Overview: A growing employer trend over the past several years has been to integrate payroll within the HR department. So, now more than ever, HR managers need to understand all the complex issues and requirements involved in payroll tax law compliance in order to effectively oversee payroll processing and ultimately avoid costly penalties. This involves managing the following tasks, among many others:
Trends: The following are just a few of the important issues that will have an impact on payroll in 2014!
Author: Rena Pirsos, JD, Legal Editor
The US Supreme Court declined to review challenges to three federal appeals court rulings striking down same-sex marriage bans in Indiana, Oklahoma, Utah, Virginia and Wisconsin, which also cleared the way for the legalization of same-sex marriage in Colorado, North Carolina, West Virginia and Wyoming. Bans also fell in Alaska, Arizona, Idaho and Nevada.
Employers must file the new Form 8922, Third-Party Sick Pay Recap, by February 28, 2015, in order to reconcile agent or insurer payments of sick pay to employees reported on Forms 941 and W-2.
The Los Angeles City Council on October 6 passed a new ordinance that will require hotels in Los Angeles to provide workers a minimum wage and paid time off, effective 2015 or 2016, depending on the size and location of the hotel.
Employers will be required to file new Form 8922, Third-Party Sick Pay Recap, for sick pay paid to employees by a third-party agent or insurer in 2014 in order to reconcile Forms 941, Employer's Quarterly Federal Tax Return, and Forms W-2, Wage and Tax Statement. Previously, a third-party payer of sick pay filed recap Form W-2, and Form W-3, Transmittal of Wage and Tax Statements, with the Social Security Administration.
California passed a paid sick leave law, effective July 1, 2015.
As provided by the Internal Revenue service, IRS Publication 15-A, Supplement to Circular E, Employer's Tax Guide, Publication 15, Employer's Supplemental Tax Guide is a tax information guide for every employer.
A federal district court upheld Louisiana's statute and constitutional amendment banning same-sex marriage, while a Louisiana state court ruled that these laws are unconstitutional.
HR and legal considerations for employers regarding payroll.