S.B. 1470 Summary

• Repeals the 8% maximum tax rate cap that was previously considered when calculating income tax withholding amounts for employees.

• Removes the requirement that standard deduction allowances be treated as withholding exemptions in income tax withholding calculations.

• Authorizes the Director of Taxation to prescribe standard deduction allowances that are more or less than one full exemption for withholding purposes.

• Applies to taxable years beginning after December 31, 2024.