payroll tax

noun

1
: a tax that is paid by a company and that is based on the amount of money that the company spends paying all of its employees
2
: money that is taken from a person's pay and given directly to the government as income tax

Examples of payroll tax in a Sentence

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Voters should also be aware of and reject the insane transfer tax and payroll tax proposals voted on by the Board of Supervisors. John Franklin, San Diego Union-Tribune, 24 Apr. 2026 Prosecutors added that Loloee had two sets of books used to underreport his federal payroll tax and personal income tax. Brandon Downs, CBS News, 23 Apr. 2026 Social Security is financed by a payroll tax paid for by employers and employees. Asher Notheis, The Washington Examiner, 12 Apr. 2026 Lawmakers can make up for the shortfall with taxes, such as by raising the amount of income subject to a payroll tax (currently $184,500). The Week Us, TheWeek, 9 Apr. 2026 See All Example Sentences for payroll tax

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“Payroll tax.” Merriam-Webster.com Dictionary, Merriam-Webster, https://www.merriam-webster.com/dictionary/payroll%20tax. Accessed 30 Apr. 2026.

Legal Definition

payroll tax

noun
pay·​roll tax
: a tax that is levied as a percentage of an employee's pay and is usually paid by the employer
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