Claiming Exemption from Withholding for Employers

Notice: Historical Content

This is an archival or historical document and may not reflect current law, policies or procedures.

April 10, 2018

For use by employers:

Claiming Exemption from Withholding

You can claim an exemption from tax withholding if you had no income tax liability last year and expect the same this year. Submit a new W-4 to your payroll contact to claim the exemption, and federal income tax will not be withheld from your wages. The exemption doesn’t apply to Social Security, Medicare or Federal Unemployment Tax. The exemption expires each February.

If your situation changes, submit a new W-4 within 10 days.

A paycheck checkup with the IRS’s Withholding Estimator can help determine your right amount of withholding, if any.