Recent Updates

Massachusetts HIRD deadlines are approaching

Monday, December 4, 2023
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Massachusetts

Please complete your HIRD form filing online via MassTaxConnect before December 15. Massachusetts law requires certain employers to file an annual Health Insurance Responsibility Disclosure (HIRD) form containing information about employer-sponsored health benefits offerings.

IRS Announces 2024 Benefit Plan Contribution Limits

Monday, December 4, 2023
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Federal Compliance Update
On Nov.  9, 2023, the Internal Revenue Service (IRS) announced via Revenue Procedure 2023-34 the dollar limitation for 2024 on employee salary reductions for contributions to health flexible spending accounts; the monthly limitation regarding the aggregate fringe benefit exclusion amount for transportation in a commuter highway vehicle and any transit pass; and the maximum amount that can be excluded from an employee’s gross income for the amounts paid for qualified adoption expenses furnished pursuant to an adoption assistance program.

Ohio Enacts Recreational Marijuana Law

Monday, December 4, 2023
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Ohio
Voters in Ohio approved a ballot measure, An Act to Control and Regulate Adult Use of Cannabis (the Act), which legalizes recreational marijuana. The law takes effect on Dec. 7, 2023.

Colorado requires new annual notice - Updated

Monday, December 4, 2023
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Colorado
The Colorado Department of Revenue has released a model notice to satisfy the notice requirement.   Colorado employers should review the model notice instructions carefully and distribute the notice to employees accordingly.

Alabama Enacts Bill Regarding Taxability of Overtime Wages

Monday, December 4, 2023
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Alabama

As previously announced and as described in the ADP TotalSource's Insights and Solutions bulletin, in June 2023, Alabama enacted House Bill 217  (HB 217 or the Bill), which excludes from gross income for state income tax (SIT) purposes amounts received by a full-time hourly wage-paid employee as compensation for work performed in excess of 40 hours in a week.  This exclusion goes into effect for overtime wages paid beginning Jan. 1, 2024, and is currently scheduled to end on June 30, 2025.

Illinois - Chicago To Phase Out Tipped Minimum Wage

Thursday, November 2, 2023
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Federal Compliance Update
The Chicago City Council has voted to phase out the tip credit that employers are currently allowed to use when paying tipped employees. Historically, Chicago allowed employers to pay tipped employees at a rate below the city's minimum wage, provided the tips received bring the worker’s earnings to at least the full minimum wage.

Pension Plan Limitations for 2024 Provided by IRS

Thursday, November 2, 2023
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Federal Compliance Update
On Nov. 1, 2023, the Internal Revenue Service (IRS) announced via Notice 2023-75, the cost-of-living adjustments applicable to dollar limitations for pension plans and other items for tax year 2024.
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