{"id":259,"date":"2008-12-26T11:08:51","date_gmt":"2008-12-26T16:08:51","guid":{"rendered":"https:\/\/old.visionpayroll.com\/kb\/?p=259"},"modified":"2008-12-27T19:20:31","modified_gmt":"2008-12-28T00:20:31","slug":"question-of-the-week-why-did-my-federal-income-tax-withholding-increase","status":"publish","type":"post","link":"https:\/\/old.visionpayroll.com\/kb\/2008\/12\/question-of-the-week-why-did-my-federal-income-tax-withholding-increase\/","title":{"rendered":"Question of the Week: Why Did My Federal Income Tax Withholding Increase?"},"content":{"rendered":"<p><span style=\"font-size: 10pt; color: #000000; font-family: Verdana; mso-bidi-font-family: 'Times New Roman'; mso-fareast-font-family: 'Times New Roman'; mso-ansi-language: EN-US; mso-fareast-language: EN-US; mso-bidi-language: AR-SA;\">This week\u2019s question comes from Madeleine, an executive. I\u2019ve averaged about 30% of my pay going toward federal income tax withholding each pay period. This week I had 35% of my pay withheld from my bonus for federal income tax. Why did my federal income tax withholding increase? Answer: In <a href=\"http:\/\/www.irs.gov\/pub\/irs-irbs\/irb06-37.pdf\" target=\"_blank\">TD 9276<\/a>, the IRS promulgated regulations covering supplemental wage payments paid by a single employer (or group of employers under common control) that exceeded $1,000,000 to a single employee in a calendar year. The <a href=\"http:\/\/frwebgate.access.gpo.gov\/cgi-bin\/getdoc.cgi?dbname=108_cong_public_laws&amp;docid=f:publ357.108.pdf\" target=\"_blank\">American Jobs Creation Act of 2004 (Public Law 108-357)<\/a> requires that withholding from such wages be at a flat rate of 35%. The regulations provide rules for determining whether wages should be considered regular wages or supplemental wages for withholding purposes. Contact <a href=\"mailto:info@visionpayroll.com\" target=\"_blank\"><span style=\"color: #800080;\">Vision Payroll<\/span><\/a> if you have any questions on <a href=\"http:\/\/www.irs.gov\/pub\/irs-irbs\/irb06-37.pdf\" target=\"_blank\">TD 9276<\/a> and withholding on supplemental wages.<\/span><\/p>\n","protected":false},"excerpt":{"rendered":"<p>This week\u2019s question comes from Madeleine, an executive. I\u2019ve averaged about 30% of my pay going toward federal income tax withholding each pay period. This week I had 35% of my pay withheld from my bonus for federal income tax. Why did my federal income tax withholding increase? Answer: In TD 9276, the IRS promulgated [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":[],"categories":[4],"tags":[658,655,656,657,44,40,654],"_links":{"self":[{"href":"https:\/\/old.visionpayroll.com\/kb\/wp-json\/wp\/v2\/posts\/259"}],"collection":[{"href":"https:\/\/old.visionpayroll.com\/kb\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/old.visionpayroll.com\/kb\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/old.visionpayroll.com\/kb\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/old.visionpayroll.com\/kb\/wp-json\/wp\/v2\/comments?post=259"}],"version-history":[{"count":0,"href":"https:\/\/old.visionpayroll.com\/kb\/wp-json\/wp\/v2\/posts\/259\/revisions"}],"wp:attachment":[{"href":"https:\/\/old.visionpayroll.com\/kb\/wp-json\/wp\/v2\/media?parent=259"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/old.visionpayroll.com\/kb\/wp-json\/wp\/v2\/categories?post=259"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/old.visionpayroll.com\/kb\/wp-json\/wp\/v2\/tags?post=259"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}