Seal of the Office of the State Comptroller

M E M O R A N D U M

To:All State Agency Payroll/Personnel Units
From:Gary Reardon, Director , Payroll Services Division
Date:October 06, 1997
Subject: 1997 Calendar Year Closing

  1. Check Cancellations

    In order to facilitate year-end processing to ensure timely preparation of W-2's, agencies are reminded to submit all payroll cancellations on the COP-9 Cancellation Form, along with required documentation, to Payroll Services Division, NO LATER THAN DECEMBER 02, 1997.

    Please make every effort to keep your cancellations up-to-date to avoid a last minute processing crunch. Failure to meet this deadline will result in erroneous information on W-2's and agencies will have to wait for corrections to be processed.

    The Internal Revenue Service prohibits the adjusting of taxes withheld in a prior year. Inasmuch as the Department of Revenue Services has adopted many federal regulations as their own, they have advised us that we cannot adjust prior year state tax withheld either. Therefore, all 1997 check cancellations (actual checks or direct deposits NOT cash recoveries), MUST be received in Payroll Services by December 23, 1997. All requests received after that date, will be returned to the agency for correction (refer to memorandum 96-64).

    A COP-9 Cancellation Form must be processed for:

    Check Reversals
    Cash Recovery
    Awards Compensation

    These cancellations adjust employee records to reflect correct W-2 information.
    To expedite the processing of COP-9's, please indicate on the form if an employee has reached the maximum FICA wage.

    Your anticipated cooperation is appreciated.

    Any questions regarding compliance should be directed to Payroll Services at 702-3456.

  2. Inactive State Employees

    In order to properly maintain the employee master file and keep it manageable, the Office of the State Comptroller will terminate (employee status = T), all employees who are active (employee status = blank) or inactive (employee status = N) and have no year-to-date earnings for 1997.

    These employees will then be deleted from the master file during year-end processing.
Please note: Employees with year-to-date balances for health insurance will not be terminated.

Back to Comptroller's Home Page
Back to Index of Payroll Services Division Memoranda