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Workplace Compliance Spotlight: Tax Reform Is Here…Understanding the Impact

Workplace Compliance Spotlight: Tax Reform Is Here…Understanding the Impact

Back in 1986, a gallon of gas cost $.93 cents. The New York Mets won the World Series, and “Ferris Bueller’s Day Off” hit the big screen. It was also the last time we reformed the tax code. Since 1986, the U.S. tax code has grown from less than 30,000 pages to over 70,000. That’s a lot of extra pages causing A LOT of extra confusion among employers. To help make sense of these changes (as regulations are released over time), and become mindful of potential compliance risk, please join us for parts 1 and 2 of our webcast mini-series where ADP experts will provide actionable insights to help you manage change. In Part 1, we discuss: IRS Notice 1036 Affordable Care Act: Elimination of the ACA Individual Mandate & delay of Cadillac Tax Employee Benefits In Part 2, topics include: IRS new Form W-4 and new online W-4 calculator Tax Credit for Paid Family and Medical Leave State tax reform legislation update Section 199A pass-through deduction What to...

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The Latest on Tax Reform and Maintaining Compliance

The Latest on Tax Reform and Maintaining Compliance

On average, almost every U.S. employer can expect to receive at least one IRS penalty assessment for errors in employment tax administration, every year. In FY2016, the IRS issued more than 5.8 million penalty notices for employment tax, totaling over $6 billion, or roughly $1,000 per notice. Maintaining employment tax compliance can be a risky business. Businesses across the U.S. are struggling to understand how the recent Tax Cuts and Jobs Act (P.L. 115-97) affect them. Many provisions are immediately effective, although the IRS may not issue guidance for months. With Federal tax reform becoming law and expected to spark similar legislation in more than forty states, it’s difficult enough to just keep up with the changes, let alone comply with them. And with the recent increase in IRS information reporting penalties for incorrect information – which has more than doubled1 – can you afford to make any mistakes? Helping you stay compliant is one of our highest priorities. In fact, ADP makes over 1,000 programming changes annually to...

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Workplace Compliance Spotlight: Tax Reform Is Here…Understanding the Impact, Part 1

Workplace Compliance Spotlight: Tax Reform Is Here…Understanding the Impact, Part 1

Back in 1986, a gallon of gas cost $.93 cents. The New York Mets won the World Series, and “Ferris Bueller’s Day Off” hit the big screen. It was also the last time we reformed the tax code. Since 1986, the U.S. tax code has grown from less than 30,000 pages to over 70,000. That’s a lot of extra pages causing A LOT of extra confusion among employers. To help make sense of these changes (as regulations are released over time), and become mindful of potential compliance risk, please join us on February 8th at either 11am est or 1pm est where ADP experts will provide actionable insights to help you manage change. Topics of discussion will include: IRS Notice 1036: Highlights, implications, compare withholding calculation to actual 1040 tax rates/brackets Withholding on Supplemental wages under/over $1 million (22%/37%) 2018 withholding tables Affordable Care Act: Elimination of the ACA Individual Mandate Delay of Cadillac Tax Employee Benefits: Transportation Benefits Bicycle Commuting Expenses Business Entertainment, Amusement, and Recreational Activities Employee...

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ACA Special Edition: The Time is Now for Best Practices for Managing IRS ACA Penalties

ACA Special Edition: The Time is Now for Best Practices for Managing IRS ACA Penalties

The Internal Revenue Service (IRS) has begun to send out letters informing employers of their potential liability for an employer shared responsibility assessment for the 2015 calendar year. Starting in 2015, a key component of Affordable Care Act (ACA) compliance for large employers involved offering affordable, minimum-value health insurance to at least 70 percent of their full-time employees or potentially being liable for a penalty. This increased to at least 95 percent for 2016 and subsequent years. You may be among the many employers who have received an exchange notification when your employees enrolled in subsidized coverage in a public exchange, but the reality of the ACA’s employer mandate is about to set in. The IRS has sent out their first round of Employer Shared Responsibility Payment notifications. So what does this mean for you? Watch our ACA Special Edition webcast and get critical insights on the implications and impact of these latest development, such as: What did the IRS announce about ACA penalties? What ACA payments are covered...

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ACA Best Practices: Avoiding IRS Penalties – Why Acting Now Can Save You Penalty Dollars Later

ACA Best Practices: Avoiding IRS Penalties – Why Acting Now Can Save You Penalty Dollars Later

Your Forms 1095-C are likely filed and will now be used by the IRS to assess penalties for failing to comply with the Employer Shared Responsibility mandate of the ACA. That’s one MAJOR penalty opportunity scratched off the list. But before you see that assessment, there is a trigger happening now that can alert you to a potential problem: a Marketplace Notice. Early intervention is key when it comes to Marketplace Notices. The sooner you respond, the better chance you have of minimizing their impact. When you receive a Marketplace Notice, it can be concerning – and rightly so knowing they can lead to paperwork and fines depending on the health coverage offered to your full-time employees. If you understand the implications of receiving a notice, you can be ready to handle the situation in the most efficient and cost-effective way possible. But first things first: do you know what this notice is? Will your locations know it if they receive one? And what should you do with it?...

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