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<BODY style="MARGIN: 4px 4px 1px; FONT: 14pt Footlight MT Light">FYI<BR><BR>>>> TAVARES Cathleen M <cathleen.m.tavares@dor.state.or.us> 12/2/2010 9:03 AM >>><BR>
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<P class=MsoNormal style="MARGIN: 0in 0in 0pt; TEXT-ALIGN: center" align=center><B style="mso-bidi-font-weight: normal"><SPAN style="FONT-FAMILY: Century; mso-fareast-font-family: SimSun"><FONT size=3>Payrolltax News LISTSERV<o:p></o:p></FONT></SPAN></B></P>
<P class=MsoNormal style="MARGIN: 0in 0in 0pt; TEXT-ALIGN: center" align=center><B style="mso-bidi-font-weight: normal"><SPAN style="FONT-FAMILY: Century; mso-fareast-font-family: SimSun"><FONT size=3><SPAN class=675554916-02122010>Dec</SPAN>.<SPAN class=675554916-02122010>2,</SPAN> 2010<SPAN class=340365716-02122010> (part 1)</SPAN></FONT></SPAN></B></P>
<P class=MsoNormal style="MARGIN: 0in 0in 0pt; TEXT-ALIGN: center" align=center><SPAN style="FONT-FAMILY: Century; mso-fareast-font-family: SimSun"><SPAN class=675554916-02122010><FONT size=3>Please share with anyone who would benefit from this information</FONT>. </SPAN> <o:p></o:p></SPAN></P>
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<P class=MsoNormal style="MARGIN: 0in 0in 0pt"><SPAN style="FONT-FAMILY: Century; mso-fareast-font-family: SimSun; text-shadow: auto"><FONT size=3><STRONG>I. End of the Year Updates:<o:p></o:p></STRONG></FONT></SPAN></P>
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<P class=MsoNormal style="MARGIN: 0in 0in 0pt"><B style="mso-bidi-font-weight: normal"><SPAN style="FONT-FAMILY: Arial; mso-fareast-font-family: SimSun">2011 tax rates</SPAN></B><FONT size=3><SPAN style="FONT-FAMILY: Arial; mso-fareast-font-family: SimSun">:<BR style="mso-special-character: line-break"></SPAN></FONT></P>
<P class=MsoNormal style="MARGIN: 0in 0in 0pt"><FONT size=2><SPAN><FONT size=2><FONT size=3><BR></FONT><STRONG>Employment:</STRONG></FONT> <SPAN style="mso-spacerun: yes"> </SPAN><SPAN style="mso-spacerun: yes"> </SPAN><SPAN style="mso-spacerun: yes"> <SPAN class=675554916-02122010><FONT size=2> </FONT></SPAN></SPAN><FONT size=2>New employer rate: 3.3%<o:p></o:p></FONT></SPAN></FONT></P>
<P class=MsoNormal style="MARGIN: 0in 0in 0pt"><SPAN style="FONT-SIZE: 11pt; FONT-FAMILY: Arial; mso-fareast-font-family: SimSun"><FONT size=2><SPAN style="mso-tab-count: 1"> </SPAN><SPAN style="mso-spacerun: yes"> </SPAN><SPAN style="mso-spacerun: yes"> </SPAN><SPAN style="mso-spacerun: yes"> </SPAN><SPAN style="mso-spacerun: yes"> </SPAN>Wage base rate:<SPAN style="mso-spacerun: yes"> </SPAN><SPAN style="mso-spacerun: yes"> </SPAN>$32,300<o:p></o:p></FONT></SPAN></P>
<P class=MsoNormal style="MARGIN: 0in 0in 0pt"><B style="mso-bidi-font-weight: normal"><SPAN style="FONT-SIZE: 11pt; FONT-FAMILY: Arial; mso-fareast-font-family: SimSun"><FONT size=2>Workers Benefit Fund</FONT></SPAN></B><SPAN style="FONT-SIZE: 11pt; FONT-FAMILY: Arial; mso-fareast-font-family: SimSun"><FONT size=2>:<SPAN style="mso-spacerun: yes"> </SPAN>No change in rate: 2.8 cents per hour<BR><B style="mso-bidi-font-weight: normal">Transit taxes</B>:<SPAN style="mso-spacerun: yes"> </SPAN><SPAN style="mso-spacerun: yes"> </SPAN><SPAN style="mso-spacerun: yes"> <SPAN class=675554916-02122010> </SPAN></SPAN>TriMet:<SPAN style="mso-spacerun: yes"> </SPAN>0.006918<o:p></o:p></FONT></SPAN></P>
<P class=MsoNormal style="MARGIN: 0in 0in 0pt"><SPAN style="FONT-SIZE: 11pt; FONT-FAMILY: Arial; mso-fareast-font-family: SimSun"><FONT size=2><SPAN style="mso-spacerun: yes"> </SPAN><SPAN style="mso-spacerun: yes"> </SPAN><SPAN style="mso-spacerun: yes"> <SPAN class=675554916-02122010> </SPAN></SPAN>Lane:<SPAN style="mso-spacerun: yes"> </SPAN>0.0067 <o:p></o:p></FONT></SPAN></P>
<P class=MsoNormal style="MARGIN: 0in 0in 0pt"><SPAN style="FONT-SIZE: 11pt; FONT-FAMILY: Arial; mso-fareast-font-family: SimSun"><o:p> </o:p></SPAN></P>
<P class=MsoNormal style="MARGIN: 0in 0in 0pt"><B style="mso-bidi-font-weight: normal"><SPAN style="FONT-SIZE: 11pt; FONT-FAMILY: Arial; mso-fareast-font-family: SimSun"><FONT size=2>Note:</FONT></SPAN></B><SPAN style="FONT-SIZE: 11pt; FONT-FAMILY: Arial; mso-fareast-font-family: SimSun"><FONT size=2> Information on Oregon’s standard deduction, federal tax subtraction and personal allowances will be available shortly. <SPAN style="mso-spacerun: yes"> </SPAN><BR><SPAN style="mso-spacerun: yes"> </SPAN><SPAN style="mso-spacerun: yes"> </SPAN><SPAN style="mso-tab-count: 1"> </SPAN><o:p></o:p></FONT></SPAN></P>
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<P class=MsoNormal style="MARGIN: 0in 0in 0pt"><FONT size=3><SPAN style="FONT-FAMILY: Century; mso-fareast-font-family: SimSun; text-shadow: auto"><STRONG>iWire Update – Electronic W-2<BR></STRONG><SPAN style="mso-spacerun: yes"> </SPAN></SPAN><SPAN style="FONT-FAMILY: Century"><o:p></o:p></SPAN></FONT></P>
<P class=MsoNormal style="MARGIN: 0in 0in 0pt 17.1pt"><B style="mso-bidi-font-weight: normal"><SPAN style="FONT-SIZE: 11pt; FONT-FAMILY: Arial"><FONT size=2>* W-2 Filing<o:p></o:p></FONT></SPAN></B></P>
<P class=MsoNormal style="MARGIN: 0in 0in 0pt 17.1pt"><SPAN style="FONT-SIZE: 11pt; FONT-FAMILY: Arial"><FONT size=2>Effective for calendar year <B style="mso-bidi-font-weight: normal">2010</B>, businesses with <B style="mso-bidi-font-weight: normal">50 or more</B> employees and <B style="mso-bidi-font-weight: normal"><I style="mso-bidi-font-style: normal">all payroll service providers</I></B> are required to report W-2 information electronically.<SPAN style="mso-spacerun: yes"> </SPAN><SPAN style="COLOR: black">The transmittal due date is March 31, 2011. Only Form W-2 are filed electronically; paper W-2s or other forms of media are not accepted.<SPAN style="mso-spacerun: yes"> </SPAN><o:p></o:p></SPAN></FONT></SPAN></P>
<P class=MsoNormal style="MARGIN: 0in 0in 0pt"><SPAN style="FONT-SIZE: 11pt; COLOR: black; FONT-FAMILY: Arial"><o:p><FONT size=2> </FONT></o:p></SPAN></P>
<P class=MsoNormal style="MARGIN: 0in 0in 0pt 19.95pt"><FONT size=2><B style="mso-bidi-font-weight: normal"><SPAN style="FONT-SIZE: 11pt; COLOR: black; FONT-FAMILY: Arial">Note:</SPAN></B><SPAN style="FONT-SIZE: 11pt; COLOR: black; FONT-FAMILY: Arial"> <FONT size=2>Although employers are not required to submit paper copies of W2 information, it is important to keep copies in case you are requested to do so at a later date. <o:p></o:p></FONT></SPAN></FONT></P>
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<P class=MsoNormal style="MARGIN: 0in 0in 0pt"><SPAN style="FONT-SIZE: 11pt; COLOR: black; FONT-FAMILY: Arial"><FONT size=2>For links to 2010 iWire file specifications for Form W-2, “Frequently Asked Questions” and “Troubleshooting Tips”, see our website at </FONT><A href="http://www.oregon.gov/DOR/BUS/iwire-income-wage-information-return-eservices.shtml"><FONT color=#800080 size=2>http://www.oregon.gov/DOR/BUS/iwire-income-wage-information-return-eservices.shtml</FONT></A><o:p></o:p></SPAN></P>
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<P class=MsoNormal style="MARGIN: 0in 0in 0pt"><SPAN style="FONT-SIZE: 11pt; COLOR: black; FONT-FAMILY: Arial"><FONT size=2>You may also contact us directly at </FONT><A href="mailto:iWire.DOR@state.or.us"><FONT size=2>iWire.DOR@state.or.us</FONT></A><FONT size=2> or call us at 503-945-8127<o:p></o:p></FONT></SPAN></P>
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<P class=MsoNormal style="MARGIN: 0in 0in 0pt"><SPAN style="COLOR: black; FONT-FAMILY: Century; mso-fareast-font-family: SimSun; text-shadow: auto"><FONT size=3><STRONG>II. Outsourcing Payroll: <o:p></o:p></STRONG></FONT></SPAN></P>
<P class=MsoNormal style="MARGIN: 0in 0in 0pt"><B style="mso-bidi-font-weight: normal"><SPAN style="FONT-SIZE: 9pt; COLOR: black; FONT-FAMILY: SimSun; text-shadow: auto"><SPAN style="mso-spacerun: yes"> </SPAN><o:p></o:p></SPAN></B></P>
<P class=MsoNormal style="MARGIN: 0in 0in 0pt 22.8pt"><SPAN style="FONT-SIZE: 11pt; COLOR: black; FONT-FAMILY: Arial; mso-fareast-font-family: SimSun"><FONT size=2>When outsourcing payroll, whether using a payroll service provider or bookkeeping firm, it is important to be aware of the following:<BR style="mso-special-character: line-break"><BR style="mso-special-character: line-break"><o:p></o:p></FONT></SPAN></P>
<P class=MsoNormal style="MARGIN: 0in 0in 0pt 66.45pt; TEXT-INDENT: -0.25in; mso-list: l2 level1 lfo2; tab-stops: list 66.45pt"><SPAN style="FONT-SIZE: 11pt; COLOR: black; FONT-FAMILY: Arial; mso-fareast-font-family: Arial"><SPAN style="mso-list: Ignore"><FONT size=2>A.<SPAN style="FONT: 7pt 'Times New Roman'"><FONT face=Arial> </FONT></SPAN></FONT></SPAN></SPAN><SPAN style="FONT-SIZE: 11pt; COLOR: black; FONT-FAMILY: Arial"><FONT size=2>The employer is ultimately responsible for correctly reporting and paying state and federal payroll taxes, even if the third party is making the deposits.<SPAN style="mso-spacerun: yes"> </SPAN>Be sure that your payroll provider has up to date information to correctly file and pay all payroll tax obligations. <SPAN style="mso-spacerun: yes"> </SPAN><BR><SPAN class=340365716-02122010>Even i</SPAN>f the third party <SPAN class=340365716-02122010>payroll provider </SPAN>fails to correctly report and pay <SPAN class=340365716-02122010>all</SPAN> payroll tax obligations, the <B style="mso-bidi-font-weight: normal"><I style="mso-bidi-font-style: normal">employer</I></B> is <SPAN class=340365716-02122010>still </SPAN>held liable for any penalties and interest that is assessed. <BR><SPAN style="mso-spacerun: yes"> </SPAN><o:p></o:p></FONT></SPAN></P>
<P class=MsoNormal style="MARGIN: 0in 0in 0pt 66.45pt; TEXT-INDENT: -0.25in; mso-list: l2 level1 lfo2; tab-stops: list 66.45pt"><SPAN style="FONT-SIZE: 11pt; COLOR: black; FONT-FAMILY: Arial; mso-fareast-font-family: Arial"><SPAN style="mso-list: Ignore"><FONT size=2>B.<SPAN style="FONT: 7pt 'Times New Roman'"><FONT face=Arial> </FONT></SPAN></FONT></SPAN></SPAN><SPAN style="FONT-SIZE: 11pt; COLOR: black; FONT-FAMILY: Arial"><FONT size=2>Periodically review your account to make sure everything is current and up to date.<SPAN class=340365716-02122010> Contact the different tax agencies if needed to verify that your account is current.</SPAN><BR style="mso-special-character: line-break"><BR style="mso-special-character: line-break"><o:p></o:p></FONT></SPAN></P>
<P class=MsoNormal style="MARGIN: 0in 0in 0pt 66.45pt; TEXT-INDENT: -0.25in; mso-list: l2 level1 lfo2; tab-stops: list 66.45pt"><FONT size=2><SPAN style="FONT-SIZE: 11pt; COLOR: black; FONT-FAMILY: Arial; mso-fareast-font-family: Arial"><SPAN style="mso-list: Ignore"><SPAN class=675554916-02122010><FONT size=2> </FONT></SPAN><FONT size=2>C.<SPAN style="FONT: 7pt 'Times New Roman'"><FONT face=Arial> </FONT></SPAN></FONT></SPAN></SPAN></FONT><FONT size=2><SPAN style="FONT-SIZE: 11pt; COLOR: black; FONT-FAMILY: Arial"><FONT size=2>If there are issues on the account, correspondence is always sent to the employer address on record. Make sure that you report any address changes so that you are kept informed of any tax matters involving your business.</FONT><SPAN style="mso-spacerun: yes"> <SPAN class=675554916-02122010> </SPAN> </SPAN><SPAN style="mso-spacerun: yes"> </SPAN><o:p></o:p></SPAN></FONT></P>
<P class=MsoNormal style="MARGIN: 0in 0in 0pt"><SPAN style="FONT-SIZE: 11pt; COLOR: black; FONT-FAMILY: Arial"><FONT size=2><SPAN style="mso-spacerun: yes"> </SPAN><o:p></o:p></FONT></SPAN></P>
<P class=MsoNormal style="MARGIN: 0in 0in 0pt"><SPAN><STRONG><SPAN style="mso-spacerun: yes"> </SPAN><BR><FONT size=3><FONT face=Century>III. Additional Information: <o:p></o:p></FONT></FONT></STRONG></SPAN></P>
<P class=MsoNormal style="MARGIN: 0in 0in 0pt"><SPAN style="COLOR: black; FONT-FAMILY: SimSun; text-shadow: auto"><o:p><FONT size=3> </FONT></o:p></SPAN></P>
<P class=MsoNormal style="MARGIN: 0in 0in 0pt 37.95pt; TEXT-INDENT: -0.25in; mso-list: l1 level1 lfo3; tab-stops: list 37.95pt"><FONT size=2><FONT size=2><B style="mso-bidi-font-weight: normal"><SPAN style="FONT-SIZE: 11pt; COLOR: black; FONT-FAMILY: Arial; mso-fareast-font-family: Arial"><SPAN style="mso-list: Ignore">A.<SPAN style="FONT: 7pt 'Times New Roman'"><FONT face=Arial> </FONT></SPAN></SPAN></SPAN></B><B style="mso-bidi-font-weight: normal"><SPAN style="FONT-SIZE: 11pt; COLOR: black; FONT-FAMILY: Arial">Mailing error</SPAN></B></FONT><SPAN style="FONT-SIZE: 11pt; COLOR: black; FONT-FAMILY: Arial"><FONT size=2>:<SPAN style="mso-spacerun: yes"> </SPAN>When the <B style="mso-bidi-font-weight: normal">form WA</B> (Oregon Agricultural Annual Withholding Tax Returns) was mailed for 2010, the <B style="mso-bidi-font-weight: normal">form WR</B> (Withholding Annual Reconciliation Report) for <STRONG>2011</STRONG> was included instead of the <STRONG>2010 </STRONG>form in error.<SPAN style="mso-spacerun: yes"> </SPAN>If you receive one of these<SPAN class=340365716-02122010> packets</SPAN>, simply change the year at the top of the form WR to <SPAN class=340365716-02122010>"</SPAN>2010<SPAN class=340365716-02122010>"</SPAN> and complete the form as usual.</FONT><SPAN style="mso-spacerun: yes"><FONT size=2> </FONT><SPAN class=675554916-02122010> </SPAN><SPAN class=675554916-02122010> </SPAN></SPAN></SPAN></FONT></P>
<P class=MsoNormal style="MARGIN: 0in 0in 0pt 37.95pt; TEXT-INDENT: -0.25in; mso-list: l1 level1 lfo3; tab-stops: list 37.95pt"><FONT size=2><B style="mso-bidi-font-weight: normal"><SPAN style="FONT-SIZE: 11pt; COLOR: black; FONT-FAMILY: Arial; mso-fareast-font-family: Arial"><SPAN style="mso-list: Ignore"><FONT size=2>B.<SPAN style="FONT: 7pt 'Times New Roman'"> </SPAN></FONT></SPAN></SPAN></B><B style="mso-bidi-font-weight: normal"><SPAN style="FONT-SIZE: 11pt; COLOR: black; FONT-FAMILY: Arial"><FONT size=2>2011 Employment rate letters </FONT></SPAN></B><SPAN style="FONT-SIZE: 11pt; COLOR: black; FONT-FAMILY: Arial"><FONT size=2>have been mailed out to employers. If you haven’t received your information by the beginning of December, be sure to contact the Employment Department by calling 503 947-1488.</FONT> </SPAN></FONT></P>
<P class=MsoNormal style="MARGIN: 0in 0in 0pt 37.95pt; TEXT-INDENT: -0.25in; mso-list: l1 level1 lfo3; tab-stops: list 37.95pt"><FONT size=2><B style="mso-bidi-font-weight: normal"><SPAN style="FONT-SIZE: 11pt; COLOR: black; FONT-FAMILY: Arial; mso-fareast-font-family: Arial"><SPAN style="mso-list: Ignore"><FONT size=2>C</FONT>.<SPAN style="FONT: 7pt 'Times New Roman'"> <FONT size=2> </FONT></SPAN></SPAN></SPAN></B><B style="mso-bidi-font-weight: normal"><SPAN style="FONT-SIZE: 11pt; COLOR: black; FONT-FAMILY: Arial"><FONT size=2>The 2011 version of OTTER</FONT> </SPAN></B></FONT><SPAN style="FONT-SIZE: 11pt; COLOR: black; FONT-FAMILY: Arial"><FONT size=2>is expected to be available the first week of March 2011</FONT>.<SPAN style="mso-spacerun: yes"> </SPAN><o:p></o:p></SPAN></P>
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<P class=MsoNormal style="MARGIN: 0in 0in 0pt"><SPAN style="FONT-SIZE: 10pt; COLOR: black; FONT-FAMILY: SimSun; text-shadow: auto"><BR></SPAN><FONT size=3><STRONG><SPAN style="COLOR: black; FONT-FAMILY: Century; mso-fareast-font-family: SimSun; text-shadow: auto">IV. New Change in Status” form</SPAN><SPAN style="COLOR: black; FONT-FAMILY: Century">:</SPAN><SPAN style="FONT-FAMILY: Century"><o:p></o:p></SPAN></STRONG></FONT></P>
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<P class=MsoNormal style="MARGIN: 0in 0in 0pt"><SPAN style="FONT-SIZE: 11pt; FONT-FAMILY: Arial"><FONT size=2>The updated “Change in Status” is now separated into two forms:<SPAN style="mso-spacerun: yes"> </SPAN><o:p></o:p></FONT></SPAN></P>
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<LI class=MsoNormal style="MARGIN: 0in 0in 0pt; mso-list: l0 level1 lfo1; tab-stops: list .5in"><FONT size=2><B style="mso-bidi-font-weight: normal"><I style="mso-bidi-font-style: normal"><SPAN style="FONT-SIZE: 11pt; FONT-FAMILY: Arial">“<FONT size=2>Business Contact Change</FONT></SPAN></I></B><SPAN style="FONT-SIZE: 11pt; FONT-FAMILY: Arial"><FONT size=2>”:</FONT> <FONT size=2><SPAN class=340365716-02122010>R</SPAN>eports address and telephone number changes only. <o:p></o:p></FONT></SPAN></FONT>
<LI class=MsoNormal style="MARGIN: 0in 0in 0pt; mso-list: l0 level1 lfo1; tab-stops: list .5in"><SPAN style="FONT-SIZE: 11pt; FONT-FAMILY: Arial"><FONT size=2>“<B style="mso-bidi-font-weight: normal"><I style="mso-bidi-font-style: normal">Change in Status</I></B>”: <SPAN class=340365716-02122010>R</SPAN>eports all other changes such as entity changes, owner/officer changes, closing accounts etc.<BR><BR>The new forms can be downloaded by going to </FONT><A href="http://www.oregon.gov/DOR/BUS/forms-payroll.shtml"><FONT color=#800080 size=2>http://www.oregon.gov/DOR/BUS/forms-payroll.shtml</FONT></A><FONT size=2><SPAN style="mso-spacerun: yes"> </SPAN>under “Combined Payroll Tax Forms. <B style="mso-bidi-font-weight: normal">Be sure to complete and send in ANYTIME there is a change to your business.<SPAN style="mso-spacerun: yes"> </SPAN><SPAN style="mso-spacerun: yes"> </SPAN></B></FONT></SPAN></LI></UL>
<DIV class=MsoNormal style="MARGIN: 0in 0in 0pt; mso-list: l0 level1 lfo1; tab-stops: list .5in"><SPAN style="FONT-SIZE: 11pt; FONT-FAMILY: Arial"><B style="mso-bidi-font-weight: normal"><SPAN style="mso-spacerun: yes"></SPAN><o:p></o:p></B></SPAN> </DIV>
<P class=MsoNormal style="MARGIN: 0in 0in 0pt"><SPAN style="FONT-SIZE: 11pt; FONT-FAMILY: Arial"><SPAN style="mso-spacerun: yes"><STRONG> </STRONG><FONT face="Times New Roman" size=2>The <STRONG>Payrolltax-News </STRONG>e-mail list provides employers with complete and up-to-date payroll tax information. Employers can </FONT><A href="http://listsmart.osl.state.or.us/mailman/listinfo/payrolltax-news" target=_blank><FONT face="Times New Roman" size=2>self-subscribe here</FONT></A><FONT face="Times New Roman" size=2>. Representatives in the Business Division will send information to employers through this list. Employers can request additional information by e-mailing </FONT><A href="mailto:payroll.help.dor@state.or.us"><FONT face="Times New Roman" size=2>payroll.help.dor@state.or.us</FONT></A><FONT face="Times New Roman" size=2>.<BR> <BR>As a standard practice, e-mail sent from the department will be in text form only. Department of Revenue will not open attachments.<BR> <BR>Questions about list content and subscription problems should be directed to the list owner: <BR> <BR>Cathy Tavares<BR>Oregon Dept of Revenue<BR></FONT><A href="mailto:Cathleen.M.Tavares@state.or.us"><FONT face="Times New Roman" size=2>Cathleen.M.Tavares@state.or.us</FONT></A><BR><FONT face="Times New Roman" size=2>503-945-8762</FONT><A href="mailto:Cathleen.M.Tavares@state.or.us"></A><BR><STRONG> </STRONG><STRONG><SPAN style="mso-spacerun: yes"> </SPAN><o:p></o:p></STRONG></P>
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