Final answer:
Rohan should inform his employer that he qualifies for an exemption from withholding by submitting a new Form W-4 with 'Exempt' written in the designated area. He must meet certain conditions to qualify and should re-file if his financial situation changes.
Step-by-step explanation:
If Rohan qualifies for an exemption from withholding for both 2022 and 2023, he needs to inform his employer by updating his Form W-4, Employee's Withholding Certificate. To claim the exemption, he should write 'Exempt' in the space below Step 4(c) on the Form W-4 and submit the new form to his employer. It is important to note that to qualify for this exemption, he must meet certain conditions, such as not owing any federal income tax in the previous year and expecting to owe no federal income tax in the current year. Rohan should file a new Form W-4 by February 15th of the tax year for which he is claiming the exemption.
If Rohan's financial situation changes and he no longer qualifies for the exemption, he must file another Form W-4 to adjust his withholding status accordingly.