There is absolutely no way in hell any of this is remotely Constitutional.
Right now, I can all but hear keyboards clicking as lawyers are drafting emergency court petitions and the sounds of these petitions being rushed to Federal Court.
Ben Sasse: “The pen-and-phone theory of executive lawmaking is unconstitutional slop. President Obama did not have the power to unilaterally rewrite immigration law with DACA, and President Trump does not have the power to unilaterally rewrite the payroll tax law.”
Who sets the rates? Who sets the maximum contribution? Is that not the Social security administration…? Not a congressional body, it’s part of the executive branch . I could be wrong but that’s my understanding.
Congress sets all of that. The rates, the maximum income cutoff levels, all that. The Executive has very little discretion in matters of income collection. There role is to collect the money as Congress has directed and to prosecute those who do not pay what they owe.
I guess we’ll see if you are right. It seems to chap some asses that Trump took action but he’s always the one to blame when nothing happens by those same asses.
These are the two relevant sections of the statute relating to payroll taxes (other than regular income taxes). No mention is given of any authority of the President to suspend said tax collection.
And this section is relevant to me as representative of my employer:
(3) Tax paid by recipient
If an employer, in violation of this chapter, fails to deduct and withhold the tax imposed by section 3101(b)(2) and thereafter the tax is paid by the employee, the tax so required to be deducted and withheld shall not be collected from the employer, but this paragraph shall in no case relieve the employer from liability for any penalties or additions to tax otherwise applicable in respect of such failure to deduct and withhold.
If I actually listened to Trump and failed to withhold taxes from my employees, my company could be subject to tax penalties.
Thus my memo ordering my payroll departments to continue to collect payroll tax (and income tax) as normal.