Excepted benefits, such as limited-scope dental and vision benefits, aren’t subject to the Affordable Care Act’s requirements to provide affordable group coverage that provides minimum value. Proposed regulations would include wraparound coverage as a new category of excepted benefits. This coverage would be available to part-time employees and retirees. Under these regs, wraparound coverage would be permitted under a pilot program that begins no later than Dec. 31, 2017, and lasts for three years.
Here’s your monthly guide to critical payroll due dates.
Employees looking for a place to park their preteens during the summer should consider day camp. Tax break: Parents may defray day camp expenses, including expenses incurred for specialty camps, through the company’s dependent care assistance program, up to the $5,000 annual limit. Also covered: child care expenses for kids who stay home.
Q: We have employees who change their W-4 forms on an almost weekly basis. This is becoming very burdensome. Management has asked whether there are any regulations that allow us to limit the number of W-4 changes employees can make a year. Also, how do you explain to full-time employees that they’re not exempt from paying federal income taxes?
Q: Employees who aren’t on call, but who are called back to work to handle an emergency, are reimbursed for all of their traveling expenses. Must we include these reimbursements in their income and tax them?
Federal and state courts don’t have to go out on too long a limb to allow employees to sue for their unpaid wages and to find corporate officers personally liable under state wage payment laws for failing to pay those wages. Two recent cases illustrate.
Employers that use the standard mileage rate to value employees’ personal use of company vehicles are restricted to supplying vehicles of modest value.
The IRS hasn’t addressed whether employer-provided meals are taxable to employees in decades. So it caused some alarm when the item showed up on its 2014-2015 priority guidance plan. According to Paul Carlino, chief, Employment Tax Branch 1, IRS’ Office of Division Counsel/Associate Chief Counsel (Tax Exempt and Government Entities), the IRS is getting ready to issue new regulations and perhaps a revenue procedure.
States usually require that employees voluntarily participate in electronic pay programs. This chart summarizes the states’ direct deposit/paycard rules. “Mandatory” means that a state allows you to make e-payment a condition of employment, if you choose. States that don’t have laws aren’t included.
The IRS will allow couples whose same-sex domestic arrangements were retroactively classified as marriages, and their employers, to apply for FICA refunds.