New Federal Tax Form W-4 for 2020

Tuesday, January 7, 2020

In response to the federal Tax Cuts and Jobs Act of 2017, the Internal Revenue Service (IRS) has updated the tax tables for 2020 and within the last few weeks released a new federal Form W-4; both have been implemented in HR Direct.

Please note that the 2020 federal Form W-4 is significantly different than the previous form.

Regarding the new Form W-4, the IRS has provided the following guidance:

  • Employees hired before 2020 are not required to submit new forms; withholding will continue based upon their previously-submitted valid W-4.
  • Employees hired before 2020 who wish to adjust their withholding after January 1, 2020, must use the new form.
  • Employees hired on or after January 1, 2020, will be required to use the new form.
  • Employees hired on or after January 1, 2020, who do not submit a valid W-4 form will be treated as a single filer with no adjustments.

The IRS has published FAQ’s that may assist you:  (https://www.irs.gov/newsroom/faqs-on-the-draft-2020-form-w-4).

Please note that the University of Massachusetts cannot provide individual guidance on completion of the new W-4 or provide the calculated tax withholdings based on your unique tax situation. We recommend that you contact your tax consultant with any questions you may have.

 

Federal Income Tax Withholding: Federal tax withholding tables have changed for 2020

Commonwealth of Massachusetts Income Tax Withholding: MA withholding is now 5%. It was 5.05% for 2019.

Any questions can be directed to askhr@umass.edu.