New tax credits will require changes to how payroll is calculated
Intuit Payroll is making it easy for employers to get President Obama’s economic stimulus tax credit dollars into their own and their employees’ pockets.
The stimulus package, known as the American Recovery and Reinvestment Act of 2009, includes new tax credits and other assistance that while beneficial, will require changes to how payroll is calculated. It provides up to $400 of tax credits per eligible individual or up to $800 per eligible couple.
Getting the tax credits will require employers using spreadsheets and other manual payroll methods to stay on top of all the new laws and change how they handle payroll tax withholdings to accurately issue credits for each employee. The IRS asks that employers calculate federal withholding and advance earned income credit payments with the new tables just issued as soon as possible, but no later than April 1st, 2009.
Intuit Payroll is helping ensure that the more than one million businesses using Intuit Payroll Services – and the more than 12 million employees paid with them – can take advantage of the new tax benefits while keeping their payroll in full compliance with the new legislation.
“Our software and services can help everyone get the most out of this new tax benefit,” said Cameron Schmidt, director of Intuit’s Payroll Services Division. “We’re committed to taking the worry out of payday and making it easier for our customers to pass these credits to employees by keeping ahead of payroll tax law changes and updating our software and services accordingly.”
Intuit Payroll Services plans to accommodate the stimulus package in several ways. The company will update federal and state tax tables to reflect the government’s new tax credits pending approval from the IRS. As the IRS releases information and guidance, Intuit will also update required payroll tax forms, such as Form 941 – the Employer’s Quarterly Federal Tax Form – for reporting new COBRA premium assistance payments.
Intuit Payroll will provide updated tax tables at no additional cost to customers. In fact, up-to-date tax tables are a standard feature and ongoing benefit of an Intuit Payroll subscription.
Why not let Intuit Payroll handle the burden of tracking these changes so you can focus on running your business? Over one million small businesses trust us to do just that already, more than any other payroll service.
Special Limited Time Offer: 6 Months FREE of Intuit Online Payroll, then just $9.95 per month.
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Laura Gonzalez President of Virtual Business Solutions, providing Business and Website Consultant and Coach. Specializing in teaching professionals how to leverage the internet and their website as a tool to generate new customers, increase sales and be more productive.
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