Summary
A new federal law passed on July 4, 2025, provisioned no federal withholding tax on overtime wages and tips.
Description
- A new federal bill passed on July 4, 2025, changes how overtime and tips are taxed
- Federal withholding will remain the same through the end of 2025
- We’re waiting for final IRS guidance on possible year-end reporting updates
- For questions, contact your licensed tax advisor
Africa
Asia
Australia
Canada
France
Ireland
Kenya
Nigeria
Portugal
South Africa
Spain
United Arab Emirates
United Kingdom
Germany