withholding tax

A portion of income tax that is subtracted from salary, wages, dividends, or
other income before the earner receives payment. • The most common example is the income tax and social-security tax withheld by an employer from an employee’s pay. [Cases: Internal Revenue 4849; Taxation 1100. C.J.S. Internal Revenue §§ 740–741; Taxation § 1779.]
[Blacks Law 8th]