My small business withheld 5K in federal income tax from employees. Is this a deductible business expense -- like SS tax, medicare, and unemployment tax?

[kgpuzio]

If the 5K is not deductible, is there some other place this should appear in my taxes?  I am using QuickBooks self-employed and don't see a place for it.  

[MaryK1 · Accepted solution]

No the tax withholding from your employees is not deductible because it is a subtraction directly from your employee wages that you are required to submit to the IRS.  You act as the trustee for the transfer so it is strictly an administrative task.

[kgpuzio]

Thank you.  What about state income tax?  Is that deductible business expense?

[MaryK1]

The state withholding is the same as the federal.

[kgpuzio]

Thank you!

[MaryK1]

You are welcome.