Employers can ensure their workforce gets the most out of their taxes by educating them about the new W-4 form, an IRS spokesperson says.
The new form eliminates the “personal exemption” component of calculating taxes for working individuals and instead, calculates taxes based on answers to a few personal questions. In 2020, only new employees will be required to fill out the redesigned form, which was released last Thursday. While seasoned employees aren’t required to fill out the new forms, the new tax calculations could change whether or not they owe taxes when they file in 2021, depending on whether their withholding status changes.
