President Donald Trump signed an executive measure in August, instructing the U.S. Treasury to halt collection of payroll taxes from Sept. 1 through Dec. 31. Three health systems told Forbes that they’re opting out of the plan.
The payroll taxes, which help fund Medicare and Social Security, will be due between January and April, 2021. Many organizations chose not to defer the taxes because of implementation challenges and because the plan required them to pay back taxes, even if they weren’t able to collect them from employees, according to Forbes.
Seventy employers confirmed to Forbes that they’re skipping the payroll tax deferral option. Portland-based Oregon Health & Science University, Durham, N.C.-based Duke Health and Chattanooga, Tenn.-based Erlanger Medical Center opted out.
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