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Reporting federal income tax withholding on ETA Form 2112

Summary ETA told state unemployment agencies to correct any ETA 2112 reports that omitted benefit amounts transferred to the IRS for federal income tax withholding. Agencies using the FEDTAX system were to review reports sent since January 1999 and enter the amounts in specified lines and columns. ETA's listing calls the advisory Active, while the letter itself expired in 2002; its current status is unclear.
Document
Federal guidance
Agency
U.S. Department of Labor, Employment and Training Administration (ETA)
Document number
UIPL No. 41-01
Date issued
July 20, 2001
Status
Unknown
ETA lists this advisory Active, but the letter prints an expiration date of July 31, 2002. ETA does not explain whether these reporting instructions remain in force.
Status last verified October 25, 2026
Topics
Unemployment Insurance Tax Withholding Reporting Requirements
Source
View the official document

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The current status of this document is unclear
ETA lists this advisory Active, but the letter prints an expiration date of July 31, 2002. ETA does not explain whether these reporting instructions remain in force. It may no longer reflect the agency's current position. Treat this page as historical context, not current guidance, and verify current law before relying on anything here.
About this page: The full text below is the official document from U.S. Department of Labor, Employment and Training Administration (ETA). Ezel adds the plain-English summary and tracks the document's status. The official source linked on this page is authoritative for any reliance.

U.S. Department of Labor
Employment and Training Administration
Washington, D.C. 20210
Classification: OWS
Correspondence symbol: OIS/DFAS
Issue date: July 20, 2001

RESCISSIONS: None
EXPIRATION DATE: July 31, 2002

DIRECTIVE: UNEMPLOYMENT INSURANCE PROGRAM LETTER NO. 41-01

TO: ALL STATE EMPLOYMENT SECURITY AGENCIES

FROM: GRACE A. KILBANE
Administrator
Office of Workforce Security

SUBJECT: Instructions for Reporting Withholding Information on the ETA 2112

  1. Purpose. To clarify instructions in ETA Handbook 401 for completing the ETA 2112.

  2. References. Reports and Analysis Letter (RAL) No. 1 - 01; ET Handbook No. 401, Section II-1, pages 1-8; Unemployment Insurance Program Letter (UIPL) 32-96.

  3. Background. The cited RAL transmitted revised instructions for reporting amounts withheld from benefits to be transferred to the Internal Revenue Service (IRS) for Federal income tax. Clarification was necessary because benefits paid by some States were underreported on the ETA 2112.

The Department's Office of Chief Financial Officer made manual adjustments to the Department's FY 2000 Consolidated Financial Statements to report the accurate amount of benefits paid, which included amounts transferred to the IRS. Benefit amounts recorded in the Unemployment Insurance Database (UIDB), however, were not corrected to include the withholding amounts. The Department is requesting States to adjust ETA 2112 reports in the UIDB for prior periods to reflect accurately all benefits paid. Not all State ETA 2112 reports are inaccurate. Reports from States that have not used the FEDTAX system are likely accurate.

  1. Action Required. State agencies are to change inaccurate ETA 2112s in the UIDB. Since the FEDTAX system began in January, 1999, States using it should review all ETA 2112s transmitted since that date to ascertain whether withholding amounts were properly reported in accordance with RAL 1 - 01 reporting instructions, i.e., amounts transferred to the IRS for withholding of Federal income tax should be reported on lines 31 through 43 in column F; and line 16F must equal line 44E.

  2. Inquiries. Inquiries regarding this directive should be directed to the appropriate Regional Office.

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