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December 22, 2011
The Tax Court, in a decision granting the IRS’s motion for partial summary judgment, held that a corporation was not eligible for S corporation status in a year in which its sole shareholder was a custodial Roth IRA. Taproot Admin.
December 21, 2011
October 20, 2011
October 14, 2011
The health care reforms introduced in 2010 take effect in stages. The
IRS, DOL and HHS delayed the enforcement of some market reforms that
took effect for group health plans in plan years beginning on or after
September 23, 2010. Others require regular review to ensure continued
adherence. In addition, it is not yet clear whether compliance with
notification provisions intended to take effect in 2012 will be
postponed.
September 23, 2011
2011-09-23
The IRS’s Voluntary Classification Settlement Program (VCSP) presents a golden opportunity for employers to resolve past worker classification issues at an exceptionally low cost before an audit occurs. Under the VCSP, an employer would pay 10% of the amount of employment taxes calculated under the
September 23, 2011
2011-09-23
In a News Release issued September 19, 2011, the Labor Department announced that it intends to re-propose its rule defining who is a fiduciary under ERISA in early 2012. The DOL issued a proposed rule last October that would have, among other things, expanded the definition to include those individ
August 26, 2011
Although group health plans that are not grandfathered under the
Patient Protection and Affordable Care Act typically must provide
coverage with no cost sharing for recommended preventive care services,
there are situations in which a plan may impose a deductible, copay or
coinsurance.
July 29, 2011
A recent change in the IRS’s policy regarding so-called “innocent spouse relief” under §6015(f) on equitable grounds may present a new opportunity for taxpayers to seek relief. Under Notice 2011-70, 2011-32 I.R.B. , effective July 25, 2011, the IRS no longer will require that a spouse submit
July 22, 2011
Investment managers and other retirement plan service providers have
been given a few more months to prepare new fee disclosures to plan
fiduciaries. New DOL rules (DOL Regs. Sec. 2550.408b-2(c)) try to unmask
“hidden fees” by requiring retirement plan service providers and
investment vehicles to disclose indirect and direct compensation
received from the plan. After receiving requests from the financial
services industry for more time to compile fee information, the DOL
proposed extending the original effective date of July 16, 2011, to
January 1, 2012. Comments on this proposal asked for yet more time to
comply, and the DOL was persuaded to extend the effective date to April
1, 2012.
July 18, 2011
A "mini-med" plan, a lower-cost plan that pays out a low dollar
amount for health benefits, is available through a group health plan
only until 2014 and only with a temporary annual limit waiver from the
Department of Health and Human Services. Without a waiver, a mini-med
plan and its sponsoring employer violate the Patient Protection and
Affordable Care Act, the tax Code and ERISA.