Are Gifts to Employees Taxable?

Are Gifts to Employees Taxable?

Generally when an employer gives a gift to an employee the value of the gift is taxable income to the employee and tax deductible as wages to the employer. These gifts must be processed properly through payroll and reported on the employee’s annual Form W-2 as taxable...
Can I Deduct Donated Time or Services?

Can I Deduct Donated Time or Services?

Unfortunately, the short answer is, “No”. The IRS does not allow the deduction of time spent or services provided at no cost even if provided to a non-profit organization.   This short article from the IRS lists some expenses that may be deductible when incurred...
Work Opportunity Tax Credit (WOTC)

Work Opportunity Tax Credit (WOTC)

The Work Opportunity Tax Credit (WOTC) is a Federal tax credit available to employers for hiring and employing individuals from certain target groups including: Veterans Recipients of “Temporary Assistance for Needy Families” Food stamp recipients Designated community...
Temporary Employee vs Permanent Employee

Temporary Employee vs Permanent Employee

There are no federal laws defining how long an employee can be considered “temporary.” The time frame can vary based on an organization’s budget considerations and business needs.  Best practices for temporary employees include setting clear parameters for the time...
Nebraska Microenterprise Tax Credit

Nebraska Microenterprise Tax Credit

If you are starting a new business and/or expanding your existing small (less than six full-time equivalent employees) business in any of the following ways, you could be eligible for a Nebraska tax credit of up to $20,000: New large (>$2,500) asset/equipment...