IRS Releases Draft 2023 Form W-4

A draft of the 2023 Form W-4 was released Dec. 7 by the Internal Revenue Service.

Changes in the draft primarily removed references to the IRS’s tax withholding estimator at several points in the form and instructions. Amounts used in the Step 2(b) and Step 4(b) worksheets were also updated.

Step 2(c) was clarified to say “This option is generally more accurate than (b) if pay at the lower paying job is more than half of the pay at the higher paying job,” instead of the previous “This option is accurate for jobs with similar pay.”