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Home / DC Report / Supreme Court averts avalanche of FICA refund requests (access required)

Supreme Court averts avalanche of FICA refund requests (access required)

WASHINGTON — Avoiding what attorneys say could have been an “earthquake” effect from businesses rushing to file for a collective $1 billion in tax refunds, the U.S. Supreme Court recently held that severance payments are wages for federal tax withholding purposes. The court’s decision in U.S. v. Quality Stores Inc. concluded that “supplemental unemployment compensation benefits,” ...

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