RTTUZYUW RHOIAAA0001 0121658-UUUU--RHSSSUU.
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R 121658Z JAN 21 MID5202623U
FM COMNAVPERSCOM MILLINGTON TN//PERS2//
TO AIG 9226
INFO COMNAVPERSCOM MILLINGTON TN//PERS2//
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SUBJ/PAY AND PERSONNEL INFORMATION BULLETIN 21-01//
SECINFO/-/-//
MSGID/GENADMIN,USMTF,2008/COMNAVPERSCOM MILLINGTON TN//
REF/A/MEMO/PRESIDENTIAL MEMORANDUM/8 AUG 20//
AMPN/REF A IS A PRESIDENTIAL MEMORANDUM SIGNED BY PRESIDENT TRUMP ON 
AUGUST 8, 2020 WHICH DIRECTED THE SECRETARY OF TREASURY PURSUANT TO 
TITLE 26 U.S.C. SECTION 7508A TO DEFER COLLECTION OF PAYROLL TAXES ON PRESCRIBED 
WAGES FOR THE PERIOD SEPTEMBER 1, 2020 THROUGH DECEMBER 31, 2020. 
POC/NPC PERS-2 POC IS MR. RON ATES AT (901) 874-4363/EMAIL: RON.ATES@NAVY.MIL//
GENTEXT/REMARKS/1. PASS TO CO, XO, SEL, ADMINOFF, PERSOFF, CCC/NC, AND DISBO.
THIS MESSAGE TARGETS PERSONNEL, ADMINISTRATIVE, DISBURSING AND PASS OFFICES
REGARDING CURRENT PAY/PERSONNEL ISSUES FOR BOTH ACTIVE AND RESERVE PERSONNEL.

2. Issue 210101: 2020 Payroll Tax Deferral Authorization.  On August 8, 2020 
President Trump signed a presidential memorandum per ref a authorizing the 
deferral of payroll taxes (FICA taxes) in response to the economic impact of the 
coronavirus.  This authorization deferred payroll taxes on wages paid from 
September 1, 2020 through December 31, 2020.  With the implementation of the 
deferral, if a member was paid less than $8,666.67 taxable income per month, 
their withholdings were deferred for that month.

3.  Issue 210102.  Resumption of payroll tax collection.  Effective January 1, 2021
payroll taxes (FICA tax) deduction will resume from all members pay.  Members 
will notice the deduction on their January 15th payday and the change will 
reflect on their January 2021 LES issued at the end of the month.

4.  Issue 210103.  Collection of deferred payroll taxes from 2020.  Members who
had payroll taxes deferred between September to December 2020 will repay 
these deferred taxes and will reflect on their LES as a debt (DS debt on MMPA 
for Navy).  This collection will be spread out over 12 months with an effective
period of collection of January 1, 2021 through December 31, 2021.  The 
deduction of this collection action will commence with the January 15th 
payday and will reflect on the January through December 2021 LES’.

5.  Issue 210104.  Lump sum repayment or reschedule of repayment.  In 
accordance with the consolidated appropriations act of 2021 lump sum 
payment or rescheduling of the debt caused by the deferred FICA taxes in 2020
is not authorized.  Repayment will be made via 12 monthly equal deductions for 
the period January 1, 2021 through December 31, 2021.

6. Issue 210105.  Reservists repayment.  For reservists performing intermittent 
duty in 2021, the amount collected may not be the same every pay period.  DFAS 
will collect 2% of net available pay from each weekly, midmonth and end-of-
month pay, and will continue until the deferred taxes have been repaid in full.

7. Issue 210106.  Information dissemination.  Due to the nature of both the 
resumption of payroll tax deduction and the collection of the deferred
taxes from 2020 effective January 15, 2021 payday it is recommended that 
this information be disseminated as widely as possible to preclude any
unnecessary financial hardship.//


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