Form W-4 Updates Due to OBBBA 2025: Employer Obligations, IRS Rules & 2026

Format

• Live Online Webinar | January 12, 2026
• Includes live Q&A

Detailed Event Description

Form W-4 is no longer just an onboarding document—it is now a critical compliance tool that directly affects payroll tax calculations and employer liability.

With the One Big Beautiful Bill Act (OBBBA) of 2025 introducing permanent changes effective in 2026, employers must understand when a Form W-4 can be accepted, when it must be rejected, and how to properly respond to IRS enforcement actions.

This session walks through practical scenarios, including employee requests to reduce bonus withholding, invalid or incomplete W-4 submissions, tax protestors, and IRS lock-in letters. Attendees will gain clarity on employer responsibilities, recordkeeping requirements, and deadlines that protect organizations from penalties.

What You Will Learn

• Employer responsibilities when processing Form W-4
• How to identify and manage invalid W-4 forms
• Proper handling of IRS lock-in letters
• Risks employers face when W-4 rules are ignored
• IRS notification and documentation requirements
• Personal exemption changes and their payroll impact
• When employees are required to submit updated W-4s
• Key Form W-4 updates effective in 2026 under OBBBA 2025

Session Highlights

• IRS rules around accepting or rejecting Form W-4
• Bonus withholding & Form W-4 limitations
• Lock-in letters: what employers must (and must not) do
• Invalid W-4 handling best practices
• OBBBA 2025 changes and employer readiness for 2026

Why This Matters

Improper handling of Form W-4 can expose employers to audits, penalties, and back-tax liability. This webinar equips professionals with the knowledge needed to stay compliant and confidently manage W-4 changes under the latest tax laws.