payroll taxes - The S Corporation Association

The President’s Budget

One of the challenges of political advocacy is to separate real from imagined threats. For S Corps, the threat of increasing payroll taxes on S Corp profits continues to be very real indeed, despite the best efforts of a broad coalition of business groups to educate policy makers on why the proposals on the table are bad policy and bad economics. For example, the attached BNA story is about a relatively narrow proposal in the President’s new budget to increase collections of payroll taxes from companies that lease employees to other businesses.

At first blush, it’s not really about S Corps. …

(Read More)

admin2019-02-06T18:48:17+00:00February 10, 2006|

S-CORP Victory in Senate Tax Bill; S Corporation Reform Legislation Introduced in the House!

November has been an active and exciting month for the S Corporation Association and we have much to be thankful for:

TWO S corporation modernization provisions approved by the Senate as part of a larger tax package
Efforts to oppose increased payroll taxes on S corporations continue to be successful
Congressman Clay Shaw along with Congressman Jim Ramstad introduce S corporation reform legislation in the House
Joint Committee on Taxation estimates revenue loss on built-in gains tax relief legislation

Before adjourning for a three-week recess, the Senate approved its reconciliation tax package that includes two provisions from the Subchapter S modernization and reform bill that …

(Read More)

admin2019-02-06T18:48:18+00:00November 29, 2005|

Tax Relief Delayed - Pressure for Offsets Grows

Congress returns to legislative business this week following a week long Columbus Day recess. With numerous outstanding issues for Congress to consider before adjourning for the year (possibly by Thanksgiving, but December remains a distinct possibility), the small and family owned business community must continue to be vigilant for any misguided efforts to raise payroll taxes on S Corps and other small businesses.

The first priority of the tax writing committees continues to be legislation to encourage the physical restoration of the areas hit by Hurricane Katrina. Both the Senate Finance Committee and the House Ways and Means Committee are expected …

(Read More)

admin2019-02-06T18:48:18+00:00October 18, 2005|

S CORP ALLIANCE CONTINUES TO MAKE HEADLINES!

For those who missed it, Monday’s Congress Daily does an excellent job of outlining the challenge confronting S Corporations and other flow-through businesses as Congress prepares to take up reconciliation, tax reform, an extension of expiring tax provisions, and other tax legislation this Congress. Continued interest by the press regarding the Joint Committee’s recommendation is a clear signal this issue is not going away…

JCT and the Treasury Department’s Inspector General for Tax Administration have proposed changing the rules to ensure that payroll taxes are levied on all a firm’s income, regardless of how it is counted. Concern in the small …

(Read More)

admin2019-02-06T18:48:18+00:00August 11, 2005|

INCREASED S CORP SCRUTINY

INCREASED S CORP SCRUTINY — JULY 28TH, THE HILL

Yesterday’s “The Hill” takes a look at the two challenges facing the S Corp community today- by modernizing S Corp rules to ensure S Corporations continue to thrive, and blocking misguided proposals to apply payroll taxes to all S Corporation income, regardless if that income is due to capital investment or even distributed to shareholders. Full article is attached below.

IRS FOCUSED ON S CORPS: JULY 27th, WALL STREET JOURNAL

Wednesday saw another story in the Wall Street Journal on the IRS’s plan to conduct special audits of 5,000 S Corps over the next …

(Read More)

admin2019-02-06T18:48:18+00:00July 29, 2005|