Effective January 1, 2020, employers should be using the revised Form W-4 in the new hire process. Click here to access the form from the IRS website. Employers may ask current employees to complete a new Form W-4 but the employer must advise the current employees that they are not required to furnish a new Form W-4 and that if the current employee does not furnish a new Form W-4, withholding will continue based on a valid form previously provided.
The IRS has published a list of frequently asked questions to assist employers in incorporating the new Form W-4 into the employment process.
South Carolina also has issued its own W-4 (and new tables). The South Carolina Department of Revenue explained that it issued the new SC Form W-4 because the 2020 federal W-4 removed allowances. The SC W-4 includes allowances and matches the state’s latest withholding tax tables. Click here to view the SCDOR press release which contains links to the new form, tables and other pertinent information.
If you have questions about this or other employment law matters, please contact Lisa or a member of the HSB Employment Law practice team.