Page 45 - Form W4 and payroll Tables

9:19 - 23-Dec-2019
Page 43 of 48
Fileid: … ations/P15/2020/A/XML/Cycle07/source
The type and rule above prints on all proofs including departmental reproduction proofs. MUST be removed before printing.
Special Classes of Employment and Treatment Under Employment Taxes
Special Types of Payments
Social Security and
Income Tax Withholding Medicare (including FUTA
Additional Medicare Tax
when wages are paid in
excess of $200,000)
Scholarships and fellowship grants Withhold Taxability depends on the nature of the employment and
(includible in income under section the status of the organization. See Students, scholars,
117(c)). trainees, teachers, etc. below.
Severance or dismissal pay. Withhold Taxable Taxable
Service not in the course of the Withhold only if employee Taxable if employee Taxable only if employee
employer's trade or business (other than earns $50 or more in cash in receives $100 or more in earns $50 or more in cash in
on a farm operated for profit or for a quarter and works on 24 or cash in a calendar year. a quarter and works on 24
household employment in private homes). more different days in that or more different days in
quarter or in the preceding that quarter or in the
quarter. preceding quarter.
Sick pay. See Pub. 15-A for more information. Withhold Exempt after end of 6 calendar months after the calendar
month employee last worked for employer.
Students, scholars, trainees, teachers,
etc.:
1. Student enrolled and regularly attending
classes, performing services for the
following.
a. Private school, college, or Withhold Exempt Exempt
university.
b. Auxiliary nonprofit organization Withhold Exempt unless services Exempt
operated for and controlled by are covered by a section
school, college, or university. 218 (Social Security Act)
agreement.
c. Public school, college, or Withhold Exempt unless services Exempt
university. are covered by a section
218 (Social Security Act)
agreement.
2. Full-time student performing service for Withhold Taxable Exempt unless program was
academic credit, combining instruction established for or on behalf
with work experience as an integral part of an employer or group of
of the program. employers.
3. Student nurse performing part-time Withhold Exempt Exempt
services for nominal earnings at hospital
as incidental part of training.
4. Student employed by organized camps. Withhold Taxable Exempt
5. Student, scholar, trainee, teacher, etc., Withhold unless excepted by Exempt if service is performed for purpose specified in
as nonimmigrant alien under section regulations. section 101(a)(15)(F), (J), (M), or (Q) of Immigration and
101(a)(15)(F), (J), (M), or (Q) of Nationality Act. However, these taxes may apply if the
Immigration and Nationality Act (that is, employee becomes a resident alien. See the special
aliens holding F-1, J-1, M-1, or Q-1 residency tests for exempt individuals in chapter 1 of Pub.
visas). 519.
Supplemental unemployment Withhold Exempt under certain conditions. See Pub. 15-A.
compensation plan benefits.
Tips:
1. If $20 or more in a month. Withhold Taxable Taxable for all tips reported
in writing to employer.
2. If less than $20 in a month. See section Exempt Exempt Exempt
6 for more information.
Worker's compensation. Exempt Exempt Exempt

Publication 15 (2020) Page 43