payroll tax
noun
1
: a tax that is paid by a company and that is based on the amount of money that the company spends paying all of its employees
2
: money that is taken from a person's pay and given directly to the government as income tax
Examples of payroll tax in a Sentence
Recent Examples on the Web
Thomson Reuters reported in March that remote and hybrid work are increasing multi-state payroll tax compliance risk, including state income tax withholding, unemployment insurance, paid family and medical leave reporting, and employer registration obligations.
—
Jen L’estrange, Forbes.com, 21 May 2026
The Democrats' transportation funding bill raised the state gas tax from 40 cents a gallon to 46 cents a gallon while also boosting a payroll tax for transit projects and vehicle registration and title fees.
—ABC News, 19 May 2026
Republicans sense an opportunity Republicans wasted no time in appealing to voters after the Legislature and Democratic governor signed off on the tax increase, which also included a higher payroll tax for transit projects and a boost in vehicle registration and title fees.
—Claire Rush, Los Angeles Times, 11 May 2026
Republicans wasted no time in appealing to voters after the Legislature and Democratic governor signed off on the tax increase, which also included a higher payroll tax for transit projects and a boost in vehicle registration and title fees.
—Claire Rush, Fortune, 11 May 2026
See All Example Sentences for payroll tax
Examples are automatically compiled from online sources to
show current usage.
Read More
Opinions expressed in the examples do not represent those of Merriam-Webster or its editors.
Send us feedback.
Jen L’estrange, Forbes.com, 21 May 2026
The Democrats' transportation funding bill raised the state gas tax from 40 cents a gallon to 46 cents a gallon while also boosting a payroll tax for transit projects and vehicle registration and title fees.
—ABC News, 19 May 2026
Republicans sense an opportunity Republicans wasted no time in appealing to voters after the Legislature and Democratic governor signed off on the tax increase, which also included a higher payroll tax for transit projects and a boost in vehicle registration and title fees.
—Claire Rush, Los Angeles Times, 11 May 2026
Republicans wasted no time in appealing to voters after the Legislature and Democratic governor signed off on the tax increase, which also included a higher payroll tax for transit projects and a boost in vehicle registration and title fees.
—Claire Rush, Fortune, 11 May 2026
See All Example Sentences for payroll tax
Cite this Entry
“Payroll tax.” Merriam-Webster.com Dictionary, Merriam-Webster, https://www.merriam-webster.com/dictionary/payroll%20tax. Accessed 24 May. 2026.
Copy CitationLove words? Need even more definitions?
Merriam-Webster unabridged
