FROM THE OFFICE OF PUBLIC AFFAIRS July 1, 2003 New Lower Tax Rates In Pay Checks The Treasury Department announced that by today, employers are expected to have taken steps to begin using the new, lower withholding tables. The Jobs and Growth Tax Relief Reconciliation Act of 2003 reduced tax rates, and the new withholding tables list and describe the guidelines for the new rates. “Right now all across the country, companies are adjusting withholding tables and as a result hardworking Americans will see more take-home pay,” Secretary Snow said. The new lower withholding tables are available on the IRS website at www.irs.gov and in IRS publication 15-T. These withholding tables tell employers and payroll administrators how much less in federal income taxes to withhold from workers’ wages. As a result of these changes workers will begin to see more money in their paychecks. These withholding changes alone are expected to reduce workers taxes and put $22 billion into the economy this year, and $35 billion next year. Under the Jobs and Growth Act, a family of four making 40,000 dollars will see their taxes reduced by $1,133 in 2003, a reduction of 96%. Among other things, the Jobs and Growth Tax Relief and Reconciliation Act immediately in 2003:
- 30 - |
||