Increasing Tax Withholding to 30 Percent for the Internal Revenue Service (IRS) Federal Payment Levy Program (FPLP)

If you owe back taxes to the IRS and those taxes are eligible to be withheld from payments due you from Medicare, the withhold rate will increase from the current 15 percent to 30 percent on June 19, 2015. Through the FPLP, authority is provided to CMS to collect overdue taxes through a levy on certain federal payments. This includes federal payments made to Medicare providers.