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2020 Payroll Update

By: Dawn Ebeling January 22, 2020

Social Security and Medicare tax As of January 1, 2020, the maximum amount of annual earnings subject to Social Security increases to $137,700 (from $132,900 in 2019). There is no limit on the amount of earnings subject to the Medicare tax.

Accounting for Computer Software Costs

By: Chris Wehner January 16, 2020

Computer software drives the world. Businesses use software to account for transactions, communicate with colleagues and customers, and design and manufacture new products. One thing is clear: without software, we’d be lost. Accounting for the costs associated with software acquisition, however, can be less than straightforward. In this article, we’ll outline some things a business will need to consider when acquiring or implementing new software for its own use and how to account for those transactions.

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How Taxpayers Will Be Impacted By Recent Tax Law Extenders

By: Chris Wehner January 13, 2020

With the holidays over, tax-minded individuals are now focused on gathering their paperwork to file 2019 returns and project what their tax situation will look like in 2020. Each year, Congress decides to extend or let expire various provisions of the tax law. This article summarizes some of the more commonly-used “extenders” so individuals and business owners may understand the impact of various courses of action.

Exposure to Personal Liability of Business Owners and Employees Increases Thanks to Wayfair Court Decision

By: Paul Cooke January 06, 2020

The Supreme Court’s decision in South Dakota vs. Wayfair continues to have a ripple effect for businesses with interstate sales. With the Wayfair decision adding potentially significant sales tax exposure to some businesses, there is also the potential for increased exposure to the personal liability of unsuspecting business owners, corporate officers and even employees like tax and finance managers. It’s more important than ever for “responsible persons,” which we’ll define in a moment, to understand their responsibility and potential liability in the sales tax process.

Economic Presence vs Physical Presence: Sales Tax Considerations After Wayfair

By: Paul Cooke December 17, 2019

In June 2018, the United States Supreme Court issued their ruling in the case of South Dakota vs. Wayfair, which cleared the way for states to collect sales tax from businesses that do not have a “physical presence” in the state, but do have an “economic presence” in the state. While much attention has been given to the impact on online retailers, the decision potentially impacts the sales tax obligations of any business that makes remote sales to out-of-state customers. While some states are still reacting to the decision, many states have already implemented laws that require remote sellers to collect and remit sales tax on sales to out-of-state customers without having a physical presence in the state. Understanding this new and still evolving sales tax landscape is important for any company that conducts business in multiple states.

Businesses Must Use New Form W-4 Starting January 1, 2020

By: Dawn Ebeling December 16, 2019

The long awaited new Form W-4 is finally here. Here’s the rundown on the new form, which businesses must start using for new employees hired on or after January 1, 2020.