Tags: Affordable Car Act, Church, Healthcare
Healthcare Implementation Delayed
This isn’t “new” news anymore, but as we haven’t been on the blog in a while, we thought it important enough to post even if a bit delayed. As you may be heard, the federal government has decided to delay the full implementation of Affordable Care Act out of concern that employers simply were not ready to meet the mandates by 2014. Here is a link to the official treasury statement on the delay: http://www.treasury.gov/connect/blog/Pages/Continuing-to-Implement-the-ACA-in-a-Careful-Thoughtful-Manner-.aspx
Tags: Church, IRS, Pastor tax, Tax
The IRS announced earlier this week that it is now accepting all forms but has also said that the Modernized e-File Production system is taking longer than normal to generate acknowledgement. With the delay of the filing season, there surely was quite a queue of tax returns waiting for the IRS to accept certain forms. This should only be a temporary issue but only time will tell.
For more information, see: http://www.accountingtoday.com/news/IRS-Swamped-Tax-Filings-65949-1.html.
Tags: Churches, NFL, Superbowl
In short, yes, but there are stipulations. First off, it’s probably best to avoid the use of the term “Super Bowl” as it is protected trademark of the NFL. Secondly, a church should only use equipment that it uses on an ongoing basis for ministry purposes(i.e. don’t rent anything) and must show the event “live.” Lastly, the church shouldn’t charge admission. The NFL has stated that they are OK with churches taking donations to defray cost, but admission charges are not permitted.
Tags: Churches, Healthcare
We get asked this question a good amount as the law goes into effect less than a year from now. The very first place we go to answer that question is to determine if the ministry is a “Large Employer” and therefore, likely subject to the law. To be considered a large employer, in short, you must have 50 full-time equivalent employees (FTE’s). If you have well below 50 employees, then you can assume you are not subject to the law; easily more than 50 employees, that you are; and somewhere in between, you will need to follow the guidelines for determining number of FTE’s. If you need help with that determination, someone at ChurchShield would be happy to help you.
Tags: 2012, 2013, Pastor tax, Tax, tax season
The IRS has announced that filing season will begin on January 30th for many taxpayers but not all. Not all forms will be updated by January 30th and thus not all taxpayers will be able to file. The IRS has not released a timeline for the form availability of those forms that will not be ready by January 30th.
For more information, see: http://www.journalofaccountancy.com/News/20137144.htm.
As the end of the year approaches, don’t forget that 1099’s are due January 31st. Our accounting department uses December to review which vendors our clients are missing W-9’s for so that we can get them collected them prior to the deadline. The penalty for not filing a 1099 or filing one incorrectly isn’t all that expensive but they can certainly add up. Here is a link to the IRS W-9 form that you are to use to collect the appropriate information: http://www.irs.gov/pub/irs-pdf/fw9.pdf.
The standard mileage rate will increase 1 cent per mile on January 1, 2013 to 56.5 cents per mile.
Medical and moving rates will also increase 1 center per mile to 24 cents per miles.
The per mile rate for charitable purposes, which is set by statute, will remain 14 cents per mile.
Tags: Churches, Health Care, Healthcare
We came across this article from Anthem BlueCross BlueShield about a changing perspective with regard to how we buy healthcare. We agree, simply paying more for health care doesn’t mean that you are getting better health care. Every employer’s health care situation is different, but one thing is for sure, how we approach health care will surely change as we move into the future. Here is the link: http://news.anthem.com/bcp/index.php/articlepreview/index.html/dont_purchase_health_care_by_the_pound
As you may be aware, there has been a court case bouncing around the courts the past couple years that pertains to minister’s housing allowance. Last year a minister won a court case allowing him to exclude from income housing expenses on two homes in the same year. The victory was short lived as the decision was eventually overturned. He appealed to the Supreme Court, but the Supreme Court has denied to hear the case. You can see the details here: http://www.supremecourt.gov/orders/courtorders/100112zor.pdf
As you may recall, last year a payroll tax holiday was passed by Congress lowering the amount of Social Security tax paid by employees making less than $110,000 from 6.2% to 4.2%. This tax cut is set to expire at year end and it seems unlikely that it will be extended. This will cause a drop in most employee’s net pay. For example, an employee making $50,000 will take home $1,000 less in 2013 than they did in 2012.