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U.S. Government to SCOTUS: Severance Pay Subject to FICA Taxes

On January 17, 2014 by Schnader in Labor and Employment

By Alizah Z. Diamond On Tuesday, the Internal Revenue Service argued before the U.S. Supreme Court in U.S. v. Quality Stores Inc. et al., case no. 12-1408, that severance payments made to employees following involuntary termination of employment should be subject to payroll taxes under the Federal Insurance Contributions Act (FICA). Severance pay already […]

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