So the holiday is over. We all have to go back to work and prepare for the New Year.
understood. I’m not particularly excited, but that’s what it is.
One of the things that is becoming more and more common in my legal affairs is the penalties that the IRS imposes on large employers who fail to provide the minimum health insurance required for their employees.
So let’s talk a little about it today. That way, businesses can now take steps to plan and prepare to avoid the annoying taxes and penalties imposed by the IRS.
We all remember the fierce controversy between “Obamacare” and the voters it caused. It’s up to you whether it was good or not. But one of the dangers from the perspective of a large employer is that the employer requires the worker to provide minimal medical insurance. The problem is not whether the rules are good or bad, but the penalties for not following this complex tax law exactly can be very high.
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So this is a transaction.
If you have more than 50 full-time employees, your company may need to provide them with minimal health insurance. Otherwise, you may incur excise taxes from the IRS, which can be incredible. In addition, there are penalties for failing to submit the required form to the IRS, reflecting an analysis of the business application of the law. These may also include penalties and interest.
Everyone, the decision of what makes up 50 full-time employees is very complicated and too complicated to explain in this article. Speaking of you need to immediately consult an expert in this area of tax law if you are approaching that number of workers and they spend more than 30 hours a week on your business. is enough. And you need to do it right away to plan for this next year.
One of the many problems with the enforcement of this law is that the IRS is not keeping its analysis up to date. I am sending a letter that imposes penalties for returns that should have been submitted two years ago. This means that a company that fails to comply with this complex statute may not only face the risk of auditing its debt two years ago, but may also face the same risk for the next few years. Application of legislation to their particular business.
The IRS can take strict measures in such cases. There are excise taxes and fines and interest that can easily bring many companies into bankruptcy.
So, as we enter the New Year, we have a warning to everyone in the business who has nearly 50 employees working more than 30 hours a week.
If you are close to these numbers, consult your accountant and make a serious plan for your contact information and the coverage you need to provide.
If you don’t stay on it, this could be a time bomb.
David Leeper is a board-certified federal tax attorney with over 40 years of experience. He can be contacted at 915-581-8748, leepertaxlawelpaso@gmail.com and leepertaxlaw.com.
