TN 5 (01-01)

RS 01801.020 Responsibilities of IRS and SSA


1. The Self-Employment Contributions Act (SECA)

Section 1401 of the Internal Revenue Code (IRC) provides for the imposition of the SECA tax on self-employment earnings.

2. The Social Security Act

Pertinent sections of the Social Security Act provide for the use of self-employment income to determine:

  1. a. 

    quarters of coverage

  2. b. 

    benefit amounts, and

  3. c. 

    work deductions


1. General

The substantive provisions of the two laws are essentially the same, so IRS and SSA are committed to ensuring a uniform interpretation of the rules of law. While the two agencies operate under similar law, their interests and responsibilities are not the same.

2. Responsibilities

  1. a. 

    IRS is responsible for the assessment and collection of taxes.

  2. b. 

    SSA is required to maintain an accurate record of the earnings information received from IRS and administers the benefit program based on this information.

3. Referral to IRS

Each agency may be called upon to handle matters for which the other is responsible. To avoid SSA involvement on matters for which it is not responsible, refer to IRS, questions related to:

  • the payment of taxes

  • refund of taxes

  • computation of taxes

To Link to this section - Use this URL:
RS 01801.020 - Responsibilities of IRS and SSA - 04/02/2001
Batch run: 07/03/2014