Payroll Tax Holiday 2010 IRS?
The new piece of stimulus in the Obama-GOP tax deal in 2010 is the temporary one year reduction of individual Social Security payroll taxes from 6.2% to 4.2%, it is known as the payroll tax holiday.
The proposal to reduce the Social Security payroll tax for employees by 2 percentage points for one year means that those households would get as much as $82 more each week in after-tax income. By contrast, a single worker earning $10,000 would pocket less than $4 a week.
The Senate is expected to act first on the Payroll Tax Holiday deal. If all 42 Republicans back the Obama plan, Democrats are expected to be able to get at least eight moderates and Senate leaders to join them.
Do you think the Payroll Tax Holiday is a good idea? Where can I find more information about the 2010 Payroll Tax Holiday on the IRS website?