U.S. SENATE –U.S. Senator Steve Daines today announced he would be introducing a bill to forgive employee-side payroll taxes for workers making less than $100,000 through the end of the year following President Trump’s executive action. Daines’ bill supports the President’s executive action and ensures Montana workers will not have to pay back these taxes after the delay is lifted.
“This payroll tax cut is about supporting Montana workers who are living paycheck to paycheck and struggling to make ends meet because of the impacts COVID-19 has had on this economy,” Daines said. “As Montanans go back to work, allowing them to keep more of their hard earned money would make a big difference and provide immediate support for Montana families struggling to get by. I stand by the President as he works to help support our workers with this much needed boost during the pandemic.”
Temporarily suspending the payroll tax will ensure that employees can keep more of the money they earned in their pocket.
A Montanan who earns an annual salary of $40,000 typically pays $2,480 in payroll taxes every year. Daines’ effort for a four-month payroll tax deferral would save that Montanan approximately $827.
Daines’ bill will also ensure that Social Security funds are replenished from the general fund to protect Social Security beneficiaries.
Background:
Daines has been pushing to include a payroll tax cut since the very beginning of negotiations in Congress on a COVID-19 relief package.
On March 9th, 2020, Daines unveiled a slate of proposals and priorities he had been working to advance that will help protect Montana families and their finances during the initial coronavirus relief package negotiations including temporarily waiving payroll taxes.
Daines has been leading the efforts in Congress to respond to the coronavirus outbreak impacting the country. To read about Daines’ COVID-19 related efforts, click HERE.
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