Tag Archives: business

Upcoming Tax Dates & More!

TAX DATES : January 31

Businesses provide Forms W-2 and most 1099s to employees and other payees.

File Forms W-2 and 1099-Misc Reporting non employee compensation in box 7 with the SSA and IRS, respectively.

Employers file form 941 for fourth quarter or For 944 for 2017.

Employers file form 940 for 2017

Farm Employers file Form 943 for 2017.

File Form 945 to report income tax withheld for 2017 on all non payroll items, including backup
withholding and withholding on pensions, annuities, IRAs, and gambling winnings.

Note: Forms 940, 941, 943, 944, and 945 are each due February 12 if respective taxes are deposited in full and on time.

Applicable large employers (ALEs) provide Form 1095-C to employees; all other providers provide Form 1095-B to covered individuals.

SOCIAL SECURITY TAXABLE WAGE BASE FOR 2018

On October 13, 2017, the Social Security Administration (SSA) announced that the maximum earnings subject to the social security component of the FICA tax would increase from $127,200 to $128,700 for 2018.

Please contact us if you have any questions about the information in this article.

 

Hackers: One step further

The efforts of hackers have gone one step further, like a biological evolution, they continue to find ways to steal personal information. A computer virus doesn’t necessarily infect your computer from opening an infected email, or clicking on an advertisement on a website. What some hackers are doing now is they go into your web browser, check to see if you have any bookmarks for your personal banking, etc. then redirecting the link to a site that mimics the website you are trying to access. When you type in your information you are giving them the keys to your account.

You are left vulnerable to simply giving away your personal passwords, emails and other private information to hackers without you noticing. We know all too well what this can do to a business, as one of our clients experienced such a hack and was left with their assets stolen or frozen. In an age where we are starting to live our lives with the internet as an integral part of our sense of communication with the rest of the world, private information faces an all too real danger.

And not just from individual hackers anymore, there are now organized cybercriminal gangs, government surveillance, as well as hacks from nation states. As cited by noted tech guru Dan Kaminsky in his Black Hat Keynote speech, a study by the National Telecommunications and Information Administration indicates that “Half of all Americans are backing away from the net due to fears regarding security and privacy”.

Our advice: remove all current bookmarks on your web browser that link to any online banking sites, or any other site that requires personal username IDs or passwords. It may require that you input the site’s url, but it is better to be safe than sorry.

Time are a changing

There are days I wish I could relive, where people and the memories seem to be perfectly happy, living in moments of laughter and the simplicity life provided at the time. Our memories of the past are fond and life was certainly simpler but times are a changing. What some people cannot bring themselves to do, when it comes to owning a small business is to adapt to changing circumstances regardless of what their accountants advice.

Some years ago we got a new restaurant client that had a serious problem, the previous owner’s books and records were virtually non existent. Fortunately when they found themselves in the crosshairs of the Department of Labor they were prepared for them. They had listened to us and implemented an accounting system that accurately reflected their Sales and Payroll.

New York State has been actively visiting worksites unannounced and are making rather large assessments, DOL audits are particularly gruesome as their position taken are mostly intractable. But beware because the Department of Labor will send an auditor to your restaurant.Here walks in a Man and/or Woman, they are seated, given a menu and their order is taken, no problems right? WRONG. As it turns out this Man and/or Woman is an Auditor for the DOL. There they are, mentally counting heads, keeping track of every single individual they see working under your employment. They will often speak to them to determine there hours worked.

The Auditor can now go back to your NYS-45 Tax filings to figure out exactly how many employees you claim to employ, the calm before the storm. Until the day you as the business owner is made aware of a Department of Labor Audit, yeah, not exactly the news you wanted to hear.

If only you as the owner had just listened to your accountant, why oh why did I not change my ways! Well lucky for you this is just a short story illustrates how simply this could happen to you and your business and what you need to do to avoid it.

And in this case, BECAUSE we made our client aware of the imminent dangers that lay ahead, they made the correct changes and avoided a huge assessment, having had to only pay a small Unemployment Insurance assessment.

Hopefully, we have in a colorful way informed and convinced you to change for the better, if you just make some changes, the state may just decide to skip your audit or in the worst case scenario not be in a position to make a large assessment. Remember, without the adequate needs an employer is at the mercy of a DOL auditor.

REMEMBER

Be prepared, don’t keep your head in the sand and listen to your accountant as the times are a changing.