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IRS Issues Details on W-2 Reporting on Payroll Tax Deferral
The Internal Revenue Service has posted instructions for both employers and employees about how to handle the Form W-2 reporting for the payroll tax deferral under President Trump’s executive action. Trump signed a memorandum in August to defer the 6.2 percent employee’s share of Social Security taxes from Sept. 1, 2020 until Dec. 31, 2020, but the taxes would need to be repaid by April 30 of next year. So far, relatively few ...
Read MoreIRS Adjusts Tax Item Amounts for 2021 Due to Inflation
The Internal Revenue Service issued its annual inflation adjustments Monday for tax year 2021, revising more than 60 tax provisions, including tax rate schedules, standard deduction amounts and more. The standard deduction for married couples filing jointly for tax year 2021 is increasing to $25,100, up $300 from the previous year. For single taxpayers and married individuals who file separately, the standard deduction is increasing to ...
Read MoreFASB Proposes Three Improvements to Leases Standard
The Financial Accounting Standards Board issued a proposed accounting standards update Tuesday to improve three areas of its lease accounting standard. For lessors, the proposed changes would amend the classification requirements for leases in which the lease payments are mostly variable by requiring lessors to classify and account for those leases as operating leases. In doing so, FASB said the risk of lessors recognizing ...
Read MoreAccounting and Financial Controllers Steer the Ship
Accounting and financial controllers are some of the hardest-working executives in an organization, but unfortunately, they are often overlooked. There are more than 250,000 controllers in the United States, and 810,000 worldwide, yet CFOs and the C suite seem to get all the media attention. Around the world, companies and organizations turn to their controllers for everything from compliance to cash flow, internal controls and closing ...
Read MoreRisk Alert: COVID-19 and the Return to Work
The emergence of the novel coronavirus quickly upended the way businesses, including accounting firms, around the United States operated. Shelter-in-place orders prompted millions to pivot nearly overnight to halt business travel, begin working from home, and use virtual conferencing software to substitute for what previously would be in-person meetings and visits. Now some CPA firm leaders may be considering how to ...
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