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With recent enforcement measures, the IRS has offered definitive proof that the Affordable Care Act (ACA) is still alive and that the agency plans to strictly enforce ACA reporting. Last spring, the agency issued Letter 226J to Applicable Large Employers (ALEs) that failed to cover 95 percent of employees. ALEs are companies with 50 or […]
UPDATE (Jan. 8): Reporting season is moving forward according to plan. The IRS has announced that it will process tax returns on schedule and without delays. While the agency will clarify its contingency plan in the coming days, organizations should proceed as planned with 1099 reporting and other seasonal filings. The IRS will recall a […]
2018 was a volatile year in indirect tax compliance for tax, finance and IT professionals worldwide. With an increase in globalization and tax gaps surpassing tens of billions in some countries, it’s not surprising that one of the biggest challenges governments are addressing is revenue collection. Like enterprises, governments are creating new, technology-driven processes to […]
Automatic Exchange of Information, or AEOI, has picked up serious momentum since 2015 and continues to grow, a new European Commission study shows. One important element in managing AEOI is assigning tax identification numbers (TINs), a trend that should grow as AEOI expands. AEOI involves the exchange of asset information among countries via a protocol […]
Affordable Care Act (ACA) reporting requirements for eligible employers remain in effect for Tax Year 2018 despite a ruling last week from a federal judge that held that the law is unconstitutional without penalties to enforce an individual mandate to purchase health insurance. With no injunction in place to shut down the law, the ACA […]
Season for Tax Year 2018 has arrived, meaning tax professionals will have to carry out reporting while keeping in mind all the regulatory and policy changes that went into effect in the previous year. But what should tax pros know about the developments likely to take place in 2019? Here are a few trends worth […]
If there’s one lesson to take from 2018, it’s that tax information reporting isn’t getting any easier. Tightened deadlines, new forms and the end of the extension of time for reporting form 1099-MISC with nonemployee compensation are sure to cause some chaos when reporting season kicks off in January. In fact, 2018 ushered in a […]
The IRS is getting ready to inundate tax professionals with guidance on taxation of cryptocurrency. When, exactly, that will happen is unclear. What is clear, however, is that the agency plans to enforce existing 1099 reporting regulations for crypto for now, something it has already shown a willingness to do. The question is how those […]
In my last blog, I discussed three additional challenges of native SAP tax management for growing companies facing multifaceted indirect tax requirements and continuous compliance mandates. These ranged from sales and use tax nexus rules to VAT requirements and filings. Additional challenges your IT, finance and tax teams face from native ERP tax management due […]
Tax compliance is moving up the priority list as companies migrate from ECC to S/4HANA and S/4HANA Cloud. Multinationals recognize the inefficiencies of SAP-native compliance as government mandates redefine sales and use tax, e-invoicing, and VAT compliance and reporting requirements. Financial systems that were originally implemented to help manage growth are now hindering it. IT […]
It’s clear that company leaders understand that digital transformation is key for their very survival in a world of constant disruption, but only a small percentage actually have finished a company-wide transformation – opening the door to potential problems from lost customers to tax compliance issues. An SAP survey finds that 84% of 3,000 executives […]
The information technology (IT) and risk departments in most organizations have generally had little to do with each other outside of specific tasks. However, now that some of the biggest potential risks companies face involve data security, a new effort seeks to help IT and risk experts speak a common language, coming together to quantify […]
Deborah Pflieger is a principal and leader of Ernst & Young’s information reporting and withholding practice. She tracks changes and trends in 1099 tax information reporting and will present on the topic at the 2018 Sovos Intelligent Reporting Summit in Denver in October. Pflieger recently spoke with Sovos about reporting trends that have caused concern […]
Candace Ewell, principal in the appropriately named Tax Controversy and Regulatory Services team at PwC, recently spoke to Sovos about form 1099-K, which has become a focal point for the IRS, states and companies in the sharing economy. She will present on the topic of the 1099-K at the Sovos Intelligent Reporting Summit in Denver […]
Christopher Emerson is founder of White Oak Security, a company that tests the security of its clients’ business-critical systems by attacking them. Emerson will speak at the Sovos Intelligent Reporting Summit in Denver in October. Here, he talks about why companies still fail to secure their most important information adequately and what they can do […]
The IRS has officially announced they are eliminating the automatic 30-day extension of time for the 1099-MISC with Nonemployee Compensation. This move forces organizations with large amounts of independent contractors to question current tax information reporting processes, ensuring they don’t endure the same challenges faced from the original PATH Act deadline changes. PATH Act History […]
The Pennsylvania Department of Revenue recently unveiled a set of 1099 reporting requirements that will alter the landscape of reporting in the Keystone State. One regulation in particular will come as a welcome relief for institutions that report large volumes of 1099-R forms. Pennsylvania will allow multiple distribution codes for one person or entity to […]