Despite President Obama’s proposal to make the FUTA surtax permanent, Congress did not take action to extend the 0.2 percent surtax past its scheduled expiration on June 30. Mid-year changes to payroll taxes can complicate payroll processing and reporting requirements, particularly when changes involve federal taxes. About the FUTA The Federal Unemployment Tax Act (FUTA) …
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The IRS is continuing to define eligibility for purposes of claiming the tax benefits under the Hiring Incentives to Restore Employment Act (Pub. L. No. 111-147). According to QE19 of the FAQs About Qualified Employees, updated July 29 on the IRS website, individuals who were self-employed during the 60 days prior to the date of …
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As part of the National Research Project, examiners for the Internal Revenue Service will begin 6,000 planned audits of businesses to take place over the next 3 years. The audits will focus on employment taxes, specifically backup withholding for 1099s, fringe benefits, employee-independent contractor status, and executive/officer compensation. The purpose of this article is to …
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