Draft of the small business health care credit form available The IRS has made available a draft form 8941 to be used to claim the health care credit for small employers.The calculated amount of the credit will be entered on the business’ income tax return as a general business credit.The credit is available to small employers that contribute at least half the cost of single coverage towards buying health insurance for their employees, as phases out for larger employers.The credit is completely phased out for employers that have 25 FTEs or that pay an average wage of $50,000 or more per year.
CPA License verification and Peer Reviews When you’re searching for an accountant, CPA or not, please be advised that many printed guides and online search databases, including the Yellow Pages, frequently list ALL accountants under “CPA.” Online search databases and directories do not check or verify licensure of the advertiser, but you can.Check to see if the accountant you are hiring is a CERTIFIED PUBLIC ACCOUNTANT by going to the State Board of Public Accountancy website where the accountant is located.The State Board qualifies, licenses and regulates individuals seeking licensure to practice as a certified public accountant and also firms that offer public accounting services.In addition, all firms that perform audit and review services are required to have a peer review every 3 years.A peer review is an independent outside review of the firm’s quality control system, by another accounting firm.Its purpose is to maintain or improve the quality of services performed by CPA firms.
Subcontractor Data and Executive Compensation Reporting Effective October 1, 2010, government contractors will be required to report information about their first-tier subcontractors and to report executive compensation for themselves. The reporting is due by the end of the month following award and annually thereafter using the Federal Funding Accounting and Transparency Act Subaward Reporting System. The information will be made publicly available at http://usaspending.gov/.There are no exceptions for small companies or privately held companies.The only exception is for classified contracts, contracts to individuals, and contracts to those with previous year gross income of $300,000 or less. Effective October 1, 2010, the name, address, etc, of first-tier subcontractors on newly awarded prime contracts of $550,000 or more must be reported. Effective March 1, 2011, the name, address, etc. of first-tier subcontractors on newly awarded prime contracts of $25,000 or more must be reported. The names and total compensation of the top 5 executives for both the contractor and first-tier subcontractors must be reported if the company (prime or first-tier) has at least 80% of annual gross revenue from federal contracts and received $25 million from federal awards.This information must be reported in the Central Contractor Registration. Source: http://gtpac.org/2010/08/government-contractors-must-report-subcontractor-and-executive-compensation-information/ Business Cell Phone Usage…simplified
The Small Business Jobs Act of 2010 (signed into law 9/27/10) simplifies the rules for substantiating business use on employer-provided cell phones.Yes, this includes iPhones, Blackberries, and other PDA’s.Under the new law, cell phones are no longer considered “listed” property, that requires more stringent justification for a business deduction and exclusion from employees' taxable income. Employers do not have to treat the personal use of employer-provided cell phones as a taxable employee benefit under this law. See what else is in the Jobs Act at whitehouse.gov.