Treasury, IRS Announce Special Relief to Encourage Leave-Donation Programs for Victims of Hurricane Sandy

Here is a word from the Goodfellas at the IRS and The Treasury Department:

As part of the administration’s efforts to bring all available resources to bear to support state and local partners impacted by Hurricane Sandy, the Treasury Department and the Internal Revenue Service announced special relief intended to support leave-based donation programs to aid victims who have suffered from the extraordinary destruction caused by Hurricane Sandy.

Under these programs, employees may donate their vacation, sick or personal leave in exchange for employer cash payments made to qualified tax-exempt organizations providing relief for the victims of Hurricane Sandy.

Employees can forgo leave in exchange for employer cash payments made before Jan. 1, 2014. Under this special relief, the donated leave will not be included in the income or wages of the employees. Employers will be permitted to deduct the amount of the cash payment. Details on this relief are in Notice 2012-69.

Hero: Employers Hiring Veterans by Year’s End May Get Expanded Tax Credit

Here is a word from the Goodfellas at the IRS:

Employers planning to claim an expanded tax credit for hiring certain veterans should act soon, according to the IRS. Many businesses may qualify to receive thousands of dollars through the Work Opportunity Tax Credit, but only if the veteran begins work before the new year.

Here are six key facts about the WOTC as expanded by VOW to Hire Heroes Act of 2011.

1. Hiring Deadline: Employers may be able to claim the expanded WOTC for qualified veterans who begin work on or after Nov. 22, 2011 but before Jan. 1, 2013.

 

2. Maximum Credit: The maximum tax credit is $9,600 per worker for employers that operate for-profit businesses, or $6,240 per worker for tax-exempt organizations.

 

3. Credit Factors: The amount of credit will depend on a number of factors. Such factors include the length of the veteran’s unemployment before being hired, the number of hours the veteran works and the amount of the wages the veteran receives during the first-year of employment.

 

4. Disabled Veterans: Employers hiring veterans with service-related disabilities may be eligible for the maximum tax credit.

 

5. State Certification: Employers must file Form 8850, Pre-Screening Notice and Certification Request for the Work Opportunity Credit, with their state workforce agency. The form must be filed within 28 days after the qualified veteran starts work. For additional information about your SWA visit the U.S. Department of Labor’s WOTC website.

 

6. E-file: Some states accept Form 8850 electronically.

 

Visit the IRS.gov website and enter ‘WOTC’ in the search field for forms and more details about the expanded tax credit for hiring veterans.

Yeah I Love Soda, Pick Your Own Poison: Soda tax ballot measures fizzle in California

I'm not a smoker and I rarely drink alcohol (at least now) but I do LOVE my soda. We have to die of something.

Mitt Romney wasn't the only loser in the elections. Voters in two California cities rejected measures that would have imposed the nation's first penny-per-ounce taxes on businesses that sell sodas and other sugary drinks in an effort to boost municipal revenue and fight obesity.

In El Monte, 76.8 percent of voters said no, while in Richmond, 66.9 percent opposed the measure, according to final results from last Tuesday's election.

Calls to tax sugary drinks have gathered steam as more cities and states struggle to close budget gaps and American waistlines continue to expand.

The American Beverage Association - which represents PepsiCo Inc, Coca-Cola Inc, Dr Pepper Snapple Group Inc and other beverage companies - has spent millions of dollars to beat back soda taxes around the country. The ABA has a strong record of defeating soda tax efforts.

Even though I'm about 6'5 and 90 pounds, I do love my soda. Please don't make it more expensive. All soda drinkers are not obese. Taxes will not stop an obese person from drinking Pepsi.