Following years of protracted litigation in various courts across the country, the IRS has made the determination that medical residents are exempt from FICA taxes for the tax periods ending before April 1, 2005. North Shore-LIJ Health System was at the forefront in developing this issue for consideration by the IRS and the courts. Accordingly, North Shore-LIJ Health System and its member hospitals (“North Shore-LIJ”) is in the process of pursuing FICA tax refunds from the IRS for years prior to 2005 for itself and qualifying North Shore-LIJ medical residents, including fellows in training programs (“Medical Residents”).

In addition, there is pending litigation in the United States Supreme Court involving the Mayo Foundation and its challenge of the Treasury regulations that imposed FICA taxes on medical residents for periods beginning April 1, 2005 to the present. North Shore-LIJ has also decided to seek FICA tax refunds for these subsequent periods on behalf of itself and Medical Residents.

All affected Medical Residents who participated in medical residency training at North Shore-LIJ and its member hospitals prior to April 1, 2005 will be receiving a letter and consent form around the week of July 26, 2010, via home mail. Those who wish to participate in North Shore-LIJ’s FICA Refund initiative must complete and return the consent form by September 15, 2010 per the instructions in the letter. To help manage this process, North Shore-LIJ has engaged Gilardi & Co, LLC. Therefore, all inquiries and any related matters should be addressed to Gilardi & Co, LLC directly as set forth in the letter.

As the refund claims proceed, additional information will be provided through the Gilardi & Co, LLC Website. Please access a list of Frequently Asked Questions below. Should you wish to speak to someone or ask additional questions, a contact number and email will be provided in the letter being sent by mail.

Please note: All affected Medical Residents who participated in medical residency training at North Shore-LIJ and its member hospitals AFTER April 1, 2005 will receive a separate communication in the coming months.

ACCESS MEDICAL RESIDENT FICA REFUND FREQUENTLY ASKED QUESTIONS