Using Research Credits to Reduce Payroll Taxes
The IRS issued guidance for small business annual tax filers that want to claim a research credit against their payroll tax liability. The IRS stated that computing the tax credit for annual employment tax filers if the income tax return electing the credit is filed during the first three quarters of the calendar year because...
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Is that Independent Contractor Really an Employee
Employers have several tax obligations related to their employees. They are expected to withhold income taxes and social security and Medicare taxes from their employees’ pay in addition to paying unemployment tax on their wages. On the other hand, employers have no tax obligations on payments they make to independent contractors. Whether or not you...
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Overtime and Tips – Being Revisited Again
The Office of Management and Budget’s (OMB) Office of Information and Regulatory Affairs posted its Agency Rule List for spring including two rules affecting overtime calculations under the Fair Labor Standard Act (FLSA) and one aligning the tip credit regulations. Overtime Standard salary level for “white collar” exemption. The DOL intends to issue a Notice...
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Another Change to Health Savings Accounts
On March 5, 2018, the IRS announced a retroactive change to the 2018 Health Savings Account (HSA) plan maximums for families. While this may not seem like a big deal, there are countless health management systems, employee deductions and human resource managers all struggling to make the change. HSAs are a great way to put...
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Starting Employees in New Hampshire
Once you hire your first employee, you'll need a federal employer identification number from the IRS if you don't already have one. Companies who pay employees in NH must also register with the NH Department of Employment Security (NHES) for an Employer Account Number. Each time you hire new employees, you are required to complete a...
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Impact of the Tax Cuts and Jobs Act on Payroll
There are payroll impacts that are important to note and are summarized below. The ability to deduct several benefits normally provided to employees will also be impacted and may have a greater effect on employees and the way we do business. Tax Rates and Withholding Calculations Some of the most widely discussed changes included...
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