Federal tax reform continues to be a hot topic as many changes made by the Tax Cuts and Jobs Act (TCJA; Pub. L. 115-97) continue to impact payroll professionals. Although most of the changes in the TCJA took effect January 1, 2018, they will remain in effect through 2025. Tax Rates and BracketsThe TCJA retains […]

On December 18, the IRS released the 2019 Publication 15, Circular E, Employer’s Tax Guide, and the 2019 Publication 1494, Tables for Figuring Amount Exempt From Levy on Wages, Salary, and Other Income. https://www.irs.gov/pub/irs-pdf/p15.pdf

The IRS has released Notice 1036, Early Release Copies of the 2019 Percentage Method Tables for Income Tax Withholding(rev. 12-18). The tables included in Notice 1036, along with the 2019 wage-bracket withholding tables, will appear in IRS Publication 15, (Circular E), Employer’s Tax Guide.

The IRS has extended the due date for furnishing 2018 Forms 1095-B and 1095-C to employees from January 31 to March 4 [IRS Notice 2018-94].

The IRS announced that the business standard mileage rate for transportation expenses paid or incurred beginning January 1, 2019, will be 58 cents per mile up, 3.5 cents from the 54.5 cents-per-mile rate in effect during 2018 [Notice 2019-02, released 12-14-18].

Due to a lapse in government funding, E-Verify and E-Verify services are not available [E-Verify website, 12-22-18]. During this time, employers cannot access their E-Verify accounts to enroll in E-Verify; create E-verify cases; view or take action on cases; reset passwords; terminate accounts; or run reports.

The IRS released the new Form 8994, Employer Credit for Paid Family and Medical Leave, and its instructions, which will be used by employers to claim the credit for paid family and medical leave provided to their employees.

Under federal law, employers that file 250 or more Forms W-2, Wage and Tax Statement(Copy A), must file them electronically by January 31 after the year to which the form applies. The Social Security Administration no longer accepts Form W-2 data reported on magnetic media.

Audits should start early November…  so that you have enough time to fix before last payroll of the year.

• Create 2019 Payroll Calendar & Holiday Schedule
• Review W-2 Data (SSN, Address) before final print
• Complete a W-4 Audit, verifying state
• Complete a WC Code Classification Audit

Most states have released their state unemployment insurance (SUI) taxable wage bases for 2019.  State Unemployment Insurance Taxable Wage Bases 2016-2019