As Congress continues to debate tax rates for the coming year, the IRS has said that it will release information regarding paycheck withholding by December 31. The IRS has noted that many employers asking about the paycheck withholding guidelines, so it released a statement saying that information will certainly be released in the coming weeks.
The IRS has not yet said whether employers should plan for the higher tax rates that are supposed to come into effect in the coming year. The higher rates would affect workers as well, as higher tax rates would mean smaller paychecks to take home for employees.
While both sides agree that most taxpayers should not face higher income tax rates, they are still divided on the rates the highest income earners should receive.
A great deal regarding taxes next year remains up in the air. Congress returns December 27 to continue the debate.Segal, Cohen & Landis, LLP 9100 Wilshire Blvd. Ste. 601E Beverly Hills, CA 90212 (310) 285-3999