by Catherine Bruder, Shareholder, Doeren Mayhew
In response to the evolving cybersecurity landscape of financial institutions, the Federal Financial Institutions Examination Council (FFIEC) has released its new cybersecurity assessment tool.
Financial institutions of all asset sizes are expected to use the assessment tool and it’s supporting documents to assess their cybersecurity risk and preparedness. The asse... more
Errors can sometimes occur in the course of administering an employee retirement plan. The IRS’s Employee Plans Compliance Resolution System (EPCRS) offers programs to help employers that sponsor retirement plans correct errors in a timely and cost-effective manner.
Failure to timely correct plan administration errors can cause a plan to lose its tax-favored status. To reduce this risk, the IRS makes EPCRS ... more
If you don’t pay attention to the details, the tax consequences of a sale may be different from what you expect. For example, if you bought the same security at different times and prices and want to sell high-tax-basis shares to reduce gain or increase a loss to offset other gains, be sure to specifically identify which block of shares is being sold.
And when it gets close to year end, keep in mind that the trade da... more
On June 17, 2015, Richard Cordray, Director of the Consumer Financial Protection Bureau, announced the Bureau will be issuing a proposed amendment to delay the effective date of the Truth In Lending Act (TILA) and Real Estate Settlement Procedures Act (RESPA) Integrated Disclosures.
“We made this decision to correct an administrative error that we just discovered in meeting the requirements under federal law, which ... more
by Bill Leary, International Tax Director, Doeren Mayhew
The voluntary disclosure programs launched by the IRS beginning in 2009 have resulted in more than 45,000 voluntary disclosures from individuals who have paid about $6.5 billion in back taxes, interest and penalties, but there are also a number of IRS enforcement success stories about taxpayers who did not voluntarily come forward.
IRS Disclosure Program Backgro... more
Texas Governor Greg Abbott has signed into law a House bill permanently reducing the state franchise tax by 25 percent effective Jan. 1, 2016.
The bill reduces the franchise tax rate to 0.75 percent for most taxpayers and 0.375 percent for retailers and wholesalers, down from 0.95 percent and 0.475 percent, respectively.
The bill also reduces the franchise tax rate on EZ computations from 0.575 to 0.331 percent and ... more
Tax provisions are often included as revenue raisers in non-tax bills and this year is no exception. A massive trade package making its way through Congress contains a number of tax measures, impacting both individuals and businesses. At the same time, some stand-alone tax bills are moving forward in the House and Senate.
Child Tax Credit
Under current law, a U.S. citizen or resident living abroad may be eligible to ele... more
Victims of the severe storms, tornadoes, straight-line winds and flooding that took place beginning on May 4, 2015, in parts of Texas may qualify for tax relief from the Internal Revenue Service.
The IRS announced that many affected taxpayers in Texas will receive tax relief. The President has declared Harris, Hayes and Van Zandt counties federal disaster areas. In addition, the U.S. Department of Homeland Security's F... more
If you allow employees to telecommute, be sure to consider the potential tax implications. Hiring someone in another state, for example, might create sufficient nexus to expose your company to that state’s income, sales and use, franchise, withholding or unemployment taxes.
And the employee might be subject to double taxation if both states attempt to tax his or her income — the recent Supreme Court ruling in Compt... more
Any employer reimbursing its employees for business-related expenses should consider whether the reimbursement arrangement meets the IRS’s requirements for an “accountable plan.” Meeting these requirements avoids the need to include the expense payments in employees’ gross income and avoids the employer’s share of any payroll taxes that otherwise would be due on the payments.
An accountabl... more