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

Recent Examples on the Web

Republicans sense an opportunity Republicans wasted no time in appealing to voters after the Legislature and Democratic governor signed off on the tax increase, which also included a higher payroll tax for transit projects and a boost in vehicle registration and title fees. —Claire Rush, Los Angeles Times, 11 May 2026

Republicans wasted no time in appealing to voters after the Legislature and Democratic governor signed off on the tax increase, which also included a higher payroll tax for transit projects and a boost in vehicle registration and title fees. —Claire Rush, Fortune, 11 May 2026

Social Security is financed by a payroll tax paid for by employers and employees. —Adisa Hargett-Robinson, The Washington Examiner, 10 May 2026

The $1,000 per baby born between 2025 and 2028 comes from new federal funding—no payroll tax is diverted, no benefit is cut. —Teresa Ghilarducci, Forbes.com, 9 May 2026

Rhymes for payroll tax

• almanacs
• carrybacks
• haversacks
• lumberjacks
• maniacs
• microcracks
• minimax
• paperbacks
• parallax
• quarterbacks
• sticklebacks
• telefax

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