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 Larson’s proposal would extend the standard 12.4% payroll tax, which is levied this year on all wage income up to $168,600, to income over $400,000, leaving an income gap that would be narrowed over time. Michael Hiltzik, Los Angeles Times, 27 Mar. 2024 Social Security recipients will continue to receive payments because the program is funded by a payroll tax, not annual appropriations. Jacob Bogage, Washington Post, 19 Mar. 2024 The agency would like to see the funding measure raise $1 billion to $2 billion annually through methods that could include a sales tax, an income tax, a payroll tax, a parcel tax, a vehicle registration surcharge or a regional vehicle-miles traveled charge. Ethan Baron, The Mercury News, 10 Mar. 2024 Thomas allegedly provided his co-conspirators with instructions about how to file payroll tax returns, respond to IRS correspondence, deposit tax refund checks, and more. Kelly Phillips Erb, Forbes, 27 Feb. 2024 In Vermont, Democratic state lawmakers overrode a Republican governor's veto to pass a payroll tax hike to fund child care subsidies. Moriah Balingit, Quartz, 8 Feb. 2024 Apply the payroll tax to higher earners (currently, it’s paid only on the first $160,200 in earnings). Baltimore Sun Editorial Board, Baltimore Sun, 2 Jan. 2024 Indeed, the program today faces important funding problems, many of them traceable to Roosevelt’s insistence on a payroll tax. Joseph Thorndike, Forbes, 26 Feb. 2024 Fact check: Student loan forgiveness, ending payroll tax not part of Trump's 2024 plan USA TODAY reached out to the user who shared the post for comment but did not immediately receive a response. USA TODAY, 19 Jan. 2024

These examples are programmatically compiled from various online sources to illustrate current usage of the word 'payroll tax.' Any opinions expressed in the examples do not represent those of Merriam-Webster or its editors. Send us feedback about these examples.

Dictionary Entries Near payroll tax

Cite this Entry

“Payroll tax.” Merriam-Webster.com Dictionary, Merriam-Webster, https://www.merriam-webster.com/dictionary/payroll%20tax. Accessed 19 Apr. 2024.

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
Last Updated: - Updated example sentences
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