New Year comes with new laws and regulation that affects the operations of small businesses. The new changes affect issues such as tax issues, overtime protocols and health care changes to immigration reforms. These alterations should be monitored closely by the owners of such enterprises. It is very significant to update yourself with changes coming up due to changing regulatory environment so that IRS penalties are avoided. Therefore, you should consider the following ten regulatory changes that could affect your business this year.
- Tax-extenders and reforms
The IRS has established that the season of tax filing will actually starts on time, while the processing of returns and refunds may be adjusted because of the prevailing budget constraints. This is expected to happen despite a delay in the passage of 2014 Tax Increase Prevention Act with the possibility of complicated rewrite of the tax-code in 2015.
- Health care reforms
Employers are needed to be well prepared in meeting new IRS requirements to file their annual information returns with the said body and submit relevant statements to their full -time workers about the insurance coverage which the employers are offering this year.
- Online sales-tax
Legislation is expected to resurrect this year because of the relatively large amount tax revenue at stake and businesses should be aware of this.
- Immigration reforms
Employers need to check changes to immigration system which may affect procedures of hiring and staffing especially Form I-9 while, work authorization-documentation and labor gaps have to be address if the authorized employees seek more paying jobs.
- Overtime regulations
Paychex advised that changes to the existing overtime-regulations may be revealed by the US. This may lead to increase in number of workers eligible for overtime-pay.
- New employment related legislation
Local and state governments passing minimum wage increase, is expected to continue this year. The procedures of hiring and employment application need to be adjusted for the employers in jurisdictions.
- Data breach legislation
There is a good opportunity that the congress will ensure that they pass cyber-security legislation this year.
- Retirement changes
The US Treasury will introduce more on its non-mandatory myRA workplace saving program which enables employees to place deferred -funds into a program same as in Roth IRA. Therefore, employees need to get prepared about changes in retirement plan.
- Unemployment tax credits
Federal Unemployment Tax Act credit amount is expected to be reduced this year to assist in paying back the debt.
New trends in technology such as mobile payment and payroll cards are areas of concern this year and the business need to consider putting in place necessary technology to cope with such changes.