New Jersey Qualified Plan Mandate and Qualified Plan Document Deadlines Approaching
New Jersey Employer Qualified Plan Mandate. On March 28, 2019, New Jersey Governor Phil Murphy signed A4134 https://www.njleg.state.nj.us/2018/Bills/PL19/56_.HTM into law, establishing the New Jersey Secure Choice Savings Program (“Program”). The legislation requires employers with 25 or more employees that have been operating for 2 or more years that do not…
New Jersey Extends Retirement Income Exclusion
The State of New Jersey, recently reduced many retirees’ income taxes by extending a limited pension and retirement income exclusion to taxpayers with gross income exceeding $100,000 but not more than $150,000. New Jersey does not tax Social Security benefits or military pensions. Since 2000, New Jersey has provided taxpayers…
Tax Advisors May Now Sue IRS
In CIC Services LLC v. Internal Revenue Service decided in May 2021, the United States Supreme Court held the Anti-Injunction Act (AIA), section 7421(a) of the Internal Revenue Code (Code), does not preclude a pre-enforcement challenge to an IRS notice enforced through civil and criminal penalties. The AIA generally precludes…
Biden Administration Releases Fiscal Year 2022 Budget with a Revenue “Greenbook”
On May 28, 2021, the U.S. Department of the Treasury released its “Greenbook,” which are explanations of the Biden Administration’s 2022 Revenue Proposals. This book provides additional information on proposals previously announced as American Families Plan and the Made in America Tax Plan. Many of these proposals center on improving…
EFPCSNJ Awards Arthur DiPadova 2021 Founders Award
Kulzer & DiPadova congratulates Arthur DiPadova as he is awarded the 2021 Founders Award presented by the Estate and Financial Planning Council of Southern New Jersey at the June 3rd Installation and Awards Reception. The EFPC Founders’ Award recognizes individuals who have “provided distinguished service to the estate and financial…
The repeal of step-up in basis and change in capital gains rates will adversely affect buy sell agreements
On April 28, 2021, the White House released The American Families Plan (the “Act”), which included new details about the Biden administration’s proposed 2021 tax reform. The tax changes are expected to be enacted this year but the effective date of the provisions are generally expected to be January 1,…
President Biden Announces his Proposed Tax Changes under the American Families Plan
On April 28, 2021, President Biden announced the American Families Plan (the “Plan”), which continues many tax provisions of the American Rescue Plan signed into law by President Biden in March of 2021, and reverses many provisions of the Tax Cuts and Jobs Act (TCJA) signed into law by former…
Worker Misclassification of Limited Liability Companies and Corporations
Worker misclassification is the practice of improperly classifying workers as independent contractors, rather than employees. A task force was established by Governor Murphy to investigate worker misclassification. The Task Force found that employers which misclassifying their employees as independent contractors fail to pay as much as thirty (30%) percent of…
PPA Loan Forgiveness and Basis Adjustments
The American Institute of Certified Public Accountants (AICPA) has recently requested guidance from the United States Treasury on Pass Through Entity Basis Adjustments resulting from PPP Loan Forgiveness, in particular, in the timing of the Adjustment. The Consolidated Appropriations Act, enacted December 27, 2020, resolved the issue of whether expenses…
Proposed Changes to the Estate and Gift Tax Begin to Emerge
On March 25, 2021, Senator Bernie Sanders introduced the “For the 99.5% Act,” under which he proposes, with the aim of targeting the top 0.5% of wealthy Americans, significant changes to the estate, generation-skipping transfer, and gift tax regimes. Below is a summary of the changes and the date the…