From Crains Chicago Business>>>>>
(AP) — Illinois businesses are reminded to adjust the way they calculate income taxes for employees starting Jan. 1.
The Springfield bureau of Lee Enterprises newspapers reports Gov. Pat Quinn's administration posted a notice this week on the Illinois Department of Revenue website with the information.
Employers
are reminded that the temporary income tax rate of 5 percent rolls back
to 3.75 percent at the beginning of 2015. State revenue department
spokeswoman Sue Hofer says officials wanted to make sure employers can
make adjustments.
She says "people will notice that in their paychecks."
Thursday, December 18, 2014
Affordable Care Act Pop Quiz
Ran accross this quick little pop quiz by our software publisher. It illustrates the complexity of the ACA. Never attempt to prepare your tax return alone.
Helen is a college student who lives with her father during the year. She is covered by his health insurance as long as she is a full-time student, but when she graduates on May 23, she is dropped from his policy. For several months, she works part-time and temporary jobs that do not offer health insurance, and she does not obtain her own insurance. On October 5, she starts working full-time and obtains insurance through her new employer. Helen was uninsured from June through September.
Question: Is there a penalty, and who pays it?
Answer: Because she was uninsured from June through September, the penalty is imposed for at least those four months. However, if Helen's father claims her dependency exemption on his return for the year, the penalty is imposed on him, rather than on Helen.
Helen is a college student who lives with her father during the year. She is covered by his health insurance as long as she is a full-time student, but when she graduates on May 23, she is dropped from his policy. For several months, she works part-time and temporary jobs that do not offer health insurance, and she does not obtain her own insurance. On October 5, she starts working full-time and obtains insurance through her new employer. Helen was uninsured from June through September.
Question: Is there a penalty, and who pays it?
Answer: Because she was uninsured from June through September, the penalty is imposed for at least those four months. However, if Helen's father claims her dependency exemption on his return for the year, the penalty is imposed on him, rather than on Helen.
Senate Passes Tax Extenders
As expected, a last minute passage of certain tax deductions and credits was approved and signed into law this week.
The IRS will be evaluating the impact of this legislation to forms, instructions, and the start of tax season. There is no published start date for e-file yet.
Our software publisher has posted a small newsletter detailing the legislation.
Please click on this link to read more.
Subscribe to:
Posts (Atom)