We just wanted to remind you that if you intend to claim yourself “exempt” from 2005 federal income tax withholding and if you are still eligible to do so, you must complete a new IRS W-4 form and submit it to the Payroll Department by January 14, 2005.

According to Internal Revenue Service regulations, employees who wish to claim exempt from federal income tax withholding must complete and file a new IRS Form W-4 for each calendar year. Our records for the calendar year indicate that you claimed yourself exempt from federal income tax withholding on the IRS Form W-4. However, unless you submit a new IRS W-4 Form, your claim for exemption (filed in 2004) will expire on Feb. 14, 2005.

If the Payroll Department does not receive a new form by the deadline (January 14, 2005), federal income taxes will be withheld from your paychecks at the highest tax rate which corresponds to zero exemptions and single marital status. This rate will be applied to the first paycheck dated on or after February 15, 2005.

If you also wish to claim exemption from Illinois state income tax withholding, you must complete the Illinois W-4 Form. You should write the word “EXEMPT” in the box on Line 2. Note: exemption from Illinois income tax withholding will only be honored if a similar exemption claim is made on the Federal (IRS) W-4.

We have attached copies of the IRS and Illinois W-4 form for you to complete. You may submit completed forms to the Payroll Department via the following methods:

If you have any further questions, please feel free to contact the Payroll Department at 2-0306.