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Government Withholding Relief Coalition (GWRC)

The Government Withholding Relief Coalition (GWRC) was formed to repeal a sweeping new requirement mandating that federal, state, and local governments withhold 3% from payments for goods and services.  This unprecedented withholding mandate will affect all government contracts as well as Medicare payments, Farm payments, and some grants.  The effective date was initially set for January 1, 2011 by Section 511 of the Tax Increase Prevention and Reconciliation Act (P.L. 109-222) that was signed on May 17, 2006.  It was delayed one year to January 1, 2012 by the American Recovery and Reinvestment Act (P.L. 111-5) that was signed into law on February 17, 2009.
 
Coalition Letters
Department of Defense Cost Impact Study: Estimates Compliance Costs to Department at $17 Billion
IRS Rulemaking Implementing the 3% Tax Withholding

Resources

Material

Bills to Repeal Provision


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