Executive's Tax & Management Report articles from January 2003

Executive's Tax & Management Report archives from January 2003

Low inflation drives changes in tax limits.
January 7, 2003... The Economic Growth and Tax Relief Reconciliation Act of 2001 (EGTRRA) preset the tax rates for 2003. But the income brackets, as well as many other tax-related limitations, are changing based on what turned out to be a low rate of inflation in...

New tax treatment of leave-based donation payments.(Brief Article)
January 7, 2003... If your company has made "leave-based donation payments" on behalf of your employees, keep in mind that the tax treatment of such charitable contributions changes this month. In 2001, the IRS issued interim guidance [Notice 2001-69] on the...

Clip-and-save tax facts for 2003.
January 7, 2003... TAX RATE SCHEDULES Married Filing Jointly and Surviving Spouses If taxable income is... The regular income tax is... Not over $12,000 10% of taxable income Over $12,000 but not over ...

Where is business headed in 2003? (Managing Your Business).(recent survey by The Business Roundtable)
January 7, 2003... The past year has been marked by a declining stock market, corporate accounting scandals, and a faltering economy. Is the picture any brighter for corporate America in 2003? Not according to a recent survey by The Business Roundtable (BRT)....

Bush administration gearing up for tax reform.
January 7, 2003... The Bush administration plans to push several tax-related initiatives in 2003. "I am committed to reducing taxes for all Americans--especially small businesses," the President said in a recent address to Congress. Proposed changes include......

New CONUS per diems released. (Travel & Entertainment).(per diem rates for federal employees' travel)
January 7, 2003... The General Services Administration (GSA) has announced the per diem rates for federal employees' travel within the continental United States (the CONUS rates) that are effective for the GSA's FY 2003--from October 1, 2002, through September...

Substantiation rules updated. (Travel & Entertainment).(IRS rules on business travel )
January 7, 2003... In conjunction with the release of the 2003 CONUS per diem rates, the IRS has updated the substantiation rules for business travel-related lodging, meals, and incidental expenses (M&IE) [Rev. Proc. 2002-63, IRB 2002-41]. As noted in the...

Annual index: January 2002--December 2002.
January 7, 2003... Annual Index January 2002 -- December 2002 Subject Issue Page Business Deductions Business or Entertainment? Deductions Hinge on the Distinction 21 ...

Few employers take advantage of state tax credits for child care. (Executive's Briefcase).(Brief Article)
January 7, 2003... Twenty-eight states have enacted tax credits for employers who provide child-care assistance to their employees, but only a handful of employers claim the tax credit, according to a new study from the National Women's Law Center (NWLC). ...

Officials: new law puts economy back on track. (Executive's Briefcase).(President Bush signes the Terrorism Risk Insurance Act of 2002)(Brief Article)
January 7, 2003... The Terrorism Risk Insurance Act of 2002, recently signed into law by President Bush, will help jumpstart more than $15 billion in real estate transactions that have been cancelled or postponed because owners and investors couldn't obtain...

Interest owed after accounting method change.(Anderson Columbia Co. Inc.)
January 21, 2003... If your company changes accounting methods, the IRS may hold the company liable for interest owed if the Service determines that your company's taxable income increased in the affected year. That's what a federal court recently ruled more than...

Tax reform 2003: what will--and will not--pass.(Brief Article)
January 21, 2003... As reported in the last issue, Washington is gearing up for some tax cuts that would affect businesses and individuals. In addition to proposals from the Bush administration, alternative packages are being formulated. Outgoing Senate Finance...

Company falls into tax trap over employee junket. (Compensation & Benefits).(Townsend Industries Inc.)
January 21, 2003... A company-paid trip where your employees mix business and pleasure is a great way to motivate your workforce. But these excursions can be headed for tax trouble if they're not set up just right--as one company recently found out. RECENT...

Treasury OKs corporate switch-overs to controversial cash balance plans. (Retirement Planning).(issued proposed rules for defined benefit pension plans)
January 21, 2003... Roughly 1,000 companies either have switched or plan to switch their defined benefit pension plan to a cash balance plan. Reason: Cash balance plans are seen as big cost-savers for companies. However, they have been mired in controversy because...

Good news in final rules on loans from qualified retirement plans. (Retirement Planning).
January 21, 2003... The ability to borrow from your company's qualified retirement plan is an important feature that can boost participation. Unfortunately, the IRS was toying with the idea of limiting the number of loans a participant could make during the year....

IRS proposes rules to clear up capitalization of intangibles. (Tax Procedures).
January 21, 2003... Companies have been grappling with murky rules on when to capitalize amounts paid to acquire, create, or enhance intangible assets. Finally, the IRS has issued proposed rules designed to simplify the issue--and the Service has done a good job...

Slash up to 50 percent off your company's HR costs. (Technology).(via the Internet )
January 21, 2003... Companies that roll out a "self-service" system for human resource tasks report dramatic cost savings. A self-service system allows employees and managers to take care of their own HR-related transactions over the company intranet or the...

How companies are improving their budget processes. (Management Strategies).
January 21, 2003... During tough economic times, companies need to have a better handle on expected financial performance. That's where the budgeting process comes in. Companies are using some new techniques to fine-tune the way they prepare budgets. We attended...

New tax relief for defined benefit plans. (Executive's Briefcase).(Brief Article)
January 21, 2003... If your company offers a defined benefit pension plan, you have more time to comply with amended minimum distribution rules published last April. The rules, which were to go into effect in 2003, narrowed requirements regarding the rate at which...

FASB issues new rules on guarantees. (Executive's Briefcase).(guarantee agreement)(Brief Article)
January 21, 2003... A company entering into a guarantee agreement with another party must record an up-front liability stemming from that guarantee when it signs the accord, according to new guidance issued by the FASB. The new rules, prompted by the failure of...

OSHA drops controversial plan for employer onsite safety programs. (Executive's Briefcase).(Occupational Safety and Health Administration)(Brief Article)
January 21, 2003... The Occupational Safety and Health Administration has dropped plans to develop rules that would have pushed employers to implement injury and illness prevention programs at their work sites. This is according to OSHA's semiannual regulatory...