19CE2025Q0004 Cellphone Services Contract Maldives.docx
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- Cellphone Services Contract, Maldives
- Solicitation number
- 19CE2025Q0004
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Department of State
About this file
This is a Request for Quotations (RFQ) issued by the U.S. Embassy in Colombo for cellphone services in Maldives, solicitation number 19CE2025Q0004. The contract will provide mobile telephone services for approximately 43 connection lines, including local and international calls, international roaming, WAP internet access, SMS messaging, voice mail, and detailed billing services. The contractor must ensure 5G and 4G service countrywide, network uptime of 99.99%, and data plans with minimum 35GB monthly caps.
The RFQ requires responses by April 8, 2025 at 1700 hours, submitted electronically to colomboebidding@state.gov. This will be a one-year base contract with four one-year options. The Government will evaluate offers using FAR 13 comparative evaluation procedures to determine best value, considering technical capabilities, past performance, and price. Key requirements include SAM registration, cybersecurity supply chain risk management documentation, and the ability to provide customer service 24/7. The minimum guaranteed quantity is 20 connections and maximum is 60 connections. Offerors must demonstrate ability to operate an established business in Maldives or establish one within 30 days of award.
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| File | Type | Posted |
|---|---|---|
| 19CE2025Q0004 SF1449 Cover Page.pdf | ||
| Attachment 1 C-SCRM-Questionnaire-and-C-SCRM-Software-Producer-Attestation-Form.xlsx | XLSX spreadsheet |
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Cellphone Services Contract, Maldives Solicitation No. 19CE2025Q0004
CELL PHONE SERVICES
OVERSEAS MODEL
COMMERCIAL ITEMS FORMAT
U.S. Embassy, Colombo Date: 2/26/2025
Dear Prospective Quoter:
Subject: Request for Quotations number 19CE2025Q0004
Enclosed is a Request for Quotations (RFQ) for Cellphone Services Contract for Maldives. If you would like to submit quotation, follow the instructions in Section 3 of the solicitation, complete the required portions of the attached document, and submit it to the address shown on the Standard Form 1449 that follows this letter.
The U.S. Government intends to award a contract to the responsible offeror representing best value using comparative evaluation authorized under FAR 13.106-2(b) (3). A comparative evaluation is defined as the act of comparing two or more offers in response to the RFQ. The item-by-item comparison is performed by comparing each offer directly to one another to determine which provides the best value to the Department.
Comparative evaluation is NOT a low price technically acceptable (LPTA) or trade-off process. Prospective offers must still meet basic standards for responsibility at FAR 9.104 and solicitation compliance to be eligible for award. We intend to award a contract based on initial quotations, without holding discussions, although we may hold discussions with companies if there is a need to do so.
Quotations are due by on or before 1700 hours 8th April 2025. No quotations will be accepted after this time. Proposals must be in English and incomplete proposals will not be accepted.
Your quotation must be submitted electronically to Colombo GSO eBidding colomboebidding@state.gov It is important to make sure the submission is made in specific size and format; in MS-Word 2007/2010 or MS-Excel 2007/2010 or Adobe Acrobat (pdf) file format. The file size must not exceed 30MB. If the file size should exceed the 30MB, the submission must be made in separate files and attached to separate emails with less than 30MB each.
In order for a quotation to be considered, you must also complete and submit the following:
1. SF-1449
2. Section I, Pricing
3. Section 5 Representations and Certifications
4. Additional information as required in Section 3
5. “The Offeror should submit a completed IRS Form W-14, found at www.irs.gov/w14, to ensure compliance with FAR 52.229-11;”]
6. Proof of SAM Registration
7. CYBERSECURITY SUPPLY CHAIN RISK MANAGEMENT (C-SCRM) C-
SCRM Questionnaire and C-SCRM Software Producer Attestation Form
Offerors shall be registered in the SAM (System for Award Management) database at https://www.sam.gov prior to submittal of their offer/proposal as prescribed under FAR 4.1102. Failure to be registered at time of proposal submission may deem the offeror’s proposal to be considered non-responsible and no further consideration will be given. Therefore, offerors are highly encouraged to register immediately if they are interested in submitting a response to this requirement.
| Sincerely, |
| Agnes Bates |
| Contracting Officer |
Enclosure:
TABLE OF CONTENTS
SECTION 1 - THE SCHEDULE
· SF 1449 cover sheet
· Continuation To SF-1449, RFQ Number 19CE2025Q0004
· , Prices, Block 23
· Continuation To SF-1449, RFQ Number 19CE2025Q0004 , Schedule Of Supplies/Services, Block 20 Description/Specifications/Work Statement
· Description/Specifications/Performance Work Statement, Government Furnished Property
· Attachment 1 CYBERSECURITY SUPPLY CHAIN RISK MANAGEMENT (C-SCRM)
SECTION 2 - CONTRACT CLAUSES
· Contract Clauses
· Addendum to Contract Clauses - FAR and DOSAR Clauses not Prescribed in Part 12
SECTION 3 - SOLICITATION PROVISIONS
· Solicitation Provisions
· Addendum to Solicitation Provisions - FAR and DOSAR Provisions not Prescribed in Part 12
SECTION 4 - EVALUATION
· Evaluation
· Addendum to Evaluation - FAR and DOSAR Provisions not Prescribed in Part 12
SECTION 5 - REPRESENTATIONS AND CERTIFICATIONS
· Representations and Certifications
· Addendum to Offeror Representations and Certifications - FAR and DOSAR Provisions not Prescribed in Part 12
SECTION 1 - THE SCHEDULE
CONTINUATION TO SF-1449
RFQ NUMBER S- 19CE2025Q0004
PRICES, BLOCK 23
JAMES ZADROGA 9/11 VICTIMS HEALTH AND COMPENSATION ACT OF 2010 NOTICE: UNLESS A WAIVER OR EXCEPTION APPLIES, PAYMENTS SUBSEQUENT TO THIS PROCUREMENT ARE SUBJECT TO AN EXCISE TAX OF 2% PERSUANT TO 26 U.S.C. 5000C.
SECTION 1 - THE SCHEDULE
MONTHLY SUBSCRIPTION PLAN
1. SCOPE OF CONTRACT
The Contractor shall provide mobile telephone services to the Embassy of the United States of America in Sri Lanka. The prices listed below shall include all labor, materials, insurance (see FAR 52.228-4 and 52.228-5), overhead, and profit. The Government will pay the Contractor on a monthly basis for Standard Services that have been satisfactorily performed.
Temporary Additional Services are defined as rental on a daily basis of a cell-phone with a SIM card. These services shall support special events at the Post. The Contractor shall provide Temporary Additional Services in addition to the scheduled services specified in this contract. The Contracting Officer shall order Temporary Additional Services on an as needed basis. This work shall not be subcontracted. The Contracting Officer may require the Contractor to provide Temporary Additional Services with 24 hour advance notice.
The Contractor shall include in its next regular invoice details of the Temporary Additional Services and, if applicable, the materials provided and requested under these services. The Contractor shall also include a copy of the Contracting Officer’s written confirmation for the Temporary Additional Services.
II. PERIOD OF PERFORMANCE
The contract will be for a one-year period from the date of the contract award, with four (4) year options to renew.
III. PRICING
VALUE ADDED TAX (VAT)
VALUE ADDED TAX. Value Added Tax (VAT) is not included in the CLIN rates. Instead, it will be priced as a separate Line Item in the contract and on Invoices. The amount of VAT to be charged is %. Local law dictates the portion of the contract price that is subject to VAT; this percentage is multiplied only against that portion. It is included in each performance period. The portions of the solicitation subject to VAT are:
Base Year Total
Option Year 1 Total
Option Year 2 Total
Option Year 3 Total
Option Year 4 Total
GRAND TOTAL FOR BASE + ALL OPTION YEARS
During this contract period, the Government shall place orders totaling a minimum of 20 connections. This reflects the contract guarantee minimum for this period of performance. The amount of all orders shall not exceed 60 connections. This reflects the contract maximum for this period of performance.
CONTINUATION TO SF-1449
RFQ NUMBER 19CE2025Q0004
INDEFINITE DELIVERY/INDEFINITE QUANTITY CONTRACT
SCHEDULE OF SERVICES, BLOCK 20
1. PERFORMANCE WORK STATEMENT
This solicitation is for mobile telephone services. The U.S. Embassy is using 43 connections lines for official purposes. The Contractor shall provide complete mobile telephones services for the U.S. Embassy of Maldives. Services provided shall include:
1. 1 The ISP must ensure the below features are available for each and every contracted cellular line:
· Calls within Maldives.
· International calls.
· International roaming (including voice, data and SMS) – Upon Request.
· Call forwarding (including conditional forwarding).
· Call blocking.
· Call waiting.
· Call conference (Should support a minimum of 3-party conference calls).
· Missed call alerts.
· SMS messaging – both local and international.
· Voice Mail.
· Wi-Fi Calling feature should be provided free of charge.
· Availability of 5G and 4G service country wide.
· Detailed billing of calls made, including data usage.
· Any other value-added feature that is reasonable expected from an ISP, such as itemized bills and/or with Call History.
1. 2. The ISP must ensure that the below requirements are fulfilled from the ISP end throughout the duration of the contract
· The ISP must not block or censor access to internet content (e.g.: social media).
· SMS functionality should include the ability to receive SMS tokens (OTP) from any site or platform such as Google, Microsoft, etc.
· There must not be any charges for incoming SMS (both local and international).
· The ISP must not do any feature changes or plan changes without permission from the U.S. Embassy Colombo Diplomatic Technology staff or Contract Manager.
· U.S. Embassy will request reports (e.g.: list of data plans, usage reports, list of roaming plans) from time to time depending on the requirement. The ISP must provide the relevant reports requested by the U.S. Embassy within a 24-hour time frame.
· Activation of a new connection must be done by the contracted ISP within 2 hours after receiving the request.
· The ISP must assign an account manager to the account.
· The ISP must provide a customer service number that is operational 24/7.
· The ISP must provide a technical support number that is operational 24/7.
· The ISP must not make any promotional calls to U.S. Embassy numbers.
· U.S. Embassy should be able to apply credit limits on any of its numbers (if required).
· Calls and SMS within U.S. Embassy mobile numbers should be free.
· If there are any billing or payment related issues, the ISP must reach out to U.S. Embassy before taking any action.
· The ISP must support the activation of both physical sim cards and E-sims.
· The ISP must make sure that the call quality (including loudness and clarity) is maintained at the highest level.
· The ISP must make sure that the data services do not experience any technical issues (including speeds, stability, and latency).
· The ISP must not block hotspot capability.
· Every month, the ISP must email U.S. Embassy with a single bill that contains billing data related to all the mobile numbers.
· The ISP must provide an administrative/management web portal to be used by key U.S. Embassy employees for managing mobile connections.
· All SIM cards (including both mobile sims and data only sims) provided by the ISP must be device agnostic and they must be compatible with mobile phones, tablets, laptops (with cellular capability) and routers. The SIMs must work regardless of the make/model of the physical device or chipset they are used in.
· The ISP must provide a set of blank (inactive) sim cards that can be activated when the requirement arises.
· The ISP must support mobile number portability.
· The ISP must enable the relevant roaming plans (including passport roaming) upon request from U.S. Embassy contract managers.
· U.S. Embassy will be appointing multiple administrators from their end to manage the mobile connections. Hence the ISP will need to accommodate requests from multiple U.S. Embassy administrators.
· U.S. Embassy has tax exemption (immunity) status authorized by the Maldivian government. As of July 2024, the Maldivian government are formalizing the tax exemption process for the country. When the tax exemption is formalized, the contracted ISP must stop charging all forms taxes to U.S. Embassy contracts and contracted phone lines.
· The ISP must not record (or monitor) U.S. Embassy lines, calls, or text messages in any fashion.
· We have a call auto dialing system that dials automated calls (robocalls) to all our mobile numbers at once for emergency contact purposes. The ISP must ensure the originating numbers of this system are whitelisted on the ISP network so these calls/texts/SMS messages are routed and delivered without delay.
· ISP must guarantee a network uptime of 99.99%.
· For mobile connections the ISP must provide a plan that contains a data cap of at least 35GB per month and unlimited calls.
· For mobile broadband connections the ISP must provide a plan that contains a data cap of at least 35GB per month.
· The U.S. Embassy should have the option to upgrade or downgrade any individual lines to another tier plan. Additionally, the ISP should allow a plan to be put on hold or paused or at minimum dropped to the lowest cost plan.
1.3 INTERNATIONAL CALLS
The Contractor shall ensure on a 24-hour basis international connectivity with the USA, all European countries, and all other worldwide countries that telephone services are available.
1.4 INTERNATIONAL ROAMING
The Contractor shall provide as extensive international roaming connectivity as possible, with the special interest of the Government for roaming within all Maldives and the USA.
1.5 WIRELESS APPLICATION PROTOCOL (WAP)
The Contractor shall provide Internet connection through their network to the Wireless Application Protocol (WAP) Internet sites.
1.6 SMS MESSAGING
The Contractor shall provide access to around the clock SMS messaging.
1.7 VOICE MAIL
The Contractor shall provide Voice Mail services in English and Dhivehi Language. A Voice Mail Box shall be prepared for each number separately as per standard practice.
1.8 RENTAL OF CELL-PHONES WITH SIM CARDS
Reserved
1.9 CUSTOMER SERVICE
The Contractor shall provide technical support for setting up voice mail, roaming questions, questions on the phone features, number changes, lost or stolen telephone reporting, manufacturer’s warranty information, and all other matters concerning the mobile telephone services through the Contractor’s Project Manager.
1.10 DETAILED BILLING
1.10.1 The Contractor shall provide a monthly breakdown of calls made by individual numbers. The breakdown shall clearly show:
Called Number Time and Date of the Call Duration of the Call Price
1.10.2 The monthly lists of calls made shall be forwarded to the Contracting Officer’s Representative (COR) until the end of each current month for the previous month to the following address:
U.S. Embassy, Maldives
MNPHI Office Complex ATTN: Maldives Management Hulhumale, MALDIVES
2. INVOICING
The Contractor shall submit monthly invoices to the COR at the address shown in paragraph d below. A proper invoice must include the following information:
Contractor's name and bank account information for payments by wire transfers
Invoice Date
Contract Number
A summary showing a listing of each line with total monthly price in local currency for that line. A detailed invoice for each agency has to be attached to each summary invoice and should include the cost breakdown by each telephone line according to the pricing schedule
A detailed list of all calls made for each line
Prompt payment discount, if any
Name, title, phone number, and address of person to contact in case of defective invoice
If an invoice does not contain the above information, the Government reserves the right to reject the invoice as improper and return it to the Contractor within 7 calendars days. The Contractor must then submit a proper invoice.
The COR will take each summary invoice and furnish the detailed invoice to the appropriate official in each individual Government agency. That agency representative will review the detailed invoice and either approve for payment or advise the COR of the inaccuracies found. It shall be the COR who will interact with the Contractor on any invoice problems.
The Contractor will send all invoices to the following address:
U.S. Embassy, Maldives
FMO Billing American Embassy Colombo 210, Galle Road Colombo 3
Payment shall be made in local currency by Electronic Funds Transfer (EFT) within 30 days after receipt of the proper invoice
(f) The Government will provide annual proof of a direct exemption of Value Added Tax (VAT); according to host country VAT laws.
3. KEY PERSONNEL
3.1 The Project Manager must be able to converse in English and Dhivehi. The Contractor shall assign to this contract the following key person:
POSITION/FUNCTION ___________________ NAME _________________
Project Manager
3.2 During the first 90 days of performance, the Contractor shall make no substitutions of key personnel unless the substitution is required due to illness, death, or termination of employment. The Contractor shall notify the Contracting Officer within 15 calendar days after the occurrence of any of these events and provide the information required below to the Contracting Officer at least 15 days before making any permanent substitutions.
3.3 After the first 90 days of performance, the Contractor may substitute a key person if the Contractor determines that it is necessary. The Contractor shall notify the Contracting Officer of the proposed action immediately. Prior to making the substitution, the Contractor will provide the information required below to the Contracting Officer.
3.4 The Contractor shall provide a detailed explanation of the circumstances requiring the proposed substitution, a complete resume for the proposed substitute. The proposed substitute shall possess qualifications comparable to the original key person. The Contracting Officer will notify the Contractor of its approval or disapproval of the substitution within 15 calendar days after receiving the required information. The Government will modify the contract to reflect any changes in key personnel.
4. PERMITS
Without additional cost to the Government, the Contractor shall obtain all permits, licenses, and appointments required for the work under this contract. The Contractor shall obtain these permits, licenses, and appointments in compliance with applicable Maldives country laws.
5. GOVERNMENT FURNISHED PROPERTY
Reserved
5.2 A list of Cell-Phone Types that the Government owns and intends to use with the services provided in this contract:
iPhone, Samsung & Blackberry
6. ADDITION OF NEW LINES
The Contractor will provide a fully functional SIM card, telephone number, and appropriate security codes to the COR within 24 hours after receiving a delivery order under the contract.
7. NON-OFFICIAL LINES
This Contract is valid only for official Government needs.
8. DISCLOSURE OF INFORMATION
Any information made available to the Contractor by the Government shall be used only for the purpose of carrying out the provisions of this contract and shall not be divulged or made known in any manner to any person except as may be necessary in the performance of the contract.
9. TECHNOLOGICAL REFRESHMENT
After contract award, the Government may; pursuant to FAR clause 52.212-4 - Contract Terms and Conditions –Commercial Items, paragraph (c), Changes; request changes within the scope of the contract. These changes may be required to improve performance or react to changes in technology.
The Contractor may propose for the Government’s technological refreshment, substitutions or additions for any provided products or services that may become available as a result of technological improvements. The Government may, at any time during the term of this contract or any extensions thereof, modify the contract to acquire products which are similar to those under the contract and that the Contractor has, or has not, formally announced for marketing purposes. This action is considered to be within the scope of the contract. At the option of the Government, a demonstration of the substitute product may be required. The Government is under no obligation to modify the contract in response to the proposed additions or substitutions.
Such substitutions or additions may include any part of, or all of, a given product(s) provided that the following conditions are met and substantiated by documentation in the technological refreshment proposal:
The proposed product(s) shall meet all of the technical specifications of this document and conform to the terms and conditions cited in the contract.
The proposed product(s) shall have the capacity, performance, or functional characteristics equal to or greater than, the current product(s).
The proposal shall discuss the impact on hardware, services, and delivery schedules. The cost of the changes not specifically addressed in the proposal shall be borne entirely by the Contractor.
Contractor has the right to withdraw, in whole or in part, any technological refreshment proposal prior to acceptance by the Government. Contractor will use commercially reasonable efforts to ensure that prices for substitutions or additions are comparable to replaced or discontinued products. If a technological refreshment proposal is accepted and made a part of this contract, an equitable adjustment, increasing or decreasing the contract price, may be required and any other affected provisions of this contract shall be made in accordance with FAR clause 52.212-4, paragraph (c), Changes, and other applicable clauses of the contract.
10. SPECIAL SHORT TERM PROMOTION
For the entire contract duration, the Contractor will offer the U.S. Embassy the option to take advantage of any promotional programs that it offers and that is suited for use by U.S. Embassy staff. The U.S. Embassy, at its own discretion, will have the option to take or reject the opportunity.
11. DELIVERY ORDERS
The Contracting Officer will issue delivery orders to order phone and services to the Contractor for performance of work under this contract. If an order is given orally, it will be followed up by a written delivery order within 7 days.
12. TRAINING
The Contractor shall provide, at no additional cost, training to all U.S. Embassy employees who received a mobile phone. Training to be provided will include the proper operation of the equipment purchased and the equipment’s operating features. The training will be coordinated with the COR to match the U.S. Embassy work schedule.
13. EQUIPMENT RETURN/DEFECTIVE POLICY
If a telephone is defective or is being returned, the telephone will be exchanged within one (1) business day.
14. CUSTOMER SERVICE CENTERS
The Contractor is to provide a telephone number for the purpose of reporting equipment problems and malfunctions, billing inquiries, and customer question regarding accounts and services.
15. SURVIVABILITY AND RECOVERY
The Contractor shall have a working system of network survivability in case of emergencies and serious disasters when all networks may be jammed or when parts of the network are destroyed.
The Contractor shall have a recovery plan in place that shall deal with such occurrences.
QUALITY ASSURANCE AND SURVEILLANCE PLAN (QASP)
This plan provides an effective method to promote satisfactory contractor performance. The QASP provides a method for the Contracting Officer's Representative (COR) to monitor Contractor performance, advise the Contractor of unsatisfactory performance, and notify the Contracting Officer of continued unsatisfactory performance. The Contractor, not the Government, is responsible for management and quality control to meet the terms of the contract. The role of the Government is to monitor quality to ensure that contract standards are achieved.
| Performance Objective |
| Scope of Work Para |
| Performance Threshold |
Services.
Performs all services set forth in the scope of work.
1. thru 19.
All required services are performed and no more than one (1) customer complaint is received per month.
SECTION 2 - CONTRACT CLAUSES
52.212-4 CONTRACT TERMS AND CONDITIONS – COMMERCIAL ITEMS
(DEC 2022) IS INCORPORATED BY REFERENCE. (SEE SF-1449,
BLOCK 27A)
52.212-5 CONTRACT TERMS AND CONDITIONS REQUIRED TO IMPLEMENT STATUTES OR EXECUTIVE ORDERS-COMMERCIAL PRODUCTS AND COMMERCIAL SERVICES (MAR 2023)
(a) The Contractor shall comply with the following Federal Acquisition Regulation (FAR) clauses, which are incorporated in this contract by reference, to implement provisions of law or Executive orders applicable to acquisitions of commercial products and commercial services:
(1) 52.203-19, Prohibition on Requiring Certain Internal Confidentiality Agreements or Statements (JAN 2017) (section 743 of Division E, Title VII, of the Consolidated and Further Continuing Appropriations Act, 2015 (Pub. L. 113-235) and its successor provisions in subsequent appropriations acts (and as extended in continuing resolutions)).
(2) 52.204-23, Prohibition on Contracting for Hardware, Software, and Services Developed or Provided by Kaspersky Lab and Other Covered Entities (NOV 2021) (Section 1634 of Pub. L. 115-91).
(3) 52.204-25, Prohibition on Contracting for Certain Telecommunications and Video Surveillance Services or Equipment. (NOV 2021) (Section 889(a)(1)(A) of Pub. L. 115-232).
(4) 52.209-10, Prohibition on Contracting with Inverted Domestic Corporations (NOV 2015).
(5) 52.232-40, Providing Accelerated Payments to Small Business Subcontractors (MAR 2023) ( 31 U.S.C. 3903 and 10 U.S.C. 3801).
(6) 52.233-3, Protest After Award (AUG 1996) ( 31 U.S.C. 3553).
(7) 52.233-4, Applicable Law for Breach of Contract Claim (OCT 2004) (Public Laws 108-77 and 108-78 ( 19 U.S.C. 3805 note)).
(b) The Contractor shall comply with the FAR clauses in this paragraph (b) that the Contracting Officer has indicated as being incorporated in this contract by reference to implement provisions of law or Executive orders applicable to acquisitions of commercial products and commercial services:
[Contracting Officer check as appropriate.] __ (1) 52.203-6, Restrictions on Subcontractor Sales to the Government (JUN 2020), with Alternate I (NOV 2021) ( 41 U.S.C. 4704 and 10 U.S.C. 4655).
__ (2) 52.203-13, Contractor Code of Business Ethics and Conduct (NOV 2021) ( 41 U.S.C. 3509)).
__ (3) 52.203-15, Whistleblower Protections under the American Recovery and Reinvestment Act of 2009 (JUN 2010) (Section 1553 of Pub. L. 111-5). (Applies to contracts funded by the American Recovery and Reinvestment Act of 2009.)
(X) (4) 52.204-10, Reporting Executive Compensation and First-Tier Subcontract Awards (JUN 2020) (Pub. L. 109-282) ( 31 U.S.C. 6101 note).
__ (5) [Reserved].
__ (6) 52.204-14, Service Contract Reporting Requirements (OCT 2016) (Pub. L. 111-117, section 743 of Div. C).
__ (7) 52.204-15, Service Contract Reporting Requirements for Indefinite-Delivery Contracts (OCT 2016) (Pub. L. 111-117, section 743 of Div. C).
(X) (8) 52.209-6, Protecting the Government’s Interest When Subcontracting with Contractors Debarred, Suspended, or Proposed for Debarment. (NOV 2021) ( 31 U.S.C. 6101 note).
__ (9) 52.209-9, Updates of Publicly Available Information Regarding Responsibility Matters (OCT 2018) ( 41 U.S.C. 2313).
__ (10) [Reserved].
__ (11) 52.219-3, Notice of HUBZone Set-Aside or Sole-Source Award (OCT 2022) ( 15 U.S.C. 657a).
__ (12) 52.219-4, Notice of Price Evaluation Preference for HUBZone Small Business Concerns (OCT 2022) (if the offeror elects to waive the preference, it shall so indicate in its offer) ( 15 U.S.C. 657a).
__ (13) [Reserved] __ (14)
(i) 52.219-6, Notice of Total Small Business Set-Aside (NOV 2020) ( 15 U.S.C. 644).
__ (ii) Alternate I (MAR 2020) of 52.219-6.
__ (15)
(i) 52.219-7, Notice of Partial Small Business Set-Aside (NOV 2020) ( 15 U.S.C. 644).
__ (ii) Alternate I (MAR 2020) of 52.219-7.
__ (16) 52.219-8, Utilization of Small Business Concerns (OCT 2022) ( 15 U.S.C. 637(d)(2) and (3)).
__ (17)
(i) 52.219-9, Small Business Subcontracting Plan (OCT 2022) ( 15 U.S.C. 637(d)(4)).
__ (ii) Alternate I (NOV 2016) of 52.219-9.
__ (iii) Alternate II (NOV 2016) of 52.219-9.
__ (iv) Alternate III (JUN 2020) of 52.219-9.
__ (v) Alternate IV (SEP 2021) of 52.219-9.
__ (18)
(i) 52.219-13, Notice of Set-Aside of Orders (MAR 2020) ( 15 U.S.C. 644(r)).
__ (ii) Alternate I (MAR 2020) of 52.219-13.
__ (19) 52.219-14, Limitations on Subcontracting (OCT 2022) ( 15 U.S.C. 637s).
__ (20) 52.219-16, Liquidated Damages—Subcontracting Plan (SEP 2021) ( 15 U.S.C. 637(d)(4)(F)(i)).
__ (21) 52.219-27, Notice of Service-Disabled Veteran-Owned Small Business Set-Aside (OCT 2022) ( 15 U.S.C. 657f).
__ (22)
(i) 52.219-28, Post Award Small Business Program Rerepresentation (MAT 2023)( 15 U.S.C. 632(a)(2)).
__ (ii) Alternate I (MAR 2020) of 52.219-28.
__ (23) 52.219-29, Notice of Set-Aside for, or Sole-Source Award to, Economically Disadvantaged Women-Owned Small Business Concerns (OCT 2022) ( 15 U.S.C. 637(m)).
__ (24) 52.219-30, Notice of Set-Aside for, or Sole-Source Award to, Women-Owned Small Business Concerns Eligible Under the Women-Owned Small Business Program (OCT 2022) ( 15 U.S.C. 637(m)).
__ (25) 52.219-32, Orders Issued Directly Under Small Business Reserves (MAR 2020) ( 15 U.S.C. 644(r)).
__ (26) 52.219-33, Nonmanufacturer Rule (SEP 2021) ( 15U.S.C. 637(a)(17)).
__ (27) 52.222-3, Convict Labor (JUN 2003) (E.O.11755).
__ (28) 52.222-19, Child Labor-Cooperation with Authorities and Remedies (DEC 2022) (E.O.13126).
__ (29) 52.222-21, Prohibition of Segregated Facilities (APR 2015).
__ (30)
(i) 52.222-26, Equal Opportunity (SEP 2016) (E.O.11246).
__ (ii) Alternate I (FEB 1999) of 52.222-26.
__ (31)
(i) 52.222-35, Equal Opportunity for Veterans (JUN 2020) ( 38 U.S.C. 4212).
__ (ii) Alternate I (JUL 2014) of 52.222-35.
__ (32)
(i) 52.222-36, Equal Opportunity for Workers with Disabilities (JUN 2020) ( 29 U.S.C. 793).
__ (ii) Alternate I (JUL 2014) of 52.222-36.
__ (33) 52.222-37, Employment Reports on Veterans (JUN 2020) ( 38 U.S.C. 4212).
__ (34) 52.222-40, Notification of Employee Rights Under the National Labor Relations Act (DEC 2010) (E.O. 13496).
__ (35)
(i) 52.222-50, Combating Trafficking in Persons (NOV 2021) ( 22 U.S.C. chapter 78 and E.O. 13627).
__ (ii) Alternate I (MAR 2015) of 52.222-50 ( 22 U.S.C. chapter 78 and E.O. 13627).
__ (36) 52.222-54, Employment Eligibility Verification (MAY 2022) (Executive Order 12989). (Not applicable to the acquisition of commercially available off-the-shelf items or certain other types of commercial products or commercial services as prescribed in FAR 22.1803.)
__ (37)
(i) 52.223-9, Estimate of Percentage of Recovered Material Content for EPA–Designated Items (May 2008) ( 42 U.S.C. 6962(c)(3)(A)(ii)). (Not applicable to the acquisition of commercially available off-the-shelf items.)
__ (ii) Alternate I (MAY 2008) of 52.223-9 ( 42 U.S.C. 6962(i)(2)(C)). (Not applicable to the acquisition of commercially available off-the-shelf items.)
__ (38) 52.223-11, Ozone-Depleting Substances and High Global Warming Potential Hydrofluorocarbons (Jun 2016) (E.O. 13693).
__ (39) 52.223-12, Maintenance, Service, Repair, or Disposal of Refrigeration Equipment and Air Conditioners (JUN 2016) (E.O. 13693).
__ (40)
(i) 52.223-13, Acquisition of EPEAT®-Registered Imaging Equipment (JUN 2014) (E.O.s 13423 and 13514).
__ (ii) Alternate I (OCT 2015) of 52.223-13.
__ (41)
(i) 52.223-14, Acquisition of EPEAT®-Registered Televisions (JUN 2014) (E.O.s 13423 and 13514).
__ (ii) Alternate I (Jun2014) of 52.223-14.
__ (42) 52.223-15, Energy Efficiency in Energy-Consuming Products (MAY 2020) ( 42 U.S.C. 8259b).
__ (43)
(i) 52.223-16, Acquisition of EPEAT®-Registered Personal Computer Products (OCT 2015) (E.O.s 13423 and 13514).
__ (ii) Alternate I (JUN 2014) of 52.223-16.
(X) (44) 52.223-18, Encouraging Contractor Policies to Ban Text Messaging While Driving (JUN 2020) (E.O. 13513).
__ (45) 52.223-20, Aerosols (JUN 2016) (E.O. 13693).
__ (46) 52.223-21, Foams (Jun2016) (E.O. 13693).
__ (47)
(i) 52.224-3 Privacy Training (JAN 2017) (5 U.S.C. 552 a).
__ (ii) Alternate I (JAN 2017) of 52.224-3.
__ (48)
(i) 52.225-1, Buy American-Supplies (OCT 2022) ( 41 U.S.C. chapter 83).
__ (ii) Alternate I (OCT 2022) of 52.225-1.
__ (49)
(i) 52.225-3, Buy American-Free Trade Agreements-Israeli Trade Act (DEC 2022) ( 19 U.S.C. 3301 note, 19 U.S.C. 2112 note, 19 U.S.C. 3805 note, 19 U.S.C. 4001 note, 19 U.S.C. chapter 29 (sections 4501-4732), Public Law 103-182, 108-77, 108-78, 108-286, 108-302, 109-53, 109-169, 109-283, 110-138, 112-41, 112-42, and 112-43.
__ (ii) Alternate I [Reserved].
__ (iii) Alternate II (DEC 2022) of 52.225-3.
__ (iv) Alternate III (JAN 2021) of 52.225-3.
__ (v) Alternate IV (Oct 2022) of 52.225-3.
__ (50) 52.225-5, Trade Agreements (DEC 2022) ( 19 U.S.C. 2501, et seq., 19 U.S.C. 3301 note).
(X) (51) 52.225-13, Restrictions on Certain Foreign Purchases (FEB 2021) (E.O.’s, proclamations, and statutes administered by the Office of Foreign Assets Control of the Department of the Treasury).
__ (52) 52.225-26, Contractors Performing Private Security Functions Outside the United States (Oct 2016) (Section 862, as amended, of the National Defense Authorization Act for Fiscal Year 2008; 10 U.S.C. Subtitle A, Part V, Subpart G Note).
__ (53) 52.226-4, Notice of Disaster or Emergency Area Set-Aside (Nov 2007) ( 42 U.S.C. 5150).
__ (54) 52.226-5, Restrictions on Subcontracting Outside Disaster or Emergency Area (Nov2007) ( 42 U.S.C. 5150).
__ (55) 52.229-12, Tax on Certain Foreign Procurements (FEB 2021).
(X) (56) 52.232-29, Terms for Financing of Purchases of Commercial Products and Commercial Services (NOV 2021) ( 41 U.S.C. 4505, 10 U.S.C. 3805).
__ (57) 52.232-30, Installment Payments for Commercial Products and Commercial Services (NOV 2021) ( 41 U.S.C. 4505, 10 U.S.C. 3805).
(X) (58) 52.232-33, Payment by Electronic Funds Transfer-System for Award Management (OCT2018) ( 31 U.S.C. 3332).
__ (59) 52.232-34, Payment by Electronic Funds Transfer-Other than System for Award Management (Jul 2013) ( 31 U.S.C. 3332).
__ (60) 52.232-36, Payment by Third Party (MAY 2014) ( 31 U.S.C. 3332).
__ (61) 52.239-1, Privacy or Security Safeguards (AUG 1996) ( 5 U.S.C. 552a).
__ (62) 52.242-5, Payments to Small Business Subcontractors (JAN 2017) ( 15 U.S.C. 637(d)(13)).
__ (63)
(i) 52.247-64, Preference for Privately Owned U.S.-Flag Commercial Vessels (NOV 2021) ( 46 U.S.C. 55305 and 10 U.S.C. 2631).
__ (ii) Alternate I (APR 2003) of 52.247-64.
__ (iii) Alternate II (NOV 2021) of 52.247-64.
(c) The Contractor shall comply with the FAR clauses in this paragraph (c), applicable to commercial services, that the Contracting Officer has indicated as being incorporated in this contract by reference to implement provisions of law or Executive orders applicable to acquisitions of commercial products and commercial services:
[Contracting Officer check as appropriate.] __ (1) 52.222-41, Service Contract Labor Standards (AUG 2018) ( 41 U.S.C. chapter67).
__ (2) 52.222-42, Statement of Equivalent Rates for Federal Hires (MAY 2014) ( 29 U.S.C. 206 and 41 U.S.C. chapter 67).
__ (3) 52.222-43, Fair Labor Standards Act and Service Contract Labor Standards-Price Adjustment (Multiple Year and Option Contracts) (AUG 2018) ( 29 U.S.C. 206 and 41 U.S.C. chapter 67).
__ (4) 52.222-44, Fair Labor Standards Act and Service Contract Labor Standards-Price Adjustment (May 2014) ( 29U.S.C.206 and 41 U.S.C. chapter 67).
__ (5) 52.222-51, Exemption from Application of the Service Contract Labor Standards to Contracts for Maintenance, Calibration, or Repair of Certain Equipment-Requirements (May 2014) ( 41 U.S.C. chapter 67).
__ (6) 52.222-53, Exemption from Application of the Service Contract Labor Standards to Contracts for Certain Services-Requirements (MAY 2014) ( 41 U.S.C. chapter 67).
__ (7) 52.222-55, Minimum Wages for Contractor Workers Under Executive Order 14026 (JAN 2022).
__ (8) 52.222-62, Paid Sick Leave Under Executive Order 13706 (JAN 2022) (E.O. 13706).
__ (9) 52.226-6, Promoting Excess Food Donation to Nonprofit Organizations (Jun 2020) ( 42 U.S.C. 1792).
(d) Comptroller General Examination of Record. The Contractor shall comply with the provisions of this paragraph (d) if this contract was awarded using other than sealed bid, is in excess of the simplified acquisition threshold, as defined in FAR 2.101, on the date of award of this contract, and does not contain the clause at 52.215-2, Audit and Records-Negotiation.
(1) The Comptroller General of the United States, or an authorized representative of the Comptroller General, shall have access to and right to examine any of the Contractor’s directly pertinent records involving transactions related to this contract.
(2) The Contractor shall make available at its offices at all reasonable times the records, materials, and other evidence for examination, audit, or reproduction, until 3 years after final payment under this contract or for any shorter period specified in FAR subpart 4.7, Contractor Records Retention, of the other clauses of this contract. If this contract is completely or partially terminated, the records relating to the work terminated shall be made available for 3 years after any resulting final termination settlement. Records relating to appeals under the disputes clause or to litigation or the settlement of claims arising under or relating to this contract shall be made available until such appeals, litigation, or claims are finally resolved.
(3) As used in this clause, records include books, documents, accounting procedures and practices, and other data, regardless of type and regardless of form. This does not require the Contractor to create or maintain any record that the Contractor does not maintain in the ordinary course of business or pursuant to a provision of law.
(e)
(1) Notwithstanding the requirements of the clauses in paragraphs (a), (b), (c), and (d) of this clause, the Contractor is not required to flow down any FAR clause, other than those in this paragraph (e)(1), in a subcontract for commercial products or commercial services. Unless otherwise indicated below, the extent of the flow down shall be as required by the clause-
(i) 52.203-13, Contractor Code of Business Ethics and Conduct (NOV 2021) ( 41 U.S.C. 3509).
(ii) 52.203-19, Prohibition on Requiring Certain Internal Confidentiality Agreements or Statements (Jan 2017) (section 743 of Division E, Title VII, of the Consolidated and Further Continuing Appropriations Act, 2015 (Pub. L. 113-235) and its successor provisions in subsequent appropriations acts (and as extended in continuing resolutions)).
(iii) 52.204-23, Prohibition on Contracting for Hardware, Software, and Services Developed or Provided by Kaspersky Lab and Other Covered Entities (NOV 2021) (Section 1634 of Pub. L. 115-91).
(iv) 52.204-25, Prohibition on Contracting for Certain Telecommunications and Video Surveillance Services or Equipment. (NOV 2021) (Section 889(a)(1)(A) of Pub. L. 115-232).
(v) 52.219-8, Utilization of Small Business Concerns (OCT 2022) ( 15 U.S.C. 637(d)(2) and (3)), in all subcontracts that offer further subcontracting opportunities. If the subcontract (except subcontracts to small business concerns) exceeds the applicable threshold specified in FAR 19.702(a) on the date of subcontract award, the subcontractor must include 52.219-8 in lower tier subcontracts that offer subcontracting opportunities.
(vi) 52.222-21, Prohibition of Segregated Facilities (APR 2015).
(vii) 52.222-26, Equal Opportunity (SEP 2015) (E.O.11246).
(viii) 52.222-35, Equal Opportunity for Veterans (JUN 2020) ( 38 U.S.C. 4212).
(ix) 52.222-36, Equal Opportunity for Workers with Disabilities (JUN 2020) ( 29 U.S.C. 793).
(x) 52.222-37, Employment Reports on Veterans (JUN 2020) ( 38 U.S.C. 4212).
(xi) 52.222-40, Notification of Employee Rights Under the National Labor Relations Act (DEC 2010) (E.O. 13496). Flow down required in accordance with paragraph (f) of FAR clause 52.222-40.
(xii) 52.222-41, Service Contract Labor Standards (AUG 2018) ( 41 U.S.C. chapter 67).
(xiii)
(A) 52.222-50, Combating Trafficking in Persons (NOV 2021) ( 22 U.S.C. chapter 78 and E.O 13627).
(B) Alternate I (MAR 2015) of 52.222-50 ( 22 U.S.C. chapter 78 and E.O. 13627).
(xiv) 52.222-51, Exemption from Application of the Service Contract Labor Standards to Contracts for Maintenance, Calibration, or Repair of Certain Equipment-Requirements (May 2014) ( 41 U.S.C. chapter 67).
(xv) 52.222-53, Exemption from Application of the Service Contract Labor Standards to Contracts for Certain Services-Requirements (MAY 2014) ( 41 U.S.C. chapter 67).
(xvi) 52.222-54, Employment Eligibility Verification (MAY 2022) (E.O. 12989).
(xvii) 52.222-55, Minimum Wages for Contractor Workers Under Executive Order 14026 (JAN 2022).
(xviii) 52.222-62, Paid Sick Leave Under Executive Order 13706 (JAN 2022) (E.O. 13706).
(xix)
(A) 52.224-3, Privacy Training (Jan 2017) ( 5 U.S.C. 552a).
(B) Alternate I (JAN 2017) of 52.224-3.
(xx) 52.225-26, Contractors Performing Private Security Functions Outside the United States (OCT 2016) (Section 862, as amended, of the National Defense Authorization Act for Fiscal Year 2008; 10 U.S.C. Subtitle A, Part V, Subpart G Note).
(xxi) 52.226-6, Promoting Excess Food Donation to Nonprofit Organizations (JUN 2020) ( 42 U.S.C. 1792). Flow down required in accordance with paragraph (e) of FAR clause 52.226-6.
(xxii) 52.232-40, Providing Accelerated Payments to Small Business Subcontractors (Mar 2023) ( 31 U.S.C. 3903 and 10 U.S.C. 3801). Flow down required in accordance with paragraph (c) of 52.232-40.
(xxiii) 52.247-64, Preference for Privately Owned U.S.-Flag Commercial Vessels (NOV 2021) ( 46 U.S.C. 55305 and 10 U.S.C. 2631). Flow down required in accordance with paragraph (d) of FAR clause 52.247-64.
(2) While not required, the Contractor may include in its subcontracts for commercial products and commercial services a minimal number of additional clauses necessary to satisfy its contractual obligations.
(End of clause) Alternate I (FEB 2000). As prescribed in 12.301(b)(4)(i), delete paragraph (d) from the basic clause, redesignate paragraph (e) as paragraph (d), and revise the reference to "paragraphs (a), (b), (c), or (d) of this clause" in the redesignated paragraph (d) to read "paragraphs (a), (b), and (c) of this clause".
Alternate II ( MAR 2023 ). As prescribed in 12.301(b)(4)(ii), substitute the following paragraphs (d)(1) and (e)(1) for paragraphs (d)(1) and (e)(1) of the basic clause as follows:
(d)(1) The Comptroller General of the United States, an appropriate Inspector General appointed under section 3 or 8 G of the Inspector General Act of 1978 ( 5 U.S.C. App.), or an authorized representative of either of the foregoing officials shall have access to and right to—
(i) Examine any of the Contractor’s or any subcontractors’ records that pertain to, and involve transactions relating to, this contract; and
(ii) Interview any officer or employee regarding such transactions.
(e)(1) Notwithstanding the requirements of the clauses in paragraphs (a), (b), and (c), of this clause, the Contractor is not required to flow down any FAR clause in a subcontract for commercial products or commercial services, other than—
(i) Paragraph (d) of this clause. This paragraph flows down to all subcontracts, except the authority of the Inspector General under paragraph (d)(1)(ii) does not flow down; and
(ii) Those clauses listed in this paragraph (e)(1). Unless otherwise indicated below, the extent of the flow down shall be as required by the clause-
(A) 52.203-13, Contractor Code of Business Ethics and Conduct (NOV 2021) ( 41 U.S.C. 3509).
(B) 52.203-15, Whistleblower Protections Under the American Recovery and Reinvestment Act of 2009 (JUN 2010) (Section 1553 of Pub. L. 111-5).
(C) 52.204-23, Prohibition on Contracting for Hardware, Software, and Services Developed or Provided by Kaspersky Lab and Other Covered Entities (NOV 2021) (Section 1634 of Pub. L. 115-91).
(D) 52.204-25, Prohibition on Contracting for Certain Telecommunications and Video Surveillance Services or Equipment. (NOV 2021) (Section 889(a)(1)(A) of Pub. L. 115-232).
(E) 52.219-8, Utilization of Small Business Concerns (OCT 2022) ( 15 U.S.C. 637(d)(2) and (3)), in all subcontracts that offer further subcontracting opportunities. If the subcontract (except subcontracts to small business concerns) exceeds the applicable threshold specified in FAR 19.702(a) on the date of subcontract award, the subcontractor must include 52.219-8 in lower tier subcontracts that offer subcontracting opportunities.
(F) 52.222-21, Prohibition of Segregated Facilities (APR 2015).
(G) 52.222-26, Equal Opportunity (SEP 2016) (E.O. 11246).
(H) 52.222-35, Equal Opportunity for Veterans (JUN 2020) ( 38 U.S.C. 4212).
(I) 52.222-36, Equal Opportunity for Workers with Disabilities (JUN 2020) ( 29 U.S.C. 793).
(J) 52.222-40, Notification of Employee Rights Under the National Labor Relations Act (DEC 2010) (E.O. 13496). Flow down required in accordance with paragraph (f) of FAR clause 52.222-40.
(K) 52.222-41, Service Contract Labor Standards (AUG 2018) ( 41 U.S.C. chapter 67).
(L) __ (1) 52.222-50, Combating Trafficking in Persons (NOV 2021) ( 22 U.S.C. chapter 78 and E.O 13627).
__ (2) Alternate I (MAR 2015) of 52.222-50 ( 22 U.S.C. chapter 78 and E.O. 13627).
(M) 52.222-51, Exemption from Application of the Service Contract Labor Standards to Contracts for Maintenance, Calibration, or Repair of Certain Equipment-Requirements (May 2014) ( 41 U.S.C. chapter 67).
(N) 52.222-53, Exemption from Application of the Service Contract Labor Standards to Contracts for Certain Services-Requirements (MAY 2014) ( 41 U.S.C. chapter 67).
(O) 52.222-54, Employment Eligibility Verification (MAY 2022) (Executive Order 12989).
(P) 52.222-55, Minimum Wages for Contractor Workers Under Executive Order 14026 (JAN 2022).
(Q) 52.222-62, Paid Sick Leave Under Executive Order 13706 (JAN 2022) (E.O. 13706).
(R)__ (1) 52.224-3, Privacy Training (JAN 2017) ( 5 U.S.C. 552a).
__ (2) Alternate I (JAN 2017) of 52.224-3.
(S) 52.225-26, Contractors Performing Private Security Functions Outside the United States (Oct 2016) (Section 862, as amended, of the National Defense Authorization Act for Fiscal Year 2008; 10 U.S.C. Subtitle A, Part V, Subpart G Note).
(T) 52.226-6, Promoting Excess Food Donation to Nonprofit Organizations. (JUN 2020) ( 42 U.S.C. 1792). Flow down required in accordance with paragraph (e) of FAR clause 52.226-6.
(U) 52.232-40, Providing Accelerated Payments to Small Business Subcontractors (MAR 2023) ( 31 U.S.C. 3903 and 10 U.S.C. 3801). Flow down required in accordance with paragraph (c) of 52.232-40.
(V) 52.247-64, Preference for Privately Owned U.S.-Flag Commercial Vessels (NOV 2021) ( 46 U.S.C. 55305 and 10 U.S.C. 2631). Flow down required in accordance with paragraph (d) of FAR clause 52.247-64.
ADD THE FOLLOWING CLAUSE IN FULL TEXT:
52.229-12 TAX ON CERTAIN FOREIGN PROCUREMENTS—NOTICE AND REPRESENTATION (FEB 2021)
(a) Definitions. As used in this clause— Foreign person means any person other than a United States person.
United States person, as defined in 26 U.S.C. 7701(a)(30), means–
(1) A citizen or resident of the United States;
(2) A domestic partnership;
(3) A domestic corporation;
(4) Any estate (other than a foreign estate, within the meaning of 26 U.S.C. 7701(a)(31)); and
(5) Any trust if-
(i) A court within the United States is able to exercise primary supervision over the administration of the trust; and
(ii) One or more United States persons have the authority to control all substantial decisions of the trust.
(b) This clause applies only to foreign persons. It implements 26 U.S.C. 5000C and its implementing regulations at 26 CFR 1.5000C-1 through 1.5000C-7.
(c)
(1) If the Contractor is a foreign person and has only a partial or no exemption to the withholding, the Contractor shall include the Department of the Treasury Internal Revenue Service Form W-14, Certificate of Foreign Contracting Party Receiving Federal Procurement Payments, with each voucher or invoice submitted under this contract throughout the period in which this status is applicable. The excise tax withholding is applied at the payment level, not at the contract level. The Contractor should revise each IRS Form W-14 submission to reflect the exemption (if any) that applies to that particular invoice, such as a different exemption applying. In the absence of a completed IRS Form W-14 accompanying a payment request, the default withholding percentage is 2 percent for the section 5000C withholding for that payment request. Information about IRS Form W-14 and its separate instructions is available via the internet at www.irs.gov/w14.
(2) If the Contractor is a foreign person and has indicated in its offer in the provision 52.229-11, Tax on Certain Foreign Procurements—Notice and Representation, that it is fully exempt from the withholding, and certified the full exemption on the IRS Form W-14, and if that full exemption no longer applies due to a change in circumstances during the performance of the contract that causes the Contractor to become subject to the withholding for the 2 percent excise tax then the Contractor shall–
(i) Notify the Contracting Officer within 30 days of a change in circumstances that causes the Contractor to be subject to the excise tax withholding under 26 U.S.C. 5000C; and
(ii) Comply with paragraph (c)(1) of this clause.
(d) The Government will withhold a full 2 percent of each payment unless the Contractor claims an exemption. If the Contractor enters a ratio in Line 12 of the IRS Form W-14, the result of Line 11 divided by Line 10, the Government will withhold from each payment an amount equal to 2 percent multiplied by the contract ratio. If the Contractor marks box 9 of the IRS Form W-14 (rather than completes Lines 10 through 12), the Contractor must identify and enter the specific exempt and nonexempt amounts in Line 15 of the IRS Form W-14; the Government will then withhold 2 percent only from the nonexempt amount. See the IRS Form W-14 and its instructions.
(e) Exemptions from the withholding under this clause are described at 26 CFR 1.5000C-1(d)(5) through (7). Any exemption claimed and self-certified on the IRS Form W-14 is subject to audit by the IRS. Any disputes regarding the imposition and collection of the 26 U.S.C. 5000C tax are adjudicated by the IRS as the 26 U.S.C. 5000C tax is a tax matter, not a contract issue.
(f) Taxes imposed under 26 U.S.C. 5000C may not be—
(1) Included in the contract price; nor
(2) Reimbursed.
(g) A taxpayer may, for a fee, seek advice from the Internal Revenue Service (IRS) as to the proper tax treatment of a transaction. This is called a private letter ruling. Also, the IRS may publish a revenue ruling, which is an official interpretation by the IRS of the Internal Revenue Code, related statutes, tax treaties, and regulations. A revenue ruling is the conclusion of the IRS on how the law is applied to a specific set of facts. For questions relating to the interpretation of the IRS regulations go to https://www.irs.gov/help/tax-law-questions.
(End of clause)
ADDENDUM TO CONTRACT CLAUSES
FAR AND DOSAR CLAUSES NOT PRESCRIBED IN PART 12
52.252-2 CLAUSES INCORPORATED BY REFERENCE (FEB 1998)
This contract incorporates one or more clauses by reference, with the same force and effect…
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