payroll tax

American  

noun

1. a tax levied against the amount of wages and salaries paid workers.

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Etymology

Origin of payroll tax

First recorded in 1980–85

Example Sentences

See Examples For:

payroll tax

Originally, the bill called for raising the payroll tax rate by one-tenth of a percentage point a year, to an employer/employee combined 14.8% by the 2040.

From Los Angeles Times ● Aug. 18, 2026

The Medicare trust fund is primarily financed by a 2.9% payroll tax, half of which is paid by the employer and the other half by the employee.

From MarketWatch ● Jun. 15, 2026

Another fix being proposed is a new compensation tax on employers for the provision of perks that are currently excluded from the payroll tax, such as healthcare benefits.

From Barron's ● May 11, 2026

Like other companies, gas companies also pay company and payroll tax.

From BBC ● May 6, 2026

It is strange to suggest that payroll tax reduction can only be justified by reduction of benefits.

From Definition & Reality in the General Theory of Political Economy by Thomas Colignatus