FICA Refund for
Medical Residents
from January 1, 1995 through March 31, 2005

As of Friday, October 15, 2010, we are no longer accepting consent forms.

Update as of September 17, 2013:  The IRS has communicated that it will not allow any amendments to our FICA refund claim which prohibits Jefferson from seeking refunds for any individual not included in our original claim.  The IRS states “Final action” has been taken on this claim, which means “the claim cannot be amended to include additional medical residents” and that “the IRS is no longer authorized to pay additional refunds” as “the time period for filing a refund claim is set by law.” 

Additional information is provided by the IRS regarding the FICA Refund for former medical residents.

Regarding our outstanding claim for 1995, we do not expect to have an update prior to the end of this year per communications with the IRS.

Please check back frequently for updates.

Update as of February 25, 2013: The refund checks mailed this morning. Some of you may receive two separate checks; one from the University and one from the Hospital. You would have been an employee of the University prior to October 1, 1996. Upon that date, the Hospital became a separate legal entity and the employer of the residents. If your residency crossed that period, you will receive two checks.

A letter will follow within the next week or so which will break out the interest portion of the refund. Remember that the interest is considered taxable income and must be claimed as such on your 2013 tax return. Jefferson did not withhold any taxes from your reimbursement.

Again, our claim for 1995 is still pending. We will provide updates to those affected as soon as they become available.

Updated as of February 18, 2013: We have received all of the funds from the IRS and are currently reviewing the interest calculations to prepare the refunds to each former Resident for the period January 1,1996 thru March 31, 2005. Checks will be mailed no later than Monday, February 25, 2013. Detailed letters will follow shortly thereafter with an explanation of the refund, along with a breakdown of the FICA tax and the interest component. Please advise us immediately of any address changes. At this point, the IRS has not yet approved the claim for 1995. We continue to work to resolve the issue and will provide an update as soon as one becomes available.

Updated as of January 7, 2013 : We are pleased to report that we have received notification that Jefferson's medical resident FICA refund claims from January 1, 1996 through March 31, 2005 have been approved by the IRS for payment. We are currently waiting for the IRS to disburse the funds to Jefferson so we may then produce the refund checks for each individual former resident. We need to receive the funds from the IRS since we do not know the interest that was calculated until the checks are issued. We are very hopeful that the last of the payments will be delivered to us any day and that we will be able to issue your refunds in the next few weeks. In addition to a refund check, you will receive Form W-2cs for the affected years along with a Form 1099-INT if your interest payment exceeds $600. A letter accompanying the check will provide more information to you about these forms. If your mailing address changed in the past 2 years, please provide your updated address to me as soon as possible to ensure the quickest delivery of your check. Thank you for your continued patience with this process. At this point, the IRS has not yet approved the claim for 1995. We continue to work to resolve the issue and will provide an update as soon as one becomes available.

Updated as of October 4, 2012: We are pleased to report that we have received notification that Jefferson's medical resident FICA refund claims from January 1, 1996 through March 31, 2005 have been approved by the IRS for payment. Over the course of the next few months, the IRS will issue refund checks to Jefferson. Once the refunds are received by Jefferson, we will send you your share of the refund as soon as possible. In addition to a refund check, you will receive Form W-2cs for the affected years along with a Form 1099-INT if your interest payment exceeds $600. A letter accompanying the check will provide more information to you about these forms. If your mailing address changed in the past 2 years, please provide your updated address to tjuh_mrfica@us.pwc.com as soon as possible to ensure the quickest delivery of your check. Thank you for your continued patience with this process. At this point, the IRS has not yet approved the claim for 1995. We continue to work to resolve the issue and will provide an update as soon as one becomes available.

Update as of May 2012:  We have submitted to the IRS what we hope is our final claim and they are currently reviewing it. We have provided lots of follow up information that they requested, so we know that they are actively working it. We have heard that some residents who managed to file on their own have received refund checks, and some smaller institutions have heard that the claims were approved. We know that once we hear of an approval, funds should be disbursed within 12-18 weeks, so we do not expect to see any distribution until late summer or early fall at the earliest. Of course, that depends on whether or not they ask us for additional information. Please feel free to contact me with any questions. Thanks for your continued patience as we strive to finalize these claims on your behalf!

Robert A. Raucci
Director, Treasury Operations
Thomas Jefferson University
1020 Walnut Street
Scott Memorial Library, Room 510
Philadelphia, Pa 19107
(215) 503-1530

Robert.Raucci@Jefferson.edu

Update as of July 2011: Jefferson filed claims with the IRS for the periods January 1, 1995 through March 31, 2005. The IRS acknowledged receipt of our claims, but has not provided any information on either when the claims will be approved or when refunds will be issued. We will provide updates as soon as we have any new information.

On Monday, January 11, 2011, The United States Supreme Court ruled that Medical Residents cannot be considered students for the purpose of the FICA tax exemption. This ruling covers the residency periods beginning on April 1, 2005 and after. We have received no indication from the IRS that this will affect our claim which covers the periods January 1, 1995 thru March 31, 2005. Please see the link below to view the actual Supreme Court ruling.

• Remember to alert us of any address changes.
• Read the Mayo Foundation for Medical Education and Research et.al. vs.
  US Supreme Court Ruling (PDF)
  
• History of the FICA Refund
• Frequently Asked Questions regarding FICA Refund
• Email questions to  FICARefund@jefferson.edu