What is a Payroll Tax Holiday?
The payroll tax holiday is also known as payroll tax deferral of payroll tax collection until a certain date, at which point those taxes would become due. Payroll taxes are taken out of your paycheck. The money is then used to fund specific government programs, such as welfare and unemployment benefits for the unemployed. When it comes to payroll cuts, there are two parts – Social Security Tax (or OASDI)...