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2024 Tax Reporting Tips for Resort Employers: Worker Classification and Navigating 1099 Requirements

Withum

In an ever-evolving and often overly complex tax compliance world, its crucial for resort operators and managers to ensure a comprehensive understanding of filing requirements and what classifies a contract worker as 1099-eligible labor. Fines: The IRS can impose fines for each misclassified worker.

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Tax Law: These TCJA Provisions Will Expire Soon

CPA Practice

By Ken Berry The monumental Tax Cuts and Jobs Act—signed on December 22, 2017—featured a slew of provisions affecting individuals and business entities. Conversely, most changes for businesses are permanent, such as the flat 21% tax rate for corporations, but others are temporary. Notably, it reduced the top income tax rate from 39.6%

Tax 106
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Errors in Posting Payroll

SMBAccountant

This typically happens in at least 2 withdrawals; net pay and payroll taxes. You would post the net pay to a labor expense account and the payroll taxes to a payroll expense account. This is incorrect and causes labor to be understated and taxes to be overstated. This is the total labor expense to the company.

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IRS Disallows Deductions For Expenses Reimbursed By Forgiven PPP Loans

Katz,Sapper&Miller

However, the IRS has determined that Internal Revenue Code Section 265 disallows a federal income tax deduction, which is unfortunate news for small businesses that have received a PPP loan. Unless we receive contrary guidance, businesses should be aware of the tax implications of PPP loan forgiveness and should plan accordingly.

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Tax expert advises “be prepared early” for potential TCJA changes

ThomsonReuters

tax system, including provisions affecting both individuals and businesses. “The TCJA, like most big tax laws, is like the spokes of a wheel,” John Rose, J.D., Director of Federal Tax Quality Control at Aprio, began. “The TCJA, like most big tax laws, is like the spokes of a wheel,” John Rose, J.D.,

Tax 98
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Understanding Accountable Plans

Withum

It is common for business owners and employers to reimburse employees for out-of-pocket expenses incurred when performing their job functions. However, not all expenses are reimbursed. Expenses paid under an accountable plan are not treated as income to the employee. What is an accountable plan?

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Last Week in Payroll: Localization of Work

ThomsonReuters

The guidance is aimed at helping multi-state employers determine to which state wages should be reported and unemployment taxes paid. Being familiar with the DOL’s “localization of work” provisions may be helpful to employers that want to make sure wages are reported and unemployment taxes are paid to the correct state.

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