2020 – 08/10 In an executive order, President Trump directed that Social Security and Medicare taxes be deferred from Sept. 1 through Dec. 31, 2020. There are still many questions that are unanswered about how this will work and there may be legal challenges. At this point, the taxes are just deferred, meaning they will still have to be paid. However, the order directs the U.S. Treasury Secretary “explore avenues, including legislation, to eliminate the obligation to pay the taxes.” The deferral will be made available for “any employee the amount of whose wages or compensation, as applicable, payable during any bi-weekly pay period generally is less than $4,000.” Stay tuned for more details.
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