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Back Pay Withholding Requirements

Troutman Pepper

California Court Upholds Payroll Tax Withholding on Back Pay and Front Pay Judgment - Tax Update Vol. 2015, Issue 4

Troutman Pepper on

The opinion adopts well-established federal law and overturns a 22-year-old California case that held that withholding was not required. Everyone knows that, when an employer pays wages to an employee, the employer...more

Best Best & Krieger LLP

Best in Law: Tax Ruling Confirms Protocol on Job-Related Judgments

The California Court of Appeal recently confirmed that employment-related settlements or judgments are wages from which employers must withhold payroll taxes. In Cifuentes v. Costco Wholesale Corp., Cifuentes...more

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