News & Analysis as of

Employer Liability Issues Tax Deductions New Legislation

Keating Muething & Klekamp PLL

Two Big Beautiful Tax Deductions: What Employers Need to Know

On July 4, 2025, President Donald Trump signed the “One Big Beautiful Bill” into law. Among its sweeping provisions are two significant changes for wage and hour compliance that employers should be aware of: the creation of...more

Sheppard Mullin Richter & Hampton LLP

What Employers Should Know About the One Big Beautiful Bill Act (OBBBA)

On July 4, 2025, H.R.1, or what is being called the One Big Beautiful Bill Act (“OBBBA”), was signed into law, introducing major reforms in tax and employee benefits that affect businesses and their employees. OBBBA is an...more

Eversheds Sutherland (US) LLP

One not-so-big summary of the compensation and benefits law changes in the One Big Beautiful Bill Act

The One Big Beautiful Bill Act (Act), signed into law on July 4th, contains a number of provisions that will impact employee compensation and benefits. Employers and service providers should start considering the following...more

Seyfarth Shaw LLP

1 Big Bill + 2 New Deductions = Multiple New Challenges

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The freshly enacted “One Big Beautiful Bill” introduces two above-the-line tax deductions for tips and overtime wages. While these deductions offer potential savings for eligible workers, they come with new compliance...more

Miles & Stockbridge P.C.

Non-Disclosure Agreements and Arbitration Clauses in the #MeToo Era

With the proliferation of the #MeToo movement in late 2017 came concerns over the role that employment contracts and settlement agreements played in concealing abuse by high-level executives. Confidentiality, non-disclosure...more

Payne & Fears

Non-Disclosure Agreements in the World of #MeToo

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The #MeToo movement and recent wave of sexual harassment claims against high-profile indivduals has greatly increased scrutiny of the use of nondisclosure agreements in settlement agreements involving sexual misconduct...more

Best Best & Krieger LLP

[WEBINAR] Labor & Employment Law: What Changed in 2017

Best Best & Krieger Labor & Employment attorneys discussed new legislation and case law impacting California employers - private and public. What Was Discussed -Legislation passed in 2017 -Wage and hour update ...more

Jones Day

U.S. Tax Reform Denies Deductions for Confidential Sexual Harassment Settlements

Jones Day on

The recently enacted tax reform bill includes a provision that significantly affects how employers settle sexual harassment claims. Section 13307 of the Tax Cuts and Jobs Act provides that no deduction is permitted for...more

Bricker Graydon LLP

No tax deduction for sexual harassment payments subject to NDAs

Bricker Graydon LLP on

Parts of the Tax Cuts and Jobs Act that took effect January 1, 2018, have amended Section 162 of the Internal Revenue Code to eliminate tax deductions for settlements, payouts and attorney’s fees “related to sexual harassment...more

FordHarrison

Be My Valentine! – BUT First Please Review and Sign Below

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Executive Summary: This Valentine’s Day, employers across industries were reevaluating their workplace dating and sexual harassment policies. Various surveys show that 40 percent of workers date or have dated co-workers. ...more

Troutman Pepper Locke

Confidential Harassment Settlements No Longer Subject To Tax Deduction

Troutman Pepper Locke on

Q.  Has the #MeToo Movement led to any changes on how companies settle harassment complaints? A.  While there are numerous legislative initiatives on the horizon intended to change how employers handle harassment...more

Perkins Coie

New Tax Bill Eliminates Deductibility of Confidential Sexual Harassment Settlements

Perkins Coie on

Although business-related settlement payments (and attorneys’ fees) are generally tax-deductible, the 2017 Tax Cuts and Jobs Act (the Tax Act) restricts an employer’s ability to obtain tax deductions for settlements of sexual...more

Seyfarth Shaw LLP

Sexual Harassment Legal Settlements: What Employers Need To Know About The New Tax Act

Seyfarth Shaw LLP on

Seyfarth Synopsis: The new Tax Act prohibits employers from deducting payments to individuals alleging sexual harassment or sexual abuse if the settlement or payment requires the Claimant to execute a nondisclosure agreement....more

FordHarrison

Another Employer Deduction Bites the Dust

FordHarrison on

You have probably heard about the many tax deductions that you are losing (or have lost) as a result of the new tax law (known as the Tax Cuts and Jobs Act, or TCJA). But, if you are an employer, one that you may not have...more

Littler

Lawmakers Take Aim: Will #MeToo Curb Nondisclosure or Arbitration Agreements?

Littler on

In 2017, the #MeToo movement highlighted the prevalence of sexual harassment in the workplace, toppling prominent figures in numerous fields. Sexual harassment has been unlawful for decades, of course, yet this vexing problem...more

Snell & Wilmer

To Disclose or Not to Disclose, That Will Be the Question

Snell & Wilmer on

Whether it be a Hollywood mogul, a renowned politician or a formerly respected executive, it is clear from the Me Too and Time’s Up movements that the voices seeking and stands taken to uncover and prevent sexual harassment...more

Cozen O'Connor

Sexual Harassment Lawsuits Just Got Tougher to Settle

Cozen O'Connor on

Just like the infamous line that Congress had to pass the Affordable Care Act to know what was in it, it seems we had to pass the new tax law to find out all of the hidden surprises. One item that received little publicity...more

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