Category Archives: payroll and tax

Learning How to Count: IRS Attorneys Discuss ACA’s Pay-or-play Provisions

Employer preparation for preparing for health care reform’s pay-or-play provisions, especially data reporting (under Sections 6055 and 6056) to the IRS, can be complicated by: (1) changes in workers’ employment status (from part-time to full-time); (2) an organization’s switching from…

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ERISA Does Not Free Self-Funded Plans from Paying Michigan’s Claim Tax

The Self-Insurance Institute of America has lost a round in its battle against a state-imposed tax on ERISA health plans. In a new ruling, the 6th U.S. Circuit Court of Appeals held that Michigan’s health care claims tax withstood SIIA’s…

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High Court Advances Same-sex Marriage and Impacts Employers

As a result of the U.S. Supreme Court rulings on same-sex marriage, employers throughout the United States will have to adjust their benefits plans, policies and documents to accommodate employees’ same-sex spouses for purposes of federal law and regulations. California…

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Skinny Plans: Adhering to the Letter (But Not the Sprit) of Health Reform

An increasing number of employers are examining providing a low-benefits health plan that covers only preventive health services but not high-price major medical claims. Offering this type of low cost or “skinny” plan is allowed under the health reform law….

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7th Circuit: Successor Must Pay $500K for Previous Owner’s FLSA Violations

A successor employer could not escape paying a $500,000 damages award for the previous owner’s Fair Labor Standards Act violations.  The case, Teed et al. v. Thomas & Betts Power Solutions LLC, Nos. 12-2440, 12-3029 (7th Cir. March 26, 2013),…

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IRS Gives Tax Break on Leave Donations to Benefit Storm Victims

Employees who want to help victims of Hurricane Sandy through leave donation may do so without being taxed on the monetary value of the vacation days, sick days and personal leave they donate, the IRS announced Nov. 6. In a…

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Holiday Bonuses Result in Good Cheer — But Can Cause FLSA Overtime Problems

As the holiday season approaches, employers and employees are beginning to anticipate holiday bonuses. Whether they come in the form of material gifts, cash awards or other benefits, employers should be careful in providing them, because sometimes bonuses must be…

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Feds Freeze Per Diem Rates for FY 2013

Reimbursement rates for lodging, meals and incidental expenses for fiscal year 2013, which begins Oct. 1, will be frozen at FY 2012 levels, the U.S. General Services Administration announced Aug. 27. GSA is the arm of the federal government that…

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Flights Aboard Company Jet Could Be ‘Taxable Transportation’

Employers that own corporate jets and pay a management company to fly them  were not pleased by a recent IRS memo on tax treatment of such arrangements, and two private aviation trade associations have been working with IRS on relief….

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Immediate Reform Implementation Is Revenue-reporting and Tax-related (apart from SBC)

With the Supreme Court’s June 28 ruling affirming health reform, its legal requirements on employer health plans are a green light. Plans therefore continue to face important requirements this calendar year. Fortunately, they’re the same ones employers have known about…

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