Dozens of major national associations representing retailers and manufacturers have released a letter they sent to Treasury Secretary Steven Mnuchin warning that many employers won’t participate in President Trump’s ill-conceived plan to defer payroll taxes, Politico reports.
Led by the U.S. Chamber of Commerce, National Retail Federation and the National Association of Manufacturers not that the deferment of payroll taxes would require employers and workers to pay a lump sum to remit those taxes when the grace period ends.
“Many of our members consider it unfair to employees to make a decision that would force a big tax bill on them next year. It would also be unworkable to implement a system where employees make this decision,” the letter states.
Trump has used the forgiveness of the deferred payments as a bribe in plain sight for voters, saying that he may forgive the payments if he gets reelected in the November vote. He has also floated the idea of eliminating payroll taxes altogether, which would completely defund Social Security and Medicare.