Employee Classification Under Scrutiny

by Steven Sodini 21. July 2015 14:02
The misclassification of employees as independent contractors is impacting a progressively larger number of companies and governmental entities in the U.S., and this trend is enhanced by an increase in restructuring activity by U.S. businesses. [More]

Hiring in PA? Great! (but avoid this common compliance issue)

by Kevin McGarry 29. June 2012 09:23
  In 1997, the Commonwealth of Pennsylvania enacted Act 58, requiring all employers to report information on the employees they hired.  This legislation was created to assist The Commonwealth to locate parents who were not making their child support payments.  This system also assisted The Commonwealth to detect unemployment and workers compensation fraud overpayments.  Most employers have not continued to follow this mandate, as the quarterly unemployment tax reporting appeared to be addressing this issue.  However, The Commonwealth is actively notifying employers that this new hire reporting requirement is still required by law. Our advice to employers: when a new employee is hired, comply with this law.  A new hire form can be obtained through the Commonwealth Workforce Development System website. This is a standard form that employers need to complete and submit on behalf of a new employee, and include a copy in personnel files as you do with the W-4, I-9 and Local Certificate of Residency. You can manually prepare these forms and fax to 866-748-4473 or mail to: Commonwealth of PA, New Hire Reporting Program, P.O. Box 69400, Harrisburg, PA  17106-9400. You can also submit them via web-upload upon registering with PA CareerLink.  If you have any questions or you would like to discuss this, please give Urish Popeck a call.  
Categories: Advisory

Hiring May Slow During Second Quarter of 2012

by Michael Popeck 13. June 2012 15:00
  In a recent survey conducted by the AICPA, business executives responded with more guarded views this quarter versus last quarter about the 12-month outlook for the U.S. economy.  However, most executives viewed their own companies with a better outlook than the U.S. economy as a whole. The CPA Outlook Index, which is a comprehensive gauge of executive sentiment within the survey, decreased 2 points after 2 consecutive quarters of growth.   The survey also included findings on hiring, industry views, business expansion, and challenges over the past three quarters.  Visit the AICPA’s Survey summary for the article and to read more about the findings in the survey.  
Categories: Advisory

Employers Have A Duty Regarding IRS Tax Levies

by Alan Huerth 16. November 2011 16:49
Employers Must Comply to an IRS Tax Levy on Employees [More]
Categories: Tax

Are YOU Prepared for the New Local Income Tax System?

by Tim Caskey 18. July 2011 10:16
You may have heard about the Pennsylvania State legislature’s plan to restructure and streamline the local earned income tax (EIT) collection system. Act 32, which was passed in 2008, provides for the local EIT to be collected by each county rather than 560 different localities. Each county other than Philadelphia and Allegheny will have one tax collector. Allegheny County, encompassing Pittsburgh and surrounding municipalities, will have four tax collection districts. Philadelphia City/County will continue using its own consolidated tax system. Beginning January 1, 2012, employers will need to follow the new withholding rules and remit local income taxes withheld from employee paychecks to their designated tax collector. Here are the basics of compliance: 1. Each of your employees will fill out the form located at http://www.newpa.com/webfm_send/1738 This form certifies the employee’s address and your place of business, using uniform codes for each municipality. 2. Employers are required to withhold local income tax at a rate which is the higher of: a. The resident EIT rate for the municipality where the employee resides; or b. The non-resident EIT rate for the municipality where the employee is employed. 3. Employers with multiple locations in Pennsylvania may remit all withholding amounts to the county tax collection district where they are headquartered. If you choose this option, you will be required to remit electronically on a monthly basis. 4. For more information, there is an informative FAQ link and other information at http://www.newpa.com/get-local-gov-support/tax-information/dceds-act-32-eit-collection-system
Categories: Tax