Implementation of voluntary withholding agreements for payments to independent contractors

(a) In general Section 3402(p) is amended by redesignating paragraph (3) as paragraph (4) and by inserting after paragraph (2) the following new paragraph: (3) Voluntary withholding on certain non-wage remuneration (A) In general If, at the time a payment of applicable non-wage remuneration is made to any person, there is a voluntary agreement in effect between the person making and the person receiving the payment that the applicable non-wage remuneration be subject to withholding, then for purposes of this chapter and so much of subtitle F as relates to this chapter, such payment shall be treated as if it were a payment of wages by an employer to an employee. (B) Applicable non-wage remuneration For purposes of this subsection, the term applicable non-wage remuneration means remuneration for services performed by an individual which (without regard to this paragraph) does not constitute wages. (C) Regulations and guidance Not later than the date that is 18 months after the date of the enactment of this subparagraph, the Secretary shall issue such regulations or other guidance as may be necessary or appropriate to carry out the provisions of this section, including such regulations or guidance for determining the amount to be deducted and withheld and the types of payments which are considered to be applicable non-wage remuneration..