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For use in 2025. Released Dec. 17, 2024. Publication 15, Circular E: Employer's Tax Guide, is an essential resource from the IRS designed to help employers understand and comply with their federal tax obligations. It provides comprehensive instructions on withholding, depositing, reporting, and paying federal employment taxes, including income tax withholding, Social Security tax, and Medicare tax. Key features of Publication 15 include: Tax Withholding Guidance: Explains how to calculate and withhold federal income tax from employee wages using the IRS tax tables. Covers adjustments for the employee’s Form W-4, including allowances and other relevant factors. Social Security and Medicare Taxes: Details how to compute and report Social Security and Medicare taxes for employees and employers. Explains wage base limits and tax rates for the year. Federal Unemployment Tax Act (FUTA): Provides guidance on the FUTA tax, including who must pay, applicable rates, and filing requirements. Employment Tax Deposits: Outlines deposit rules, schedules, and methods for submitting employment taxes through the Electronic Federal Tax Payment System (EFTPS). Tax Filing Requirements: Discusses forms that employers must file, including Form 941 (Quarterly Employer’s Tax Return) and Form W-2 (Wage and Tax Statement). Special Rules and Situations: Includes information on handling fringe benefits, tips, sick pay, and independent contractors. Covers specific rules for household employees, agricultural workers, and religious exemptions. Recordkeeping Requirements: Advises employers on maintaining accurate records for payroll and tax compliance. Updated annually to reflect changes in tax laws, Publication 15 serves as a go-to manual for employers, payroll professionals, and small business owners. It is often used alongside other IRS publications like Publication 15-A (Supplemental Employer’s Tax Guide) and Publication 15-B (Employer’s Tax Guide to