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2020 W-4 Form Released

The much anticipated W-4 Form for 2020 has been released by the Internal Revenue Service.

Due to the changes to income tax withholding requirements outlined in the Tax Cuts and Jobs Act of 2017, the W-4 Form has been completely redesigned.  

Beginning on January 1, 2020 all employers must use the redesigned form for new employees.  You may obtain a copy of the form by clicking here.

Existing employees who have submitted the W-4 Form in any year prior to 2020 are not required to submit a new form unless they wish to adjust their withholding for any reason.

The form is now divided into five steps:

Step 1Personal Information of the new form contains the employee name, address and social security number as it did before.  All of the information is the same as the old form, except the marital statuses, which have changed on the new form.  This is the only area on the form which is required by the IRS. 

Step 2Multiple Job or Spouse Works must be completed only by employees who hold more than one job at a time or are married filing jointly and their spouse also works.

Step 3Claim Dependents – Information to be added here if the employee is completing Steps 2-4, and if their income will be $200,000 or less ($400,000 or less if married filing jointly).  

Step 4 (optional) Other Adjustments – Information to be added here only if completing Steps 2-4.

  • 4(a) Other Income – If tax should be withheld from other income expected this year that will not have withholding.
  • 4(b) Deductions – If deductions will be claimed other than the Standard Deduction to reduce withholding
  • 4(c) Extra Withholding – Any additional tax to be withheld each pay period.

Step 5Sign Here – The employee signs and dates the form here.

The Internal Revenue Service has posted an FAQ page to address concerns of the new form.  They have also developed an application to assist employees in the preparation of the form.  Both links are listed below:

 

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