re: GEOTUS Payroll Tax Holiday?

quote:

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How is not withholding the employee portion risky? The risk lies with the employee, not the employer at that point, right?

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Under current law, no. The employer is responsible for "correct" withholding and reporting. Ultimately, it is their burden to remit. If they don't remit, they, not the employee, are held responsible.

This happens often when a worker is reclassified, forcibly, from a contractor to an employee. The employer is hit with back taxes owed on both halves of FICA.

There's nothing in current law that puts this back on the employee. Not to say that could not change, but currently, all the risk is with the employer.

It's poor "legislation".