US Tax News 2006 Archive - Sponsored by HRD & Payroll Solutions
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30 December 2006
For the latest tax-related news, check out the following links:
Department of Labor
Administrator Opinion Letters - Fair Labor Standards Act
(2006/44) Boat Captain and exemption from the overtime pay requirement
Link
(2006/43) Certain "registered representatives" in the financial services industry and the administrative exemption
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Internal Revenue Service
New forms and publications
The following documents have been published in the past week:
- Publication 80 Circular SS Federal Tax Guide for Employers in the U.S. Virgin Islands, Guam, American Samoa, and the Commonwealth of the Northern Mariana Islands
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- 2006 Form 8846 Credit for Employer Social Security and Medicare Taxes Paid on Certain Employee Tips
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Idaho
State Tax Commission launches new online W-2 filing service for employers
Employers can now file their W-2s online at tax.idaho.gov, the Idaho State Tax Commission has announced.
A paperless application allows employers to stop sending disks, tapes, or paper forms to the Tax Commission. The free online service also shows an employer's filing history for up to three years.
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Oklahoma
Withholding Tax Forms and Instructions 2007
Withholding tax tables for 2007 have been published by the Oklahoma Tax Commission.
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Texas
Texas Unemployment Insurance Tax Rates Decrease for Most Employers
The Texas Workforce Commission has announced employer tax rates for Calendar Year 2007. Some 360,000 qualifying Texas employers will receive a tax credit during 2007. Thanks to strong economic conditions in the state, the Unemployment Insurance Trust Fund has a $320 million surplus. All experience-rated employers will be eligible to receive the benefits of the Surplus Tax Credit. The surplus will be credited to Texas employers who paid into the system.
Most Texas employers will see a decrease in their tax rate, compared to last year, as the economy continues to improve. Texas Unemployment Insurance (UI) tax rates are down more than two-tenths of a percentage point, on average, and initial claims for UI have declined by more than 24 percent over the last 12 months.
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Washington
IRS Grants Relief for Washington Storm and Flood Victims
The IRS has announced special tax relief for Washington taxpayers in the Presidential Disaster Area that was struck by severe storms, flooding, landslides and mudslides occurring November 2-11, 2006.
The disaster area consists of 11 counties: Clark, Cowlitz, Grays Harbor, King, Lewis, Pierce, Skagit, Skamania, Snohomish, Thurston and Wahkiakum.
Deadlines for affected taxpayers to file returns, pay taxes and perform other time-sensitive acts falling on or after November 2, 2006, and on or before February 12, 2007, have been postponed to February. 12, 2007.
Beginning January 14, 2007, IRS computer systems will automatically identify taxpayers located in the covered disaster area and apply automatic filing and payment relief. Taxpayers within the covered disaster area no longer need to self-identify by writing on their returns or using the disaster designation in their tax software.
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Wyoming
Unemployment Insurance
Tax rate information for 2007 has been published by the Wyoming Department of Employment.
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23 December 2006
For the latest tax-related news, check out the following links:
Department of Labor
Rife Industrial Marine sued to recover nearly two million dollars in overtime back wages
The U.S. Department of Labor has sued Rife Industrial Marine for alleged violations of the overtime and recordkeeping provisions of the federal Fair Labor Standards Act, after an investigation by the department's Wage and Hour Division found that welders working offshore had been improperly classified as independent contractors.
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Internal Revenue Service
Small Business Tax Calendar - Dates and Actions - December 2006
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Internal Revenue Bulletin 2006-52, December 26, 2006
Items include
- Interest rates; underpayments and overpayments for the calendar quarter beginning January 1, 2007
- Specifications for the private printing of paper and laser-printed substitutes for tax year 2006 Form W-2 Wage and Tax Statement and Form W-3 Transmittal of Wage and Tax Statements.
Link
Employee Plan News
The Winter edition of Employee Plan News is now available.
Link
Changes to current tax forms, instructions and publications
Corrections to the following documents have been announced in past week:
- Publication 1542 Per Diem Rates
- 2006 Instructions for Form 2106
- 2006 Publication 531 Reporting Tip Income.
Link
New forms and publications
The following documents have been published in the past week:
- Publication 15A Employer's Supplemental Tax Guide
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- Instructions for form 6251 Alternative Minimum Tax—Individuals
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- Publication 4255 IRS Tax Help Bookmark
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- Publication 17 Your Federal Income Tax - For Individuals
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- Publication 15 (Circular E) Employer's Tax Guide
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- Publication 1542 Per Diem Rates
Link.
Department of the Treasury
President Bush signs bill to make health care more affordable and accessible
On December 20, President George W. Bush signed the Health Opportunity Patient Empowerment Act of 2006, enhancing access to tax-advantaged health care savings. The law provides new opportunities for health savings account (HSA) participants' to build their funds.
HSA provisions of the Act include:
Allow rollovers from health FSAs and HRAs into HSAs through 2011. Employers can transfer funds from Flexible Spending Arrangements (FSAs) or Health Reimbursement Arrangements (HRAs) to an HSA for employees switching to coverage under an HSA-compatible health plan. The amounts rolled over to HSAs from FSAs or HRAs are over and above the amounts allowed as annual contributions. The maximum contribution is the balance in the FSA or HRA as of September 21, 2006, or if less, the balance as of the date of the transfer. The provision is limited to one distribution with respect to each health FSA or HRA of the individual. If an individual does not remain an eligible individual for the 12 months following the month of the contribution, the transferred amount is included in income and subject to a 10 percent additional tax.
Allow greater employer contributions for lower-paid employees. Previously, employer contributions under the comparability rules had to be the same amount or percentage of the deductible for all employees with the same category of coverage. Consequently, employers could not contribute higher amounts to lower-paid employees. The new rules provide an exception to the comparability rules allowing employers to contribute more to the HSAs of non-highly compensated individuals. For this purpose, the definition of "highly compensated employee" is based on same definition used for qualified retirement plans.
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Maryland
Withholding Tax Forms and Instructions 2007
Withholding tax forms for 2007 have been published by the Comptroller of Maryland.
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Massachusetts
Withholding Tax Tables and Instructions 2007
Circular M, the Withholding tax tables and instructions for 2007, have been published by Massachusetts Department of Revenue.
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Minnesota
Withholding Formula and Instructions 2007
The withholding tax computer formula and instructions for 2007 have been published by the Minnesota Revenue.
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Missouri
Minimum Wage introduced from January 1, 2007
Missouri's new minimum wage law goes into effect January 1, 2007, increasing the minimum wage from $5.15 to $6.50 per hour. The new law also requires the state minimum wage to adjust annually beginning January 1, 2008, based on changes in the Consumer Price Index.
The new minimum wage law applies to Missouri retail or service businesses whose annual gross sales are $500,000 or more.
For employers of "tipped" employees, the minimum base wage is $2.13 according to federal law. If the combination of $2.13 per hour, plus the amount of tips does not equal at least $6.50 per hour, employers must make up the difference.
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Withholding Tables and Instructions 2007
Withholding tables and instructions for 2007 have been published by the Missouri Department of Revenue.
Link
North Dakota
Withholding Rates and Instructions 2007
Withholding rates and instructions for 2007 have been published by the North Dakota Office of State Tax Commissioner.
Link
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16 December 2006
For the latest tax-related news, check out the following links:
Bureau of Labor Statistics
Real earnings in November 2006
Average weekly earnings rose by 4.4%, seasonally adjusted, from November 2005 to November 2006. After deflation by the Consumer Price Index for Urban Wage Earners and Clerical Workers, average weekly earnings increased by 2.6%. Before adjustment for seasonal change and inflation, average weekly earnings were $572.91 in November 2006, compared with $550.94 a year earlier.
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Employer costs for employee compensation - September 2006
Employer costs for employee compensation averaged $27.31 per hour worked in September 2006. Wages and salaries, which averaged $19.12, accounted for 70% of these costs, while benefits, which averaged $8.18, accounted for the remaining 30%.
Employer costs for insurance benefits - life, health, and disability - averaged $2.22 per hour (8.1% of total compensation). Legally required benefits, including Social Security, Medicare, unemployment insurance, and workers' compensation, averaged $2.19 per hour (8.0% of total compensation); paid leave benefits (vacations, holidays, sick leave, and other leave) averaged $1.91 (7.0%); and retirement and savings benefits averaged $1.18 (4.3%) per hour worked.
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Department of Labor
2006 Instructions for Form 5500 and 2006 Instructions for Schedule B (Form 5500)
Changes have been made to these instructions and new versions were issued on December 13, 2006.
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Link
Proposed revisions to Form 5500 Annual Return/Report of Employee Benefit Plan
The Employee Benefits Security Administration (EBSA), the Internal Revenue Service (IRS) and the Pension Benefit Guaranty Corporation (PBGC) have announced proposed supplemental revisions to the 2008 Form 5500 Annual Return/Report of Employee Benefit Plan.
The proposed revisions implement amendments to the annual reporting and pension funding requirements of the Employee Retirement Income Security Act (ERISA) and Internal Revenue Code enacted as part of the Pension Protection Act (PPA). In addition, among other changes, the proposal establishes the Form 5500-SF, which was part of the agencies' July 2006 proposal, as the simplified report required by PPA for plans with fewer than 25 participants.
The public is encouraged to submit comments on the proposed supplemental form revisions.
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Internal Revenue Service
Internal Revenue Bulletin 2006-49, December 4, 2006
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Internal Revenue Bulletin 2006-50, December 11, 2006
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Internal Revenue Bulletin 2006-51, December 18, 2006
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Publication 15 Employer's Tax Guide published
Publication 15, Employer's Tax Guide (Including 2007 Wage Withholding and Advance Earned Income Credit Payment Tables) is now available to download.
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No change in interest rates for the first quarter of 2007
There are no changes to the interest rates for the calendar quarter beginning January 1, 2007. The interest rates are as follows:
- 8% for overpayments (7% in the case of a corporation)
- 8% for underpayments
- 10% for large corporate underpayments
- 5½% for the portion of a corporate overpayment exceeding $10,000.
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Link
Use of debit cards for medical expense reimbursements
Revenue Ruling 2003-43 ("the Ruling") sets forth rules for determining whether employer- provided medical expense reimbursements made using debit cards are excludable from gross income. The cardholder's use of the card is limited to merchants and service providers with specific merchant category codes related to health care. The Ruling states that "the card's use is limited to physicians, pharmacies, dentists, vision care offices, hospitals, and other medical care providers." Consequently, the use of the card at other than these merchants or service providers would be rejected.
In a new Notice, the IRS describes transitional arrangements for a limited period that will allow non-health care merchants to implement an inventory information approval system.
All supermarkets, grocery stores, discount stores and wholesale clubs that do not have a merchant category code related to health care will nevertheless be deemed to be an "other medical care provider" with respect to debit card transactions occurring on or before December 31, 2007. The same arrangements will apply to mail order vendors and web-based vendors that sell prescription drugs. As required in the Ruling, employers must substantiate all debit card charges incurred during the relief period and follow the correction procedures with respect to any unsubstantiated payment.
Also, under the Ruling, health FSA and HRA debit cards may be used at stores with the merchant category code for Drug Stores and Pharmacies. Until December 31, 2008, by which date such stores must be participating in the inventory information approval system or other permitted arrangement, similar employer substantiation rules will apply to stores that have the correct merchant category codes and that sell a significant number of items which do not qualify as medical expenses.
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Alabama
Withholding tables 2007
Withholding tables and guidance for 2007 have been published by Alabama Department of Revenue.
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Arkansas
Withholding Tax Forms and Instructions 2007
Withholding tax forms for 2007 have been published by Arkansas Office of Income Tax Administration.
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Colorado
New minimum wage law
On November 7, Colorado voters approved Amendment 42, increasing the state's minimum wage from $5.15 to $6.85 an hour. Beginning in January, tipped employees, such as servers in restaurants, will see their base pay rise from $2.13 an hour to a new hourly wage of $3.83. This pay rate for the minimum wage will last until January 1, 2008 when a new pay rate will take effect as determined by the consumer price index. Employers need to remember that the minimum wage will increase every year and will not remain at $6.85 per hour.
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Withholding tables 2007
Withholding tables and guidance for 2007 have been published by Colorado Department of Revenue.
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Hawaii
Withholding tables 2007
Withholding tables and guidance for 2007 have been published by Alabama Department of Taxation.
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Illinois
Minimum wage increase gains final legislative approval
Fulfilling the Governor's goal of providing annual increases, the legislation will include annual increases for three years: to $7.75 in July 2008, $8.00 in July 2009, and $8.25 in 2010. The legislation goes into effect July 1, 2007.
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Kentucky
Withholding tables 2007
Withholding tables for 2007 have been published by Kentucky Department of Revenue.
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Nevada
Emergency minimum wage regulations go into effect
Nevada Governor Kenny C. Guinn has signed emergency regulations to clarify the recent constitutional changes to minimum wage and overtime provisions. The regulations went into effect on December 12.
Nevada Labor Commissioner Michael Tanchek determined a need for the emergency regulations after receiving number enquiries from employers all over the country as to specific interpretations of the constitutional amendment which went into effect on November 28.
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9 December 2006
For the latest tax-related news, check out the following links:
Internal Revenue Service
Changes to Current Tax Forms
Cautions have been issued for the following documents that require corrections or that have been changed
- 2006 Instructions for Form 1040EZ
- 2006 Instructions for Form 1040-SS U.S. Self-Employment Tax Return (Including the Additional Child Tax Credit for Bona Fide Residents of Puerto Rico)
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North Carolina
Withholding tables 2007
Withholding tables and guidance for 2007 have been published by North Carolina Department of Revenue.
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Ohio
Tax Commissioner Opinion - school district income tax
An employer not liable for failure to withhold school district income tax from an employee who fails to properly complete and submit the requested form IT-4, if the employer follows the procedures outlined in this Opinion and neither a school district name nor code has been provided by the employee.
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Oregon
Withholding tables 2007
Withholding tables and guidance for 2007 have been published by Oregon Department of Revenue.
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Rhode Island
Unemployment Insurance and Temporary Disability Insurance taxes fall in 2007
The taxable wage base on which employers pay Unemployment Insurance taxes for their employees will drop to $14,000 for the 2007 tax year. The employee contribution rate for TDI will be lowered to 1.3 percent in 2007.
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Vermont
Withholding tables 2007
Withholding tables and guidance for 2007 have been published by Vermont Department of Taxes.
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Washington
Tax cuts for workers and employers
Governor Chris Gregoire and leaders of the Washington State Senate and State House of Representatives have announced that Washington employers will save an estimated $89 million in business taxes next year because of lower premiums for unemployment and workers' compensation insurance.
The Department of Employment Security (ESD) will reduce unemployment-insurance taxes in 2007 an average of 13 percent, for a savings of $58.4 million. The Department of Labor and Industries (L&I) will reduce workers' compensation premiums next year by an average of 2 percent, for a savings of $31 million.
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2 December 2006
For the latest tax-related news, check out the following links:
Department of the Treasury
Diversification rights for employer securities held in Retirement Plans
The Treasury Department and IRS have issued a notice providing guidance relating to the rights of plan participants and beneficiaries to choose to diversify their accounts that are held in publicly traded employer securities.
Pursuant to a change made by the Pension Protection Act of 2006, the notice describes the new rights and provides transitional guidance pending the issuance of regulations.
The notice also includes information provided by the Department of Labor addressing the date by which participants and beneficiaries must be notified of their new rights announcing that the notice is not required to be provided before January 1, 2007. The notice includes a model notice that can be used for the purpose of satisfying the notification requirement.
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United States and Belgium sign Income Tax Treaty and Protocol
The Treasury Department has announced that the US and Belgium have signed a new Income Tax Treaty and Protocol to replace the existing bilateral income tax treaty, concluded in 1970, as amended in 1987, between the two countries. The Treaty and Protocol were signed on November 27 in Brussels.
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Internal Revenue Service
Internal Revenue Bulletin 2006-48, November 27, 2006
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Deferrals of compensation and amounts includible in gross income
Treasury and the IRS have issued Notice 2006-100 providing guidance to employers and payers on their reporting and wage withholding requirements for calendar years 2005 and 2006 with respect to
- deferrals of compensation and amounts includible in gross income, and
- relief from reporting deferrals that are not includible in income during those years.
Under the relief in the notice, employers and other payers need not report annual deferrals of compensation that are not includible in income on Form W-2 or Form 1009-MISC for 2005 or 2006. However, amounts includible in income for 2005 and 2006 must be reported on Form W-2 or Form 1099-MISC, as appropriate.
Employers and payers were alerted last year in Notice 2005-94 that they might have to file amended information returns to report amounts includible in income for 2005. In addition, the notice provides guidance on how to meet income tax withholding requirements for amounts includible in income for 2006.
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New guidelines for payroll deduction contributions to charities
The IRS has announced new guidelines for taxpayers to follow to substantiate donations to charities that were made by payroll deductions. The taxpayer should retain a pay stub, Form W-2, or other document furnished by the employer that shows the total amount withheld for payment to charity, along with the pledge card that shows the name of the charity.
The recently enacted Pension Protection Act of 2006 changed the recordkeeping requirements for taxpayers claiming deductions for cash contributions to charities, including contributions made by payroll deductions. For calendar year taxpayers, the new rules apply to contributions made beginning in 2007.
For federal workers, the notice specifically provides that a pledge card with the name of a Combined Federal Campaign will meet the new requirements.
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The December 2006 issue of SSA/IRS Reporter
The quarterly newsletter published for employers by the IRS Small Business/Self-Employed Communications Office, includes articles on
- the new tip reporting program
- the Social Security wage base increase for 2007
- exempt organizations employment tax issues
- collecting "taxable benefit" information
- backup withholding reminders. Link
Office of Personnel Management
Pay and leave procedures for Christmas Day, 2006, and New Year's Day, 2007
Two Federal holidays - Christmas Day, Monday, December 25, 2006, and New Year's Day, Monday, January 1, 2007 - both fall within the same pay period, which begins on December 24, 2006, and ends on January 6, 2007. The pay and leave procedures for these two holidays for federal government workers have been published by the US Office of Personnel Management.
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Maine
Withholding tables 2007
Withholding tables and guidance for 2007 have been published by Maine Revenue Services.
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Michigan
Withholding Tables and Instructions 2007
Withholding tables and instructions for 2007 have been published by the Michigan Department of Treasury.
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Minnesota
Unemployment insurance
Taxable wage and rate information for 2007:
- $24,000 - the annual taxable wage base for 2007 (the first $24,000 of gross wages per employee is subject to UI tax)
- 0.40% - the base tax rate
- 1.73% - the new employer rate for non-high experience rated industries
- 8.00% - the new employer rate for high experience rated industries
- 8.90% - the maximum experience rate.
2007 Unemployment Insurance Tax Rate Notices will be sent out by U.S. Mail to Minnesota employers by December 13, 2006. Mailings will begin as early as November 27, 2006.
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Montana
Minimum wage increases
Montana's minimum wage increases to $6.15 an hour with effect from January 1, 2007, as required by voter approved Initiative 151.
The minimum wage rate for a business not engaged in interstate commerce with gross annual sales of $110,000 or less and whose employees are not engaged in interstate commerce remains $4.00 an hour. All other exemptions currently in state law remain in place and were not changed with the passing of I-151.
I-151 requires that the state minimum wage be adjusted each year according to the change in the federal Consumer Price Index (CPI) during the 12 months ending each August 31. The Department of Labor and Industry will calculate the adjustment by September 30 of each year, rounded to the nearest five cents, which then becomes the new minimum wage on January 1 of the following year.
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Nebraska
Withholding tables 2007
Income tax withholding on wages, pensions and annuities, and gambling winnings - new rates, withholding allowance value, and withholding tables on wages take effect from January 1, 2007.
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Workers' compensation mileage reimbursement rate
Effective January 1, 2007, the mileage rate will become 48.5 cents per mile for travel to seek medical treatment or while participating in a vocational rehabilitation plan. This conforms to the reimbursement rate paid to State of Nebraska employees.
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New Mexico
Withholding tax tables 2007
Tables for the percentage method of withholding tax and detailed "look-up" tables have been published.
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North Carolina
Unemployment insurance tax rates
Many North Carolina employers may be eligible to reduce their 2007 unemployment insurance tax rates — and save from $50 to $1 million next year — by making a voluntary tax contribution to the N.C. Employment Security Commission before December 15.
The voluntary contribution could result in significant tax savings next year. A contribution of as little as one dollar may reduce an employer's 2007 tax rate. Voluntary contributions will be applied to the balance of employers' UI tax account. Notification of the voluntary contribution was included in the tax rate forms, which were mailed on November 15 to employers. In the mailing, employers are advised to visit the ESC's website, www.ncesc.com, to access a voluntary contribution calculator. The calculator allows each employer to assess the dollar amount they will have to pay to achieve a certain tax rate, enabling them to determine what tax savings might be beneficial for their company.
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North Dakota
Unemployment insurance tax rates
Governor John Hoeven has announced a reduction in the average unemployment tax rate from 1.35% to 1.15% for 2007. The 2006 unemployment insurance tax rates ranged from .40 percent to 9.44 percent and the 2007 tax rates will be .34 to 8.09 percent, depending on the employer's unemployment claims experience.
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Workers' compensation
For the 2005-06 premium year, North Dakota employers are enjoying the benefits of an estimated $46 million in premium dividend credits from Workforce Safety & Insurance (WSI), the state's workers' compensation organization. Since July 1, 2005, nearly $20 million in WSI premium dividend credits have been invested back into North Dakota communities. In the next 6 months an additional $26 million will go back in North Dakota's economy by reducing nearly every business's workers' compensation premium by 40%.
Excluding minimum premium payers, the average employer in the state pays nearly $7,000 in workers' compensation premiums. The 40% dividend credit will average $2,800. In addition to the 40% credit, $35 million in safety grants and $15 million in education loans for qualified injured workers have also been committed to invest in the state's workforce.
The premium dividend credits come on top of North Dakota's position as being the lowest cost for workers' compensation premiums in the country and in the upper half for benefits provided to injured workers.
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Puerto Rico
Withholding tables 2007
Withholding tables and guidance for 2007 have been published by the Department of Treasury.
Link
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25 November 2006
For the latest tax-related news, check out the following links:
Department of Labor
Administrator Opinion Letters - Fair Labor Standards Act
(2006/42) Information technology (IT) support specialist and the administrative or the computer employee exemption
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(2006/41) Career school instructors and the teacher exemption - use of non-exempt school system staff to assist with coaching sports or other extracurricular activities, either as volunteers or as additional duties
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(2006/40) Opinion Letter - School employees performing additional work
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(2006/39) Employees working on nature/sight-seeing cruise vessels and the exemption for amusement or recreational establishments
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(2006/38) Firefighters who switch from part-time employees to volunteers
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Non-Administrator Opinion Letters - Fair Labor Standards Act
(2006/23NA) Executive and administrative assistants and the administrative, executive, or professional exemptions
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(2006/22NA) Working multiple school jobs and voluntarily waiving the right to the overtime rate
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(2006/21NA) Aggregation of hours worked by police officers who work for city and state appointed board as separate employers
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Internal Revenue Service
Caution - Corrections to version of 2006 Instructions for Forms 1099-R and 5498 available for download before November 10, 2006
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High-Low Substantiation Method for Per Diem Allowances - Correction to Revenue Procedure 2006-96 in identifying the period for which Martha's Vineyard, Massachusetts, is a high cost locality.
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California
The fourth quarter 2006 issue of California Employer has been published
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The Employment Development Department has released the Unemployment Insurance, Employment Training Tax and State Disability Insurance Rates, Personal Income Tax Withholding Schedules, and Meals and Lodging Values for 2007.
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Iowa
Guidance for employers on obtaining a refund of Iowa withholding - Effective immediately, employers no longer complete the IA843 Claim for Refund to receive a withholding refund.
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18 November 2006
For the latest tax-related news, check out the following links:
Internal Revenue Service
Internal Revenue Bulletin 2006-47, November 20, 2006
Link
An average refund of $963 is waiting for 95,746 taxpayers whose refund checks have been returned to the Internal Revenue Service as undeliverable.
Link
Retirement News for Employers - Fall 2006 issue
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Louisiana
The IRS has announced special tax relief for Louisiana taxpayers in the Presidential Disaster Area that was struck by severe storms and flooding beginning October 16, 2006.
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Oregon
Unemployment Insurance Tax Schedules - Tax Schedule III will be in effect for Calendar year 2007. Using Tax Schedule III instead of IV will cause an overall $64 million reduction in UI taxes for CY 2007.
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Oregon
Workers' compensation premiums - The Oregon Department of Consumer and Business Services has released its biennial study on national workers' compensation premiums. The study, based on rates that were in effect January 1, 2006, ranks all 50 states and the District of Columbia according to their workers' compensation premium rates. In the new ranking, Oregon ranked 42nd, which means its workers' compensation rates were the 10th lowest in the nation in 2006. Alaska had the highest workers' compensation rates, and California's rates were the second highest.
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Vermont
The minimum wage increases from $7.25 to $7.53 per hour with effect from January 1, 2007. For service and tipped employees, the basic wage rate will be $3.65 per hour, with a maximum tip credit of $3.88 per hour.
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Washington
Workers' compensation premiums - Washington employers and workers would save an estimated $315 million in workers' compensation premiums next year as the result of a six-month partial suspension of rates proposed by the Department of Labor and Industries. The proposed rate suspension would occur in the second half of 2007, when the rate paid by workers and employers into the Medical Aid Fund would be reduced to zero for a period of six months. Four public hearings on the proposal will be held in December. A final decision on an earlier proposal to reduce 2007 workers' compensation rates by an average of 2% will be made on November 21.
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11 November 2006
For the latest tax-related news, check out the following links:
Department of Labor
Ft. Collins Customer Service company agrees to pay nearly $230,000 in back wages to 1,390 employees - agreement with U.S. Labor Department settles overtime pay violations
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Internal Revenue Service
Internal Revenue Bulletin 2006-45, November 6, 2006
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Internal Revenue Bulletin 2006-46, November 13, 2006
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Revenue Ruling 2006-56 - If employers routinely pay per diem allowances in excess of the federal per diem rates, but do not track the allowances and do not require the employees either to actually substantiate all the expenses or pay back the excess amounts, and do not include the excess amounts in the employee's income and wages, then the entire amount of the expense allowances is subject to income tax and employment tax.
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2007 inflation adjustments widen tax brackets and expand tax benefits - the personal and dependency exemption, available to most taxpayers, increases by $100 to $3,400; the standard married couples deduction for a joint return increases $400 to $10,700, the deduction for singles and married individuals filing separately is up $200 to $5,350; the deduction for heads of household is up $300 to $7,850.
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Social Security Administration
Public warned about cost-of-living E-mail scam - The Agency has received several reports of an email message being circulated with the subject "Cost-of-Living for 2007 update" and purporting to be from the Social Security Administration. The message provides information about the 3.3% benefit increase for 2007 and contains the following "NOTE: We now need you to update your personal information. If this is not completed by November 11, 2006, we will be forced to suspend your account indefinitely." The reader is then directed to a website designed to look like Social Security's Internet website.
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Nebraska
Workers' Compensation - mileage reimbursement rate increases from January 1, 2007
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Nevada
Minimum wage and overtime changes - With the passage of the Constitutional Amendment changing Nevada's minimum wage law, a two-tiered minimum wage system goes into effect on November 28, 2006. Employers who make a qualified health insurance plan available to their employees can pay a minimum wage of $5.15 per hour. Employers who don't make a qualified plan available will have to pay at least $6.15 per hour.
The amendment also increases the coverage of Nevada's daily overtime requirement. Employees who are paid less than one and a half times the minimum wage must be paid overtime when they work more than eight hours in a workday. Employees who are offered a qualifying health insurance plan will be entitled to daily overtime if they make $7.725 or less per hour. However, employees who are not offered a qualifying plan will have to be paid overtime on a daily basis if their hourly rate is less than $9.225 per hour.
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Nevada
Workers' Compensation - Employee leasing - who is the employer?
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New Hampshire
Because the Unemployment Trust Fund remained over $250 million dollars throughout the third quarter of 2006, employers will be benefiting from a 1.0% fund balance reduction or discount from their rates for the fourth quarter of 2006.
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4 November 2006
For the latest tax-related news, check out the following links:
Department of Labor
FLSA Opinion Letter - Wilderness expedition organizations
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FLSA Opinion Letter - Public safety dispatchers
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FLSA Opinion Letter - Store manager's physical presence
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FLSA Opinion Letter - Community events supervisors
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FLSA Opinion Letter - Propane gas service drivers
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Fort Campbell Security Guard Contractor Agrees to Pay Over $269,000 in Back Wages to 469 Workers After U.S. Dept. of Labor Investigation
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Telecom Company Employees at Fort Knox to be Paid Back Wages - U.S. Department of Labor Investigation Nets 31 Employees More Than $130,000
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U.S. Labor Department Recovers Over $460,000 in Back Wages for 103 Employees of Huntsville, Ala., Engineering Firm
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Queens Supermarkets Agree to Pay More Than $19,000 in Overtime to Settle U.S. Labor Department Lawsuit
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Owner of Manhattan and Bronx Self-Storage Facilities Pays Employees $95,000 in Overtime Following U.S. Labor Department Investigation
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New York City Spas and Nail Salons Agree to Pay More Than $222,000 in Back Wages and Interest to Settle U.S. Labor Department Lawsuit
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U.S. Labor Department Announces Back Wage Judgment Worth $15,800 for 17 Minnesota Workers
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U.S. Labor Department Recovers Over $37,000 in Overtime Back Pay for Plumbing Workers in Dayton, Ohio Area
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U.S. Department of Labor Recovers $184,676 in Back Wages - 123 Dallas-area Workers Get Earned Overtime Pay from Trucking Companies
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Pueblo Children's Dentistry Company to Pay More Than $343,000 in Back Wages to 523 Employees - Agreement with U.S. Department of Labor Settles Overtime Pay Violations
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U.S. Labor Department Sues Famous Dave's to Recover more than $92,000 in Overtime Wages for Workers
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Internal Revenue Service
Revenue Procedure 2006-49 - Optional standard mileage rates for employees, self-employed individuals, or other taxpayers to use in computing the deductible costs of operating an automobile for business, charitable, medical, or moving expense purposes.
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California
Checklist for Completing the Quarterly Wage and Withholding Report (DE 6) updated
Link
Hawaii
Hawaii has dropped from third highest in the nation in the cost of workers' compensation premiums to fifteenth. Additionally, workers' compensation premiums have dropped to their lowest prices since 2003 for employers insured through Hawaii Employer Mutual Insurance Company, the state's largest workers' compensation carrier.
Link
Booklet A Employers' Tax Guide for the withholding, payment and reporting of Hawaii State income tax withheld, effective January 2007, has been published.
Link
Illinois
The Payday Loan Reform Act has helped thousands of Illinois borrowers save $6.4 million in loan fees and interest charges in just ten months.
Link
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28 October 2006
For the latest tax-related news, check out the following links:
Department of Labor
County Employment and Wages - First Quarter 2006 - Collin County, a Dallas suburb, experienced an over-the-year employment gain of 7.8 percent compared with national job growth of 2.2%. Orleans County (New Orleans), La., had the largest over-the-year gain in average weekly wages in the first quarter of 2006, with an increase of 33.3%. The high average weekly wage growth rate for Orleans County was related to the disproportionate job and pay losses in lower-paid industries due to the impact of Hurricane Katrina. The U.S. average weekly wage increased by 8.1% over the same time span.
Link
Internal Revenue Service
Internal Revenue Bulletin 2006-44, October 30, 2006
Link
Fact Sheet - Car and Truck Expense Deduction Reminders - Figure the deduction using either the standard mileage rate or actual expenses to see which provides a larger deduction.
Link
Pennsylvania
More tax delinquents added to Pennsylvania's internet list - The list now includes a total of 157 businesses that owe sales and/or employer withholding taxes that were collected from customers and employees, but were never remitted to the state.
Link
Utah
New income tax withholding rates take effect January 1, 2007
Link
Virginia
Several Virginia businesses have paid their back taxes to have their names removed from a new Virginia Department of Taxation Web site, while others have paid up to avoid appearing on the site.
Link
Washington
Employers who file unemployment taxes electronically are less likely to face penalties than those that file on paper forms, according to the Employment Security Department. For the second quarter of 2006, 1,141 businesses were charged a penalty for submitting incomplete unemployment tax and wage reports or filing on the wrong form. Only 47 of them filed electronically.
Link
Wisconsin
Publication 121, Reciprocity, has been revised.
Link
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21 October 2006
For the latest tax-related news, check out the following links:
Department of Labor
Usual Weekly Earnings of Wage and Salary Workers Survey - Median weekly earnings of the nation's 108.2 million full-time wage and salary workers were $675 in the third quarter of 2006, up 4% on the year.
Link
Michigan security guard contractors agree to pay back wages to 716 workers aAfter U.S. Department of Labor investigation. Two sub-contractors owe more than $663,000 in back wages.
Link
Internal Revenue Service
Internal Revenue Bulletin 2006-42, October 16, 2006
Link
Internal Revenue Bulletin 2006-43, October 23, 2006
Link
The IRS has announced cost of living adjustments applicable to dollar limitations on benefits and contributions under qualified retirement plans for Tax Year 2007.
Link
Employee Plan News - Special Edition
Link
Retirement News for Employers - Special Edition
Link
Social Security Administration
The maximum amount of earnings subject to the Social Security tax (taxable maximum) will increase to $97,500 from $94,200. Of the estimated 163 million workers who will pay Social Security taxes in 2007, about 11 million will pay higher taxes as a result of the increase in the taxable maximum in 2007.
Link
Hawaii
The IRS has announced limited tax relief for taxpayers in Hawaii affected by the earthquake on October 15, 2006.
Link
New York
The IRS has announced limited tax relief for taxpayers in four New York counties that were struck by snowstorms beginning October 12, 2006.
Link
State Tax Department extends payment and filing dates for taxpayers affected by snowstorm.
Link
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14 October 2006
For the latest tax-related news, check out the following links:
Internal Revenue Service
Internal Revenue Bulletin 2006-41, October 10, 2006
Link
Florida
Florida's minimum wage is $6.67 per hour effective January 1, 2007 for all hours worked in Florida. This represents a 27¢ increase from the $6.40 per hour minimum wage in 2006.
Link
Georgia
The majority of Georgia's 200,000 employers will benefit from a $100 million unemployment insurance tax cut beginning in January 2007.
Link
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7 October 2006
For the latest tax-related news, check out the following links:
Department of Labor
U.S. Labor Department Launches Interactive Web site to Help Employers Comply with Health Benefit Laws
Link
Internal Revenue Service
Internal Revenue Bulletin 2006-40, October 2, 2006
Link
Michigan
The Sault Tribe, a sovereign nation and federally-recognized tribe, has announced they will follow the State of Michigan's lead and increase their minimum wage. Wage increases, from $5.15 to $6.95 per hour, are scheduled to take effect on October 1.
Link
Ohio
More than 4,300 employers will share in $22 million on Workers' Compensation as a result of their successful participation in the safety council incentive program.
Link
Oregon
The state of Oregon will reduce the workers' compensation "pure" premium rate by 2.1% percent for 2007. Employers will pay 40.6% per $100 of payroll for workers' compensation insurance than employers in California, and 9.4%t less than those in Washington State.
Link
South Carolina
The Code of Laws has been has been amended to increase the minimum dollar amount of wages on which an employer must withhold from wages paid at the rate of $800 or more per year to wages paid to an employee, if at the time of payment, the wages are expected to equal $1,000 or more during the year.
Link
Washington
Washington's minimum wage will increase 30 cents to $7.93 an hour beginning January 1, 2007.
Link
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30 September 2006
For the latest tax-related news, check out the following links:
Department of Justice
Utah business owners sentenced to prison for failing to pay millions in employment taxes withheld from worker's wages
Link
Department of Labor
Occupational Pay Relatives Survey 2005 - The Bureau of Labor Statistics survey assesses relative pay differences for each of the 9 major occupational groups within 78 Metropolitan Statistical Areas. For example, the pay relative in 2005 averaged across all occupations in the San Francisco was 117, meaning that pay on average was 17% above the national average. By contrast, the pay relative across all occupations in the Brownsville, Texas area was 81, i.e.19% below the national average.
Link
Tyson Foods Inc. agrees to pay $1.5 million in back pay for hiring discrimination
Link
U.S. Department of Labor announces final rule protecting unemployment compensation information - a basic requirement that information about specific individuals or employers, collected in the course of administering the unemployment compensation program, is confidential.
Link
Opinion Letter - Bona fide sick/vacation leave plan
Link
Opinion Letter - Mortgage loan officers and administrative exemption
Link
Opinion Letter - Loss prevention managers
Link
Opinion Letter - Gasoline service station managers and section
Link
Opinion Letter - Same type of services, same public agency and nominal fee for public agency volunteers
Link
Opinion Letter - Senior legal analyst
Link
Opinion Letter - Respiratory therapists
Link
Opinion Letter - Employees paid on an annual basis
Link
Opinion Letter - Cash shortage deductions from commission payments
Link
Opinion Letter - Case managers who work with people with developmental disabilities
Link
Opinion Letter - Volunteering after terminating paid employment
Link
Opinion Letter - Payments made to forego holidays
Link
Opinion Letter - Dairy farm work as agriculture
Link
Internal Revenue Service
Internal Revenue Bulletin 2006-39, September 25, 2006
Link
Fact Sheet - Home Office Deduction Reminders
Link
Revenue Procedure - (1) Rules under which the amount of ordinary and necessary business expenses of an employee for lodging, meal, and incidental expenses, or for meal and incidental expenses, incurred while traveling away from home are deemed substantiated when a payor (the employer, its agent, or a third party) provides a per diem allowance under a reimbursement or other expense allowance arrangement to pay for the expenses. (2) Optional method for employees and self-employed individuals who are not reimbursed to use in computing the deductible costs paid or incurred for business meal and incidental expenses, or for incidental expenses only if no meal costs are paid or incurred, while traveling away from home.
Link
The Fall 2006 issue of Employee Plan News is published
Link
American Samoa
A number of industry-specific minimum wage rates increase with effect from October 1, 2006
Link
Arkansas
The minimum wage rate increases from $5.15 to $6.25 with effect from October 1, 2006
Link
Maine
The minimum wage rate increases from $6.50 to $6.75 with effect from October 1, 2006
Link
Maine Minimum Wage Increases October 1, 2006
Link
Michigan
The minimum wage rate increases from $5.15 to $6.95 with effect from October 1, 2006
Link
Michigan's Minimum Wage Increases October 1
Link
New Jersey
The minimum wage rate increases from $6.15 to $7.15 with effect from October 1, 2006
Link
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23 September 2006
For the latest tax-related news, check out the following links:
Department of Labor
Employer costs for employee compensation averaged $26.86 per hour worked in June 2006, according to the U.S. Department of Labor's Bureau of Labor Statistics. Wages and salaries, which averaged $18.80, accounted for 70% of these costs, while benefits, which averaged $8.06, accounted for the remaining 30%.
Link
Internal Revenue Service
Internal Revenue Bulletin 2006-38, September 18, 2006
Link
Notice 2006-83 provides, in respect of individuals who file bankruptcy cases on or after October 17, 2005, guidance for (1) employers of these individuals, (2) persons filing Forms W-2, 1099-INT, 1099-DIV, 1099-MISC, and other information returns (including Schedule K-1) that report payments to these individuals, and (3) Chapter 11 trustees in bankruptcy cases filed by these individuals.
Link
Arkansas
The state minimum wage increases to $6.25 per hours from October 1, 2006. Coverage is extended to most employers having 4 or more employees.
Link
California
San Francisco's minimum wage to increase from January 1, 2007
Link
Illinois
Illinois will recover thousands of dollars for two female employees as a result of an Illinois' Equal Pay Act investigation. The Illinois Department of Labor found that Rodriguez and Sons, a construction services business in Cook County, violated the Act by paying male employees higher wages for performing the same work as female employees. The Department demanded the employer to pay $8,976 in total back wages - $4,488 for each complainant.
Link
Indiana
The Department Revenue has published a detailed review of the state's 2005/06 tax amnesty. Among the $244 million collected was $22 million in withholding taxes.
Link
Oklahoma
We announced last week that the Cherokee Nation had introduced an $8 minimum wage. Since then, unconfirmed press reports have stated that the Principal Chief has vetoed the measure and is urging the Tribal Council to phase-in the increase from $5.15 to $8.
Oregon
Labor Commissioner Dan Gardner announced a 30-cents-per-hour cost-of-living increase, effective January 1, 2007 for Oregon's minimum wage workers. As a result, Oregon's minimum wage, currently the second highest in the nation, will rise from $7.50 per hour to $7.80 per hour.
Link
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16 September 2006
For the latest tax-related news, check out the following links:
Department of Labor
Employee Tenure in 2006 - the median number of years that wage and salary workers had been with their current employer was 4.0 years in January 2006
Link
Variation in worker earnings - overall, earnings averaged $18.62 per hour in June 2005
Link
Internal Revenue Service
Internal Revenue Bulletin 2006-37, September 11, 2006
Link
Interest rates for underpayments and overpayments for the calendar quarter beginning October 1, 2006
Link
Oklahoma
Cherokee Nation introduces $8 minimum wage
Link
Washington
The Department of Labor and Industries has proposed lowering workers' compensation rates next year by an average of 2 percent, the first general rate reduction in six years
Link
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9 September 2006
For the latest tax-related news, check out the following links:
Department of the Treasury
US Treasury Official to help DC Teens avoid paycheck surprises - a coordinated volunteer effort by the American Payroll Association. Link
Internal Revenue Service
Internal Revenue Bulletin 2006-36, September 5, 2006 Link
Nevada
Fall 2006 issue of Nevada Workers' Compensation Chronicle published Link
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2 September 2006
For the latest tax-related news, check out the following links:
Department of Labor
U.S. Labor Department Sues Houston Drywall Firm to Recover over $500,000 in Back Wages for Employees Working on Mississippi Gulf Coast
Link
Department of the Treasury
U.S.-Isle of Man Tax Information Exchange Agreement Enters Into Force
Link
Internal Revenue Service
Fact Sheet 23 - Third-Party Reporting Reminders - requirement for third-party payers, such as small businesses or individuals, to report to the IRS payments they have made to subcontractors, attorneys, architects and other service providers, and completing form 1099-MISC.
Link
Arkansas
Workers' Compensation - The mileage reimbursement rate for claimants traveling to and from medical providers has been raised, effective September 1, 2006.
Link
California
The third quarter 2006 issue of California Employer is now available.
Link
A revised version of Notice DE 4209, instructions for employers for completing the Notice of Reduced Earnings DE 2063, has been issued
Link
Iowa
Workforce Development officials announced today that once again, the unemployment tax rate table will remain unchanged for 2007.
Link
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26 August 2006
For the latest tax-related news, check out the following links:
Department of Labor
Employee Benefits in Private Industry - National Compensation Survey shows that, in March 2006, 71% of workers in private industry had access to employer-sponsored medical care plans, 52% participated in medical care plans, 60% of workers had access to retirement benefits, and 51% participated in at least one type of retirement plan.
Link
Federal Reserve
The Federal Reserve Board has announced its approval of a final rule to provide that payroll card accounts are covered by the Board's consumer protection regulation governing electronic fund transfers.
Link
Payroll card accounts - final rule; official staff interpretation
Link
Internal Revenue Service
Internal Revenue Bulletin 2006-34, August 21, 2006
Link
Internal Revenue Bulletin 2006-35, August 28, 2006
Link
IRS announces additional postponement of filing and payment deadline for businesses in the Gulf Coast. The filing and payment postponement applies to, among others, employment tax returns with original or extended due dates that fall on or after August 29, 2005, but before October 16, 2006.
Link
Social Security Administration
SSA/IRS Reporter, Fall 2006 issue, with articles on Disaster in the workplace: proactive steps for the Payroll Department, and How to correct reporting of misclassified employees.
Link
SSA/IRS Reporter, Otoño 2006 edición, con artículos sobre Desastres en el lugar de trabajo: Pasos proactivos para el departamento de nómina, y Cómo corregir el reporte de empleados mal clasificados
Link
Michigan
Two Michigan employers agree to pay $35,400 in unemployment taxes they avoided
Link
Ohio
New employer withholding tables take affect October 1, 2006
Link
Oklahoma
Withholding tax filing and payment date extended to the 20th of the month
Link
Pennsylvania
Allegheny County caterer sentenced for state tax evasion
Link
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19 August 2006
For the latest tax-related news, check out the following links:
Department of Justice
Justice Department sues to halt alleged business tax scams - two Southern Californians allegedly help businesses evade tax using a scheme that helps businesses evade federal employment tax by disguising a portion of employees' wages as other payments.
Link
Department of Labor
Payday loan company pays more than $500,000 in back wages to 900 workers - employer failed to pay overtime to non-exempt salaried managers and did not include bonuses in computing overtime pay for non-exempt salaried managers and employees who were paid hourly.
Link
U.S. Labor Department's Wage and Hour district office returns to New Orleans - staff have investigated approximately 300 employers and recovered nearly $1.4 million in back wages for work performed in the Gulf Coast region.
Link
Internal Revenue Service
Revenue Ruling 2006-36 - Amounts received under Accident and Health Plans, and contributions by employers to Accident and Health Plans - Are amounts paid to an employee under a reimbursement plan excludable from the employee's gross income if the plan provides that amounts may be paid as medical benefits to a designated beneficiary, other than the employee's spouse or dependents or an employee?
Link
IRS begins outreach to entertainment industry on gift bags following Academy agreement - the gift basket industry has exploded!
Link
Massachusetts
20 people indicted as part of a widespread investigation into payroll fraud within the Boston longshoremen's union
Link
Missouri
Prevailing wage rates set for Missouri state highways and transportation construction projects -
General Wage Order #50 now in effect.
Link
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12 August 2006
For the latest payroll-related news, check out the following links:
Department of Labor
Opinion Letter - Dual-function firefighter/paramedics and section
Opinion Letter - Uniform maintenance costs and tips
Opinion Letter - Plumbing repair services and section 7(i)
Opinion Letter - Acquisition, relocation, and property management agents for land acquisition firm under section 13(a)(1)
Opinion Letter - Auto dealership's detailers and painters paid by flat rate under section 7(i)
Opinion Letter - Pay raise based on performance during the previous calendar quarter and section 7(e)(3)
Internal Revenue Service
Internal Revenue Bulletin 2006-32, August 7, 2006
Internal Revenue Bulletin 2006-33, August 14, 2006
Caution - If you downloaded the March 2006 version of the instructions for Form 8898 Statement for Individuals Who Begin or End Bona Fide Residence in a U.S. Possession before August 9, 2006, please note the following change. Link
Notice 2006-73 - This notice effects interim revisions to Forms 8898 and 8840. Taxpayers required to file these forms should disregard certain line items.
Revenue Ruling 2006-43 - What actions are required in order for a State or political subdivision thereof, or an agency or instrumentality of any of the foregoing, to "pick up" employee contributions to a plan qualified under § 401(a) of the Internal Revenue Code so that the contributions are treated as employer contributions pursuant to § 414(h)(2)? Link
Department of Treasury
Treasury Announces Entry into Force of US - Bangladesh Income Tax Treaty
Treasury Announces Entry into Force of Protocol Amending US - Sweden Income Tax Treaty
California
Employment Tax Audit Process - Information Sheet DE 231TA has been updated
Elective Coverage for Employers and Self-Employed Individuals - Information Sheet DE 231EC has been updated
Permiso Familiar Pagado - se ha actualizado Fact Sheet DE 8714CF/S
Programa de Protección Electiva del Seguro de Incapacidad - se ha actualizado Fact Sheet DE 8714CC/S
Florida
The Division of Workers' Compensation has issued Informational Bulletin DFS-06-18 regarding medical mileage reimbursement
Massachusetts
State Minimum Wage to Increase
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5 August 2006
For the latest payroll-related news, check out the following links:
Department of Labor
The Labor Advocate - Summer 2006 issue - includes: DOL Targets Wage Violations in Gulf Coast Region. Link
Employment Cost Index - June 2006 - Total compensation costs for civilian workers increased 0.9 percent from March to June 2006 … Beginning with this release, the Employment Cost Index has introduced additional estimates on total compensation and wages and salaries in private industry for the nursing care facilities industry. Link
BMW Agrees to Pay $629,000 in Back Wages for 1,224 Workers at South Carolina Assembly Plant - company failed to pay automobile body and paint shop workers for time spent putting on (donning) and taking off (doffing) required safety gear and for time spent walking to and from work stations. Link
Internal Revenue Service
Tax professionals are helping launch a new system that will allow many individuals who owe delinquent federal taxes to apply online for a payment agreement. Link
The Treasury Department today announced that the protocol amending the income tax treaty between the United States and Sweden will enter into force August 31, 2006. Link
Ohio
Dublin Irrigation owner pleads guilty to falsifying workers' compensation coverage - failed to pay workers' compensation premiums for over six years, forged copies of BWC's certificate of premium payments and supplied them to contractors. Link
Pennsylvania
Governor Rendell Announces $158 Million Reduction in Unemployment Compensation Taxes for Businesses - Beginning January 1, 2007, the average UC tax rate for businesses is projected to be 5.0%, down from 5.4% in 2006. Link
Minimum Wage Increased for the First Time in Nine Years as Governor Rendell Ceremoniously Signs Senate Bill 1090 - increases the state's minimum wage in two steps: to $6.25 an hour on Jan. 1, 2007; and to $7.15 an hour on July 1, 2007. Link
Rhode Island
The Director of the Department of Labor and Training has determined that the percentage of premium to be assessed for the Workers' Compensation Administrative Fund will remain at 6%. Link
West Virginia
BrickStreet Insurance policyholders who haven't made a premium payment for the second half of 2006 have one last opportunity to retain workers' compensation coverage - 3,484 businesses still owe at least $4.6 million in premium payments to BrickStreet. Link
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29 July 2006
For the latest payroll-related news, check out the following links:
Department of Justice
Department of Labor
County Employment statistics - In December 2005, Lee County, Fla., had the largest over-the-year percentage increase in employment among the largest counties in the U.S…
Emerging Benefits: Access to Health Promotion Benefits in the United States, Private Industry, 1999 and 2005
Working on the weekend
Internal Revenue Service
Internal Revenue Bulletin 2006-31, July 31, 2006
IRS Announces New Tip Reporting Program - New tip reporting program eases burden on businesses in the food and beverage industries
Requirements for participating in the Attributed Tip Income Program (ATIP)
Taxpayers whose returns are due Oct.16 can file their returns electronically through a tax professional, home computer or the Free File Alliance
Department of the Treasury
Treasury and the IRS today issued final regulations concerning Health Savings Account (HSA) comparability rules. Comparability rules provide that an employer contributing to one employee's HSA must contribute comparable amounts to all employees who have HSAs.
http://www.ustreas.gov/press/releases/hp32.htm
http://www.ustreas.gov/press/releases/reports/hsa_comparable_contributions_4830.pdf
Massachusetts
The Massachusetts Department of Industrial Accidents (DIA) today announced that it will cut assessment rates paid by employers on their workers' compensation policies.
Michigan
The Office of Financial and Insurance Services (OFIS) today announced the full implementation of a new system designed to make payday lenders comply with law and better protect consumers.
Rhode Island
The Rhode Island Division of Taxation will be offering a Tax Amnesty Program beginning on July 15, 2006 and ending on September 30, 2006.
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For Payroll and Human Resource Professionals
