Tax Form Changes With OBBBA

The IRS recently announced that for tax year 2025, there will be no changes to the following forms with the One Big Beautiful Bill Act (OBBBA):

• Form W-2

• Existing Forms 1099

• Form 941 and other payroll return forms

• Federal income tax withholding tables

This means that for tax year 2025, employers and payroll providers will continue using the same reporting and withholding procedures they have been using. However, payroll administrators should review their current reporting systems to be ready for next year's changes regarding overtime and tips reporting.

Although the forms don't have to change for 2025, the employer is responsible for keeping track of overtime and employee tips in order to provide this information to employees at the end of the year.