Publication of the tier 2 tax rates for calendar year 2005 as required by section 3241(d) of the Internal Revenue Code (26 U.S.C. 3241). Tier 2 taxes on railroad employees, employers, and employee representatives (a group unique to the railroad industry) fund a private pension benefit of the railroad retirement system.
The tier 2 tax rates for calendar year 2005 apply to compensation paid in calendar year 2005.Start Further Info
FOR FURTHER INFORMATION CONTACT:
Margaret A. Owens, CC:TEGE:EOEG:ET1, Internal Revenue Service, 1111 Constitution Avenue, NW., Washington, DC 20224, Telephone Number (202) 622-6040 (not a toll-free number).
Tier 2 Tax Rates: The tier 2 tax rate for 2005 under § 3201(b) on employees is 4.4 percent of compensation. The tier 2 tax rate for 2005 under § 3221(b) on employers is 12.6 percent of compensation. The tier 2 tax rate for 2005 under § 3211(b) on employee representatives is 12.6 percent of compensation.Start Signature
Dated: December 1, 2004.
Division Counsel/Associate Chief Counsel (Tax Exempt and Government Entities).
[FR Doc. 04-26839 Filed 12-6-04; 8:45 am]
BILLING CODE 4830-01-P