent must sign the comments to Internal Revenue Service, Tax Forms and
ORIGINAL copy of Form CT-2. Publications Division, 1111 Constitution Ave. NW, IR-6526,
Washington, DC 20224. Don’t send Form CT-2 to this address.
Name, address, etc. Type or print your name, address, SSN, Instead, see Where To File, earlier.
and the name of the labor organization for which you perform
services.
Return for calendar quarter. Enter the months of the quarter
and the year of the return. For example, show the first quarter of
2023 as “Jan., Feb., Mar. 2023.”

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