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 2015!
Author: Rena Pirsos, JD, Legal Editor
California's threshold for electronic filing of unemployment insurance (UI) and withholding reports and payment of UI contributions and taxes will decrease starting January 1, 2017. Penalty and waiver provisions will also change.
Some states that require employers to withhold income taxes from employees' wages tie their definitions of "wages" to the federal Internal Revenue Code (IRC). However, many states update their IRC references to a specific date every year or so, while others roll their references into the current version of the IRC. Even with IRC conformity, some states have important exceptions. This Quick Reference chart summarizes each state's IRC conformity reference.
This Quick Reference chart summarizes state requirements regarding wage payment by paycard and the penalties applicable to an employer that fails to comply with the law.
In-depth review of the spectrum of California employment law requirements HR must follow with respect to depositing and reporting withheld taxes.
In-depth review of the spectrum of California employment law requirements HR must follow with respect to unemployment insurance tax (FUTA/SUTA).
In-depth review of the spectrum of California employment law requirements HR must follow with respect to legally required benefits.
HR and legal considerations for employers regarding payroll.