Distinguishing Between Tips and Service Charges

The IRS has issued a fact sheet to remind employers that so-called “automatic gratuities” and any amounts imposed on the customer by the employer are service charges, not tips. Some examples of service charges include automatic gratuities for large dining parties, bottle service charges at nightclubs and restaurants, and banquet event fees. The amount of

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Indiana New Home Building Sees Spike in 2016

It’s no surprise new housing is booming in Indiana. Just look around, and you’ll see homes being built at a record pace. Dan McGowan, Senior Write/Reporter of Inside INdiana Business, and Rick Wajda, CEO of the Indiana Builders Association, gives us an inside look at what’s to come in 2017. Click here to read more!

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Employers Eligible for Extended ACA Reporting Deadlines

In its payroll industry telephone conference call on 7/2/15, the IRS said that employers can request an extension of the Affordable Care Act (ACA) deadlines for filing information returns with the IRS and furnishing ACA statements to payees, as required by IRC Secs. 6055(c)(1) and 6056. According to the IRS spokesperson on the conference call,

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Certain Taxpayers Are Not Required to Amend 2014 Return

The IRS announced that taxpayers who filed a tax return using an incorrect Form 1095-A are not required to, but may, file an amended return. As reported on Monday, February 24, the Centers for Medicare and Medicaid Services (CMS) previously announced about 20% of taxpayers that purchased health insurance from the federal Marketplace received incorrect

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Secretary of State Connie Lawson Warns Businesses of Deceptive Letter

The office of the Indiana Secretary of State recently released a warning regarding a deceptive letter sent to Indiana business owners soliciting a $125 annual fee for record keeping and processing. The letter appears to have come from the office’s Business Services Division, but the Secretary of State’s office no longer sends filing notices by

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Taxpayers Advised to Wait for Corrected Form 1095-As before Filing Tax Returns

The U.S. government’s Centers for Medicare and Medicaid Services (CMS) announced that it sent incorrect information on Form 1095-A (Health Insurance Marketplace Statement) to approximately 800,000 taxpayers who purchased Federally-facilitated Marketplace health care coverage in 2014 and received advance premium tax credits to lower their premium costs. (The error does not affect any state Marketplace

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IRS Chief Counsel Advice Determines Definition of “Brokerage” for Passive Loss Regulations

The IRS Associate Chief Counsel, in a letter issued on December 17, 2014, addressed the following two questions: Whether a real estate agent is engaged in a real property brokerage trade or business within the meaning of § 469(c)(7)(C)? Whether a mortgage broker is engaged in a real property brokerage trade or business within the

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