News & Analysis as of

Internal Revenue Service Reporting Requirements Wage and Hour

The United States Internal Revenue Service is a bureau of the United States Department of the Treasury. The IRS is charged with collecting revenue and enforcing the Internal Revenue Code.  
Haynes Boone

IRS Releases Draft 2026 Form W-2 with Overtime and Tips Compensation

Haynes Boone on

The IRS has published a draft of the 2026 Form W-2, which incorporates above-the-line tax deductions for “qualified tips” and “qualified overtime compensation,” as recently established by the One Big Beautiful Bill Act....more

Whiteford

Client Alert: How the “One Big Beautiful Bill Act” Impacts Employers, Employees and Contractors

Whiteford on

The recently enacted One Big Beautiful Bill Act (the “Act”) introduces several significant amendments to the Internal Revenue Code (“IRC”) that directly affect U.S. employers and employees. Key provisions—particularly the...more

Littler

IRS Publishes Draft Revised Form W-2 in Response to No Tax on Tips and No Tax on Overtime Reporting Requirements

Littler on

On July 4, 2025, President Trump signed into law the so-called “One Big Beautiful Bill Act.” The Act established new above-the-line tax deductions for “qualified tips” and “qualified overtime compensation.” To facilitate...more

Pillsbury Winthrop Shaw Pittman LLP

Navigating Tip and Overtime Deductions Under the OBBBA: What Employers Need to Know Now

New federal tip and overtime deductions effective in 2025 require employers to reassess payroll, reporting and compliance practices across jurisdictions. The OBBBA introduces new federal deductions for qualified tips and...more

McGlinchey Stafford

Tax Deductions on Tips and Overtime Under Trump Tax Plan

McGlinchey Stafford on

On July 4, 2024, President Trump signed the “Big Beautiful Bill,” which contains two provisions that provide federal income tax deductions on both tips and overtime compensation beginning January 1, 2025, through December 31,...more

Haynes Boone

The One Big Beautiful Act Explained for Employers: What It Means for Overtime, Tips and Taxes

Haynes Boone on

On July 4, 2025, President Trump signed the One Big Beautiful Bill Act (OBBBA) into law. It includes two federal tax deductions for a portion of an eligible worker’s tips and overtime earnings. Effective for 2025 through...more

Whiteford

Employment Law Update: New Overtime Tax Law Increases Employer Recordkeeping Obligation

Whiteford on

The Administration’s “Big Beautiful Bill” includes a new overtime tax provision, broadly described as “No Tax on Overtime.” More accurately, the Bill allows an employee tax deduction of a portion of overtime payments, up to a...more

Vedder Price

One Big Beautiful Bill Act’s No Tax On Tips and Overtime Provisions Prompt Important Questions and Considerations for Both...

Vedder Price on

On July 4, 2025, President Donald Trump signed the “One Big Beautiful Bill Act” (OBBBA) into law. The expansive federal tax and spending bill contains two provisions touching on extant wage and hour law that may have...more

Blank Rome LLP

What the New Tax Treatment of Overtime Pay and Tips Means to Employers

Blank Rome LLP on

The One Big Beautiful Bill (“OBBB”), signed by President Trump on July 4, 2025, allows workers (subject to dollar and income limitations) to deduct, on their U.S. federal income tax return, overtime payments and tips that...more

Seyfarth Shaw LLP

1 Big Bill + 2 New Deductions = Multiple New Challenges

Seyfarth Shaw LLP on

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

Conn Maciel Carey LLP

The One Big Beautiful Bill’s Overtime and Tax Provisions – Employer Consequences

Conn Maciel Carey LLP on

As we await the House of Representatives’ vote on the One Big Beautiful Bill, let’s highlight two key provisions that may soon impact employers and employees alike. The Senate bill under consideration before the House of...more

Amundsen Davis LLC

Illinois Minimum Wage 2025 Update – July 1, 2025 Increases to Chicago and Cook County Minimum Wages; January 1, 2025 Increase to...

Amundsen Davis LLC on

On January 1, 2025, we saw the Illinois minimum wage increase from $14.00 to $15.00 per hour. The City of Chicago is increasing its set minimum wage on July 1, 2025 for employers with four (4) or more employees. Cook...more

Ruder Ware

IRS Issues New Guidance for Complying with Paid Sick and Family Leave Reporting Requirements

Ruder Ware on

Way back in March, as the pandemic began to set in, Congress quickly passed the Families First Coronavirus Response Act (the Act) as part of a barrage of legislation aimed at providing relief to American workers. The Act...more

Holland & Hart LLP

DOL Finalizes FFCRA Regulations

Holland & Hart LLP on

After days of uncertainty and looming deadlines created by the Families First Coronavirus Response Act (FFCRA), the DOL has finally issued some definitive regulatory guidance, as well as twenty new Q&As to its list of...more

Epstein Becker & Green

New EEO-1 Component 2 Wage/Hour Reporting Portal Now Open for Mandatory September 30 Filing

Epstein Becker & Green on

The U.S. Equal Employment Opportunity Commission (“EEOC”) recently announced that its 2019 EEO-1 Component 2 portal is now open and accepting submissions. Employers with this requirement have only 50 days from August 11,...more

Verrill

Handling Missing Participants under Code Section 409A

Verrill on

Deferred compensation payments are due to one of your former executives, but the former executive is nowhere to be found. You know that the IRS has strict timing rules for payments subject to Code Section 409A (but maybe not...more

Proskauer - Blockchain and the Law

When Filing Taxes, Don’t Forget Virtual Currency Income

In a March 23 news release, the IRS reminded taxpayers that income from virtual currency transactions must be reported on income tax returns, and that certain virtual currency transactions are taxable like any other property...more

Sullivan & Worcester

Employment & Benefits News and Developments

Sullivan & Worcester on

NEW TAX LAW MAKES CHANGES TO COMMUTING BENEFITS - ...The Tax Cuts and Jobs Act of 2017 (“TCJA”) generally eliminates employer deductions for commuter transportation and parking fringe benefits. This includes deductions...more

Jones Day

Employer Mandate Penalty Letters from the IRS Are on the Way

Jones Day on

In the next few months, the IRS will begin sending letters notifying employers that they may owe a penalty for failing to offer health coverage under the Affordable Care Act's Employer Mandate for the 2015 calendar year. The...more

Bradley Arant Boult Cummings LLP

Blacklisting for Past Labor Violations -- Executive Order 13673

Officially known as “Fair Pay and Safe Workplaces,” Executive Order 13673 now consists of proposed guidance from the Department of Labor (DOL) and proposed regulations from the Federal Acquisition Regulatory Council (FAR). It...more

Akin Gump Strauss Hauer & Feld LLP

Labor and Employment Federal Regulatory Reporting and Other Requirements in the First Quarter of 2015

There are several important dates that employers should keep in mind during the first quarter of 2015. While some are long-standing requirements, others are the product of recent regulatory action by the Obama administration....more

Ogletree, Deakins, Nash, Smoak & Stewart,...

The Employment Law Authority - October/November 2014

In This Issue: - Employee Benefits. Recent IRS letter reminds employers about issues associated with offering “free” parking - State Round-Up. Learn about the latest employment law news in your state -...more

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