"[1] Premiums are to be deducted from employee's after-tax wages. [2] Paid Family Leave Benefits paid to employees will be taxable, non-wage income that must be included in federal gross income. [3] Taxes will not automatically be withheld from benefits. [4] Employees wishing to avoid tax liability for receipt of paid family leave benefits can request voluntary tax withholding from such benefits. [5] Employers should report employee contributions on an IRS Form W-2 using Box 14 -- State disability taxes withheld."  MORE >>