The IRS made multiple announcements over the past few weeks.
On January 15, 2025, new guidance was issued through Revenue Ruling 2025-4, which relates to the federal income and employment tax treatment of benefits and contributions paid in certain conditions under a paid family and medical leave program. It also relates to the reporting requirements.
Publication 15 was also released, which is the Employer’s Tax Guide for use in 2025. It outlines tax responsibilities, instructions for payroll and non-payroll tax withholding, and important updates for employers in 2025.
The IRS posted Publication 15-A, which is the Supplemental Tax Guide for Employers, and 15-B, which is the guide to fringe benefits.
Optional standard mileage rates were announced in December 2024 in Notice 2025-05.
This article is informational and does not constitute legal or financial advice. Consult with an employment lawyer or accountant for additional clarification on how these changes impact your company.
