By: Sherry D. Coley and Tiffany E. Woelfel While everyone is feeling the impact of COVID-19, community non-profits and schools are rallying to provide relief and services—such as food—to those in need, while also being impacted by decreased funds and fewer volunteers. Now, community organizations across Northeast Wisconsin are stepping up to...
By Bruce B. Deadman Reminder: It’s not too soon for sponsors of 403(b) plans to start the process of adopting IRS pre-approved plan documents. Under a new program, local governments, school districts and other tax-exempt entities that sponsor retirement plans under Section 403(b) of the Internal Revenue Code (the “Code”) can for the first time...
By Bruce B. Deadman Under a new IRS program, tax-exempt entities who sponsor 403(b) retirement plans can adopt pre-approved documents that include determination letters that confirm the tax-qualified status of their plans. Plan sponsors need to adopt pre-approved plans before March 31, 2020, in order to qualify for the program. Under a 403(b)...
By Susan G. Schellinger Certain local Wisconsin governmental entities and nonprofit organizations have historically been exempt from payment of sales and use tax. Under a change in Wisconsin law which took effect on January 1, 2016, contractors may purchase construction materials on behalf of certain tax-exempt entities and organizations without...
With the release of Notice 2015-82, the IRS has provided a valuable end of year tax-planning tool to businesses looking to expense tangible property purchases. The tangible property regulations have been in effect since January 1, 2014. The regulations included a safe harbor under which businesses may expense, rather than capitalize, certain...
By Mark G. Kmiecik Public sector and tax-exempt employers in Wisconsin should be aware that the IRS appears to be targeting section 403(b) plans for examination. Prior to and during recent IRS examinations of 403(b) plans in the state, we have learned that the audit trigger more than once was the IRS’s review of the employers’ websites for...
Many of us are familiar with the basic S-corporation mantra – avoid the so-called double taxation of regular C-corporations, all while maintaining the limited liability and practical advantages of a corporation. While many business owners engage in detailed planning to ensure compliance with Subchapter S of the Internal Revenue Code in order to...
By Mark G. Kmiecik Private sector employers are now further incentivized for their efforts in hiring otherwise disadvantaged workers. The IRS recently issued guidance extending the time employers may claim a Work Opportunity Tax Credit (“WOTC”) of $2,400 or more for each qualified employee hired in 2014. Because the Tax Increase Prevention Act of...
By Mark G. Kmiecik On December 19, 2014, President Obama signed into law the Tax Increase Prevention Act of 2014 (HR 5771). Otherwise known as the “Tax Extenders” Act, this law retroactively extended through the end of 2014, over 50 tax breaks that expired on December 31, 2013. While there were discussions of making permanent a number of these...
On July 1, 2014, the Internal Revenue Service (IRS) released Form 1023-EZ, a streamlined alternative to the venerable IRS standard-bearer in the world of nonprofits – Form 1023 Application for Recognition of Exemption Under Section 501(c)(3). The original Form 1023, weighing in at a robust 26 pages (including 7 schedules), can be burdensome,...
