Rules and Regulations. Notice
/register/2025/11/25/2025-21000·A research copy — for the controlling text, always check the official state or federal source. Not legal advice.
Agency: Internal Revenue Service (IRS), Treasury
Action: Notice
Citation: FR Doc. 2025-21000
Summary
Publication of the tier 2 tax rates for calendar year 2026 as required by section 3241(d) of the Internal Revenue Code. Tier 2 taxes on railroad employees, employers, and employee representatives are one source of funding for benefits under the Railroad Retirement Act.
Dates
The tier 2 tax rates for calendar year 2026 apply to compensation paid in calendar year 2026.
Supplementary Information
Tier 2 Tax Rates: The tier 2 tax rate for 2026 under section 3201(b) on employees is 4.9 percent of compensation. The tier 2 tax rate for 2026 under section 3221(b) on employers is 13.1 percent of compensation. The tier 2 tax rate for 2026 under section 3211(b) on employee representatives is 13.1 percent of compensation. Authority: 26 U.S.C. 3241. Philip J. Lindenmuth, Acting Associate Chief Counsel (Employee Benefits, Exempt Organizations and Employment Taxes). [FR Doc. 2025-21000 Filed 11-24-25; 8:45 am]