GEORGE JOHNSON & COMPANY
Dear Clients and Friends,
In May, we hosted our annual Employee Benefit Plan Client Seminar. For the first time, the seminar was held at the Corner Ballpark (former Tiger Stadium). Norma Sharara of BDO USA, was our keynote speaker who shared current updates including:
- Tax reform and other changes affecting retirement plans in 2019; new IRS procedures for plan corrections, amendments and approvals
- Fiduciary investment advice rule state of play; current DOL enforcement focus areas; Form 5500 updates
- PBGC missing participant program for terminating defined contribution plans; new mediation program for defined benefit plans
- Are all Target Date Funds created equal?
- Are your investment options structured specifically for your plan’s participant demographics?
- Stable Value Vs. Money Market Funds. Which is right for you?
- Personal property tax compliance: eight frequently missed issues that can lead to over-payments
- Eight key tax planning opportunities for 2019
- Employers may soon receive notices about mismatched names and social security numbers on 2018 Form W-2’s
- How employers can calculate nondeductible employee parking expenses, and possibly reduce them
- Deadline approaches for remedial amendments for 403(B) Plans
EIGHT KEY TAX PLANNING OPPORTUNITIES FOR 2019
More than a year after sweeping federal and state tax reform was enacted, businesses of all sizes are still wrapping their arms around the changes. Additional guidance and regulations have been issued nearly every month-indeed, change is the new normal. Strategic tax planning now is key to lowering businesses’ total tax liability. Read on for eight top planning opportunities and considerations businesses should review as part of their 2019 strategy.
EMPLOYERS MAY SOON RECEIVE NOTICES ABOUT MISMATCHED NAMES AND SOCIAL SECURITY NUMBERS ON 2018 FORM W-2’S
The Social Security Administration (SSA) recently announced that it is mailing “Employer Correction Request Notices” to employers and third-party submitters with at least one 2018 Form W-2 where the name and Social Security number (SSN) do not match the SSA’s records. The notice informs the employer that corrections are needed. While receiving the notice does not trigger a penalty, employers who fail to correct “no match” situations could owe IRS penalties (since IRS handles Form W-2 compliance). The announcement includes sample notices that are being sent, step-by-step instructions on how to find and resolve errors, and frequently asked questions.
HOW EMPLOYERS CAN CALCULATE NONDEDUCTIBLE EMPLOYEE PARKING EXPENSES, AND POSSIBLY REDUCE THEM
DEADLINE APPROACHES FOR REMEDIAL AMENDMENTS FOR 403(B) PLANS
Maintaining compliance for 403(b) retirement plans historically has been challenging given the lack of historical regulatory oversight, guidance from the Internal Revenue Service (IRS), and non-profit organizations’ limited resources. But the IRS has taken steps to address this, including publishing a list of providers offering pre-approved prototype plans and creating a remediation period ending in March 2020 for sponsors to self-correct non-compliant plan documents.
Background on 403(b) Compliance and Remediation
Join GJC in welcoming our newly appointed Staff Accountants and Interns…
Austin Reed is currently studying at Eastern Michigan University and is expected to graduate at the end of the year with a BBA in Accounting. He was honored as the recipient of the Emerald Scholarship, which is a 4-year award. He volunteers with the United Way of Washtenaw County in the income tax assistance program. In his spare time, Austin enjoys playing basketball, seeing live music, and trying out new restaurants with friends.
Welcome Alexandra, Peter, Austin and Xavier to
the GJC Team!
The GJC Team at Forgotten Harvest, Detroit
We are happy to share that our Quality Control Principal, Michael Nicholas is celebrating 32 years of service with George Johnson & Company. He joined GJC in 1986 and has been a Principal since 1994. Aside from being responsible for managing all facets of audits, reviews, other attestation engagements, and tax return preparation services for our clients, Mike also maintains our quality control standards. We are fortunate to have him on our team!
GJC is an Independent Member of the BDO Alliance USA