Circular E, officially known as “Employer’s Tax Guide” by the IRS, provides employers with guidelines on federal income tax withholding, Social Security, Medicare, and other payroll tax obligations.
- What is Circular E?
Answer: It is the IRS’s “Employer’s Tax Guide” for federal tax withholding and payroll obligations. - What does Circular E cover?
Answer: It covers income tax withholding, Social Security, Medicare, and federal unemployment taxes. - Who needs to use Circular E?
Answer: All U.S. employers who withhold taxes from employee wages must refer to it. - How often is Circular E updated?
Answer: It is updated annually to reflect current tax rates and regulations. - Where can employers access Circular E?
Answer: It is available on the IRS website (irs.gov).
