A) According to the IRS: you may use the W-4V form to ask the payer to withhold federal income tax.
- Unemployment compensation (including Railroad Unemployment Insurance Act (RUIA) payments),
Social security benefits,
- Social security equivalent Tier 1 railroad retirement benefits,
- Commodity Credit Corporation loans,
- Certain crop disaster payments under the Agricultural Act of 1949 or under Title II of the Disaster Assistance Act of 1988
- Dividends and other distributions from Alaska Native Corporations to its shareholders.
When you complete the W-4V form you do not need to provide any additional paperwork. In the process of completing the form, you will need to select the percentage of your monthly benefit amount you want withheld. You can have 7, 10, 12 or 22 percent of your monthly benefit withheld for taxes. Only these percentages can be withheld. Flat dollar amounts are not accepted. Sign the form and return it to your local Social Security office by mail or in person.