A member asks the following: 26 U.S.C. § 6050X (part of the Internal Revenue Code) requires government entities to report certain fines and penalties to the IRS annually. Beginning this year, government entities will need to complete a form (Form 1098-F) that sets forth (1) the amount that must be paid in accordance with a court order or agreement regarding a violation of law or the investigation or inquiry into a potential violation of law, if the aggregate amount involved equals or exceeds $50,000, and (2) the payor that is obligated to pay the amount. The City will send the forms to both the payors and the IRS. Every agency with relevant information will need to participate in this reporting process. This reporting requirement applies to court orders and agreements that became binding under applicable law on or after January 1, 2022, regardless whether appeals of the underlying suit have not been exhausted or the time for filing an appeal has not yet expired. We would be interested in knowing if members have set up systems in place to ensure proper reporting. Please send me your responses to akarras@imla.org<mailto:akarras@imla.org> and I will pass them along. Amanda Kellar Karras Executive Director / General Counsel Direct Phone: (202) 742-1018 IMLA Main: (202) 466-5424 Email: akarras@imla.org [facebook icon]<https://www.facebook.com/InternationalMunicipalLawyersAssociation/>[twitter icon]<https://twitter.com/imlalegal>[linkedin icon]<https://www.linkedin.com/company/international-municipal-lawyers-association-inc./> [logo]<https://imla.org/> 51 Monroe St. Suite 404 Rockville, MD, 20850 www.imla.org<http://www.imla.org/> Plan Ahead! Take a look at all of IMLA's upcoming events<https://imla.org/events/>! IMLA's 2022 Annual<https://imla.org/annual-conference/> Conference, October 19-23, 2022 in Portland, OR! Check out our On-Demand webinar library<https://netforum.avectra.com/eweb/shopping/shopping.aspx?site=imla&webcode=shopping&cart=0&shopsearchCat=Merchandise&productCat=Webinar> with 100+ webinars at your fingertips!