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  • Treasury and IRS Issue Improved Form W-4 for 2020 to Simplify Filing and Increase Transparency

    Treasury and IRS Issue Improved Form W-4 for 2020 to Simplify Filing and Increase Transparency | site |



    (August 9, 2019) - - The U.S. Department of the Treasury provided (today) the following information:

    Washington—Today, the Treasury Department and the IRS introduced a redesigned Form W-4 for tax year 2020. Several changes were made to the draft form based on extensive feedback from stakeholders with the goal of developing a form that provides taxpayers with a more flexible and transparent withholding system. Treasury does not anticipate further changes to the redesign beyond minor updates for inflation.

    “Our dedicated staff at the Treasury and IRS worked tirelessly over the past year to produce a Form W-4 that is more accurate, transparent and simplifies the tax withholding experience for hardworking Americans,” said Secretary Steven T. Mnuchin. “We are proud that the Tax Cuts and Jobs Act lowered taxes for most Americans and are enthusiastic that the improved W-4 will help taxpayers better determine the correct withholding amount for their personal financial situation to more readily reap the benefits of historic tax reform.”

    The re-designed Form W-4 uses a building block approach that replaces complicated worksheets with straightforward questions that make it easier for employees to determine a more accurate withholding. While it uses the same underlying information as the old design, the new form uses a more personalized, step-by-step approach to better accommodate individual taxpayer needs.

    Employees who have submitted a Form W-4 in any year before 2020 are not required to submit a new form merely because of the redesign. Employers will continue to compute withholding based on the information from the employee’s most recently submitted Form W-4.

    Treasury and the IRS are releasing this near-final improved Form W-4 now, to allow employers and payroll processors ample time to learn about the new form and update their systems for 2020. As usual, IRS will also release withholding tables with routine adjustments for inflation in November.

    We continue to encourage all taxpayers to check their paycheck withholdings to ensure they have the correct amount withheld for their personal tax profile.





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