IRS Clarifies Process for Paying Deferred Social Security Taxes

Employers that deferred Social Security tax amounts in 2020 must, when paying those amounts in 2021, distinguish them from employment taxes ordinarily due in 2021 by indicating the quarters of 2020 when liability for the deferred amounts arose, an Internal Revenue Service representative said.

Deferrals of the employer portion of Social Security tax, which could occur with respect to the period from March 27 to Dec. 31, 2020, and deferrals of the employee portion of Social Security tax, which could occur with respect to period from Sept. 1 to Dec. 31, 2020, were deferrals of payments but not deferrals of ...