Expiring payroll tax cuts

Unless Congress passes an extension, the 2% cut in payroll taxes for employees ends after December 31.
The IRS has issued guidance on Medicare surtaxes for upper–incomers.
The effective Medicare tax rate will be 3.8% plus the usual 2.9% rate plus an extra 0.9%
Employers will withhold the surtax once an employee’s wages exceed $200,000.
For more information on payroll tax cuts contact us at Kruger & Clary CPAs.