IRS Issues Guidance on Withholding Rules: Today, the IRS issued Notice 2018-14, which (1) extends the effective period of Forms W-4 furnished to claim exemption from income tax withholding under section 3402(n) for 2017 until February 28, 2018, and temporarily permits employees to claim exemption from withholding under section 3402(n) for 2018 by using 2017 Form W-4; (2) temporarily suspends the requirement under section 3402(f)(2)(B) that employees must furnish their employers new Forms W-4 within 10 days of changes in status that reduce the withholding allowances they are entitled to claim; (3) provides that the optional withholding rate on supplemental wage payments under Treas. Reg. § 31.3402(g)-1 is 22% for 2018 through 2025; and (4) provides that, for 2018, withholding under section 3405(a)(4) on periodic payments when no withholding certificate is in effect is based on treating the payee as a married individual claiming three withholding allowances.