On August 8, 2019, the IRS released the second draft of the 2020 Form W-4, Employee’s Withholding Certificate. The second draft is available for viewing here.
The computation of withholding has not changed from the first draft.
There are a couple of substantive changes from the first draft:
• Step 4(d) (exempt) of the first draft has been removed with instructions to write in “exempt” below 4(c)
• The language in the instructions has been added, titled “Your Privacy”
• Only new employees hired in 2020, or current employees that want to adjust their pay dated 1/1/2020 or later must complete the new form
Thank you for choosing Paylocity as your payroll tax partner.
This information is provided as a courtesy, may change and is not intended as legal or tax guidance. Employers with questions or concerns outside the scope of a Payroll Service Provider are encouraged to seek the advice of a qualified CPA, Tax Attorney or Advisor.