Welcome
Daily Tax Report ®

IRS Notice: Calendar Year 2021 Tier 2 Tax Rates Published (IRC §3241)

Dec. 1, 2020, 5:00 AM

Calendar year 2021 tier 2 tax rates as required by tax code Section 3241(d), the IRS provided December 1. Tier 2 taxes on railroad employees, employers, and employee representatives are one source of funding for benefits under the Railroad Retirement Act. The tier 2 tax rates for calendar year 2021 apply to compensation paid in calendar year 2021. The tier 2 tax rate for 2021 under Section 3201(b) on employees is 4.9 percent of compensation. The tier 2 tax rate for 2021 under Section 3221(b) on employers is 13.1 percent of compensation. The tier 2 tax...

To read the full article log in. To learn more about a subscription click here.