Insights

As you may know, President Donald Trump sent a memorandum on August 8, 2020 to the Treasury Department to defer collection of the employee portion of Social Security tax from September through the end of 2020 as part of COVID-19 relief. September 1, 2020 marked the first day of the payroll tax “holiday” or deferral period of the employee portion of Social Security tax. On August 28, 2020, the IRS issued guidance to allow employers to suspend withholding and paying eligible employees’ Social Security payroll taxes.

In last month’s newsletter, Kristie Adams, CPA, described some of the small business changes that were included in the Setting Every Community Up for Retirement Enhancement (SECURE) Act that was signed into law on December 20, 2019. This month, I will discuss some of the provisions in the law that will impact individuals.