Tax Law and News Guidance issued on employer deferral of withholding and payment of Social Security tax Read the Article Open Share Drawer Share this: Click to share on X (Opens in new window) X Click to share on Facebook (Opens in new window) Facebook Click to share on LinkedIn (Opens in new window) LinkedIn Written by Intuit Accountants Team Modified Sep 3, 2020 1 min read The U.S. Department of the Treasury and the IRS recently issued guidance on implementing the presidential memorandum issued on August 8, 2020, allowing employers to defer withholding and payment of the employee’s portion of the Social Security tax if the employee’s wages are below a certain amount. Notice 2020-65 makes relief available for employers and generally applies to wages paid starting Sept. 1, 2020, through Dec. 31, 2020. The employee Social Security tax deferral may apply to payments of taxable wages to an employee that are less than $4,000 during a bi-weekly pay period, with each pay period considered separately. No deferral is available for any payment to an employee of taxable wages of $4,000 or above for a bi-weekly pay period. The notice also postponed the time for employers to withhold and pay employee Social Security taxes. Additional tax relief related to the COVID-19 pandemic can be found on IRS.gov. For more information, visit the Intuit® Accountants COVID-19 Resource Center, as well as Intuit Tax Pro Center’s articles on the Coronavirus Aid, Relief, and Economic Security (CARES) Act. Previous Post IRS provides tax breaks for recent disasters Next Post How coronavirus legislation benefits affect your clients’ 2020 tax returns Written by Intuit Accountants Team The Intuit® Accountants team provides ProConnect™ Tax, Lacerte® Tax, ProSeries® Tax, and add-on software and services to enable workflow for its customers. Visit us online or follow us on X, Instagram, Facebook, and LinkedIn. More from Intuit Accountants Team 2 responses to “Guidance issued on employer deferral of withholding and payment of Social Security tax” I need information on FFCRA and how to set up on Quickbooks Desktop Enterprise Edition. Also how to show payroll reports that show the credit???? Hi Michelle, More information about FFCRA can be found at: https://quickbooks.intuit.com/learn-support/en-us/tax-credits-and-deductions/ffcra/00/517349. For product support, please visit the QuickBooks support page: https://quickbooks.intuit.com/learn-support/. Thank you! Browse Related Articles Practice Management Practical uses of AI for productivity & client work Tax Law and News August 2025 tax and compliance deadlines Tax Law and News Big Beautiful Bill tax deductions for workers and seniors Advisory Services White paper: Scaling advisory services to your clients Tax Law and News Year-round tax planning tips for clients Practice Management Optimizing your firm for hybrid and remote work Grow your practice Scale your firm, your way Advisory Services Modern marriage issues: Postnup agreements Tax Law and News One Big Beautiful Bill summary and tax changes Workflow tools Impact of CRM, portal, and PM software
I need information on FFCRA and how to set up on Quickbooks Desktop Enterprise Edition. Also how to show payroll reports that show the credit????
Hi Michelle, More information about FFCRA can be found at: https://quickbooks.intuit.com/learn-support/en-us/tax-credits-and-deductions/ffcra/00/517349. For product support, please visit the QuickBooks support page: https://quickbooks.intuit.com/learn-support/. Thank you!