85 FR 232 pg. 77486 - Publication of the Tier 2 Tax Rates

Type: NOTICEVolume: 85Number: 232Page: 77486
FR document: [FR Doc. 2020-26559 Filed 12-1-20; 8:45 am]
Agency: Treasury Department
Sub Agency: Internal Revenue Service
Official PDF Version:  PDF Version
Page: 77486

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DEPARTMENT OF THE TREASURY

Internal Revenue Service

Publication of the Tier 2 Tax Rates

AGENCY:

Internal Revenue Service (IRS), Treasury.

ACTION:

Notice.

SUMMARY:

Publication of the tier 2 tax rates for calendar year 2021 as required by section 3241(d) of the Internal Revenue Code. Tier 2 taxes on railroad employees, employers, and employee representatives are one source of funding for benefits under the Railroad Retirement Act.

DATES:

The tier 2 tax rates for calendar year 2021 apply to compensation paid in calendar year 2021.

FOR FURTHER INFORMATION CONTACT:

Kathleen Edmondson, CC:EEE:EOET:ET1, Internal Revenue Service, 1111 Constitution Avenue NW, Washington, DC 20224, Telephone Number (202) 317-6798 (not a toll-free number).

SUPPLEMENTARY INFORMATION:

TIER 2 TAX RATES: The tier 2 tax rate for 2021 under section 3201(b) on employees is 4.9 percent of compensation. The tier 2 tax rate for 2021 under section 3221(b) on employers is 13.1 percent of compensation. The tier 2 tax rate for 2021 under section 3211(b) on employee representatives is 13.1 percent of compensation.

Dated: November 20, 2020.

Rachel D. Levy,

Associate Chief Counsel (Employee Benefits, Exempt Organizations and Employment Taxes).

[FR Doc. 2020-26559 Filed 12-1-20; 8:45 am]

BILLING CODE 4830-01-P