The IRS issued instructions to employers and employees on the issuance of Forms W-2 and W-2c to employees for whom the employee share of Social Security tax is deferred under the Presidential Memorandum (Aug. 8, 2020). In short, the 2020 Form W-2 must reflect only the amount of Social Security tax actually withheld from 2020 wages, and a Form W-2c will need to be issued when the 2020 Social Security tax is withheld in 2021. This follows previous guidance in Notice 2020-65.
- Flowchart for US employers understand new tax credits
- Keep Economic Impact Payment notice with other tax records
- Taxpayer Relief Initiative aims to help those financially affected by COVID-19
- IRS hiring collection representatives throughout country
- Federal beneficiaries have more time to register for an Economic Impact Payment