Summary

Allows employees who meet specified religious criteria to obtain a credit or refund of the employee portion of Social Security and Medicare taxes (FICA employee-side) that were withheld from their wages. The change adds a new authorization procedure to the tax code, modeled on existing rules for self-employed persons with religious objections, and applies to taxable years beginning after enactment.

• Permits certain employees to claim a refund or credit of the employee portion of Social Security and Medicare taxes withheld from wages.
• Creates a new authorization mechanism within IRC section 6413 modeled on existing self-employment religious exemption rules.
• Eligibility is limited to individuals who meet the same initial criteria used for religious exemptions under IRC section 1402(g)(1).
• Authorization periods and related rules follow the structure of IRC section 1402(g)(2).
• Applies to taxable years beginning after the date of enactment.
• Shifts administrative responsibility to the IRS to implement the authorization and refund/credit process.
• Could reduce payroll tax receipts for affected workers and may affect their future Social Security/Medicare benefits if coverage is absent.