Holcomb Says No To Payroll Tax Deferral For State Employees

Sep 10, 2020

Gov. Eric Holcomb said Indiana won’t participate in the payroll tax deferral for state workers offered by President Donald Trump last month.
Credit (Lauren Chapman/IPB News)

Indiana won’t participate in the payroll tax deferral for state workers offered by President Donald Trump last month.

The Trump executive order allows employers to push back payroll taxes from September through the end of December for employees making less than four thousand dollars every two weeks.

But Gov. Eric Holcomb said Indiana state government declined to do so.

“It’s a delay and you end up having to pick up in January and pay double,” Holcomb said.

Join the conversation and sign up for the Indiana 2020 Two-Way. Text "elections" to 73224. Your comments and questions in response to our weekly text help us find the answers you need on COVID-19 and the 2020 election.

Trump officials have floated the idea of forgiving those deferred taxes entirely – but Congress would need to approve such a move and it’s unclear whether it will do so.

Contact reporter Brandon at bsmith@ipbs.org or follow him on Twitter at @brandonjsmith5.