FUTA tax rate - 2012
The IRS reminds employers that the Federal Unemployment Tax Act surcharge of 0.2% expired on June 30, 2011. This means that the FUTA rate for employers decreased from 6.2% to 6.0% starting on July 1, 2011. The IRS revised Form 940, Employer’s Annual Federal Unemployment Tax Return, to accommodate the two different rates The surcharge was originally enacted in 1976, and Congress has extended it several times since. Unemployment benefits are not tied to the surcharge, so the expiration of the surcharge will not affect current or future unemployment benefits.
Need Professional Help?
If you need help with "Payroll Taxes" or have other tax questions, we can help you find a local licensed tax preparer for a free, no-obligation consultation.