Cures Act Approves HRAs for Small Employers A new law goes into effect on New Year's Day that will allow small employers to set aside money in standalone Health Reimbursement Arrangements (HRAs) without incurring penalties under the Affordable Care Act. Here, we explain how the tax-advantaged accounts work, which employers are eligible to use standalone HRAs without incurring penalties and how to provide notice to employees about the arrangements.
A Tax-Smart Strategy: Hire Your Spouse In the world of taxes, a "Section 105 Plan" can be a win-win situation. If you're married and run a family business, your spouse may do a great deal of work for the company whether or not he or she is on the payroll. Here's a way that you can compensate your spouse, help pay your family's medical expenses and reduce your taxes at the same time ... provided you get the details right.
Beware of a 100% Personal Liability Penalty A harsh and expensive tax penalty can be personally imposed on any person responsible for collecting, accounting for, or turning over taxes to the federal government that were withheld from employees' paychecks. There's often more than one person in a firm who can be hit with the Trust Fund Recovery Penalty, which is also called the 100% Penalty. This article shows you how it works.
Rx for Itemizing Medical Expenses Congress increased the threshold for deducting medical expenses on your personal tax return. But a lower threshold still applies to some taxpayers until 2017. Here are more details on these itemized expenses, including a checklist of medical, dental and vision care items to consider when compiling your annual expenses for tax purposes.