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Employer's Tax Guide; Pub. 80, Federal Tax Guide for Em-
ployers in the U.S. Virgin islands, Guam, American Sa-
moa, and the Commonwealth of the Northern Mariana Is-
lands; and Pub. 179, Guía Contributiva Federal para
Patronos Puertorriqueños, have been discontinued. If you
prefer Pub. 15 in Spanish, there is a new Pub. 15 (sp)
available for 2024.
Unless otherwise noted, references throughout this
publication to Form W-2 include Forms W-2AS, W-2CM,
W-2GU, W-2VI, and Form 499R-2/W-2PR; references to
Form W-2c include Form 499R-2c/W-2cPR; references to
Form W-3 include Form W-3SS and Form W-3PR; and
references to Form W-3c include Form W-3C (PR).
Social security and Medicare tax for 2024. The rate of
social security tax on taxable wages is 6.2% each for the
employer and employee. The social security wage base
limit is $168,600.
The Medicare tax rate is 1.45% each for the employee
and employer, unchanged from 2023. There is no wage
base limit for Medicare tax.
Social security and Medicare taxes apply to the wages
of household workers you pay $2,700 or more in cash wa-
ges in 2024. Social security and Medicare taxes apply to
election workers who are paid $2,300 or more in cash or
an equivalent form of compensation in 2024.
The COVID-19 related credit for qualified sick and
family leave wages is limited to leave taken after
March 31, 2020, and before October 1, 2021, and may
no longer be claimed on Form 941. Generally, the
credit for qualified sick and family leave wages, as enac-
ted under the Families First Coronavirus Response Act
(FFCRA) and amended and extended by the COVID-rela-
ted Tax Relief Act of 2020, for leave taken after March 31,
2020, and before April 1, 2021, and the credit for qualified
sick and family leave wages under sections 3131, 3132,
and 3133 of the Internal Revenue Code, as enacted under
the American Rescue Plan Act of 2021 (the ARP), for
leave taken after March 31, 2021, and before October 1,
2021, have expired. However, employers that pay qualified
sick and family leave wages in 2024 for leave taken after
March 31, 2020, and before October 1, 2021, are eligible
to claim a credit for qualified sick and family leave wages
in 2024. Effective for tax periods beginning after Decem-
ber 31, 2023, the lines used to claim the credit for qualified
sick and family leave wages have been removed from
Form 941, Employer’s QUARTERLY Federal Tax Return,
because it would be extremely rare for an employer to pay
wages in 2024 for qualified sick and family leave taken af-
ter March 31, 2020, and before October 1, 2021. Instead,
if you’re eligible to claim the credit for qualified sick and
family leave wages because you paid the wages in 2024
for an earlier applicable leave period, file Form 941-X, Ad-
justed Employer's QUARTERLY Federal Tax Return or
Claim for Refund, after filing Form 941, to claim the credit
for qualified sick and family leave wages paid in 2024. Fil-
ing a Form 941-X before filing a Form 941 for the quarter
may result in errors or delays in processing your Form
941-X.
New Forms 941 (sp), 943 (sp), and 944 (sp). If you
prefer your form and instructions in Spanish, you can file
new Form 941 (sp), new Form 943 (sp), and Form 944
(sp).
Reminders
Qualified small business payroll tax credit for in-
creasing research activities. For tax years beginning
before January 1, 2023, a qualified small business may
elect to claim up to $250,000 of its credit for increasing re-
search activities as a payroll tax credit. The Inflation Re-
duction Act of 2022 (the IRA) increases the election
amount to $500,000 for tax years beginning after Decem-
ber 31, 2022. The payroll tax credit election must be made
on or before the due date of the originally filed income tax
return (including extensions). The portion of the credit
used against payroll taxes is allowed in the first calendar
quarter beginning after the date that the qualified small
business filed its income tax return. The election and de-
termination of the credit amount that will be used against
the employer’s payroll taxes are made on Form 6765,
Credit for Increasing Research Activities. The amount
from Form 6765, line 44, must then be reported on Form
8974, Qualified Small Business Payroll Tax Credit for In-
creasing Research Activities.
Starting in the first quarter of 2023, the payroll tax credit
is first used to reduce the employer share of social secur-
ity tax up to $250,000 per quarter and any remaining
credit reduces the employer share of Medicare tax for the
quarter. Any remaining credit, after reducing the employer
share of social security tax and the employer share of
Medicare tax, is then carried forward to the next quarter.
Form 8974 is used to determine the amount of the credit
that can be used in the current quarter. The amount from
Form 8974, line 12 or, if applicable, line 17, is reported on
Form 941, Form 943, or Form 944. For more information
about the payroll tax credit, see IRS.gov/
ResearchPayrollTC. Also see the line 16 instructions in the
Instructions for Form 941 (line 17 instructions in the In-
structions for Form 943 or line 13 instructions in the In-
structions for Form 944) for information on reducing your
record of tax liability for this credit.
Disaster tax relief. Disaster tax relief is available for
those impacted by disasters. For more information about
disaster relief, go to IRS.gov/DisasterTaxRelief.
Payroll tax credit for certain tax-exempt organiza-
tions affected by qualified disasters. Section 303(d) of
the Taxpayer Certainty and Disaster Tax Relief Act of 2020
allows for a payroll tax credit for certain tax-exempt organi-
zations affected by certain qualified disasters not related
to COVID-19. This credit is claimed on Form 5884-D (not
on Form 941, Form 943, or Form 944). Form 5884-D is
filed after the Form 941 for the quarter, Form 943 for the
year, or Form 944 for the year for which the credit is being
claimed has been filed. For more information about this
credit, go to IRS.gov/Form5884D.
2024 withholding tables. The Percentage Method and
Wage Bracket Method withholding tables, the employer in-
structions on how to figure employee withholding, and the
amount to add to a nonresident alien employee's wages
2 Publication 15 (2024)