What is a difference between employee withholding adjusted by means of Form W-4 and pension withholding adjusted by means of Form W.AP? The tables for income tax withholding are different for wages than they are for pensions The recipient of a pension may choose not to have any tax withheld, regardless of how much tax they owed last year or expect to owe this year. The recipient of a pension may only revise Form W-4P once per year. The penalties associated with inaccurate use of Form W-4 are greater than the penalties associated with inaccurate use of Form W-4P OOOO