The number of Americans who operate a home based business is increasing all the time. I remember when I didn’t know anyone who worked out of their home but now I can name dozens of people. Those who operate businesses out of their home need tax help and information. One of the advantages of working [...]
Legal Updates
The IRS announced that small non-profit charities may have a simpler reporting process for tax year 2010. A simpler tool, Form 990-N (e-Postcard), will now be available to a greater number of small charities. The new guidance expands the threshold of annual revenues which will increase the number of non-profits that can take advantage of [...]
The IRS announced an update to guidelines for FSA and HRA as part of the Patient Protection and Affordable Care Act, also known as Health Care Reform. The IRS stated back in the fall that over the counter medications would no longer be reimbursable by Flexible Spending Arrangement (FSA) and Health Reimbursement Arrangement (HRA) as of January [...]
A new Social Security tax cut for 2011 will mean a net pay increase for millions of employees. This is part of the Tax Relief, Unemployment Insurance Reauthorization and Job Creation Act of 2010. The new tax cut allows for a 2 percent cut in payroll taxes for employees which will reduce the Social Security [...]
The Patient Protection and Affordable Care Act that was signed into law earlier this year has been designed to help non-profits and small businesses offset healthcare costs for their employees. Small employers and non-profits who pay at least half of their employee’s health insurance premiums may qualify for a special tax credit. The maximum tax [...]
I went to a conference the other day sponsored by Ogletree Deakins and The CornerStone Insurance Group about the Patient Protection and Affordable Care Act, also referred to as Health Care Reform. They took this very complicated bill and helped translate how it applies to businesses. The information is overwhelming at best. I took lots [...]
The IRS has specific rules that specify whether someone is an employee or an independent contractor. The biggest difference is in how the worker is taxed. Business owners need to make sure their interests are considered so having an agreement with an independent contractor is important. Contracts are enforceable when it is a mutual agreement [...]
As employers struggle with controlling costs during these difficult economic times, organizations sometimes choose to use independent contractors to supplement staffing needs. Organizations use independent contractors to save on benefit costs such as insurance, workers compensation and social security tax. While this could be a fiscally sound strategic decision, having a good understanding of how [...]
