News & Analysis as of

Wage and Hour Tax Reform

Husch Blackwell LLP

Important New Reporting Rules for Overtime Pay and Tipped Income

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With the passage of the new federal tax bill on July 4, 2025, unofficially referred to as the One Big Beautiful Bill Act (OBBBA), employers and employees in overtime-heavy and tipped industries face new opportunities and...more

McAfee & Taft

New law offers "big beautiful" federal tax deductions on tips and overtime

McAfee & Taft on

On July 4, 2025, President Trump signed the “One Big Beautiful Bill” (OBBB) into law, which contains two key provisions that are likely to be very popular with employees. Those provisions provide federal income tax deductions...more

McNees Wallace & Nurick LLC

What’s Next for Tax on Tips and Overtime Wages?

With the passage of President Trump’s signature One Big Beautiful Bill, all the chatter about eliminating tax on tips and overtime wages has become something of a reality. However, the details of how the elimination of these...more

Blank Rome LLP

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

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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

Saul Ewing LLP

New Provision Provides Above-The-Line Deduction for Overtime Pay

Saul Ewing LLP on

The new tax legislation, part of the "One Big Beautiful Bill", includes a temporary tax break for overtime pay, allowing eligible workers to deduct a portion of their overtime earnings from their federal income taxes. Section...more

Ballard Spahr LLP

President Trump’s Budget Extends His 2017 Individual Tax Provisions

Ballard Spahr LLP on

President Trump signed into law what is commonly referred to as the One Big Beautiful Bill Act (OBBBA), extending provisions from the Tax Cuts and Jobs Act of 2017 otherwise set to expire at the end of this year. The new...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

Offit Kurman

H.R.1 Ends Taxes on Tips & Overtime: Employer Guide

Offit Kurman on

On July 4, 2025, President Donald J. Trump signed H.R.1—the One Big Beautiful Bill Act—into law following its narrow passage in the House of Representatives just days earlier. Touted as the Trump administration’s marquee...more

Lathrop GPM

Tax Update: One Big Beautiful Bill Act Signed Into Law – What Does It Mean for You?

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On July 4, 2025, President Trump signed into law the massive spending and tax package known as the “One Big Beautiful Bill Act” (OBBBA). The OBBBA makes tax provisions from the 2017 Tax Cuts and Jobs Act permanent, in some...more

Littler

Policy Week in Review – July 2025 #1

Littler on

“Big Beautiful” Reconciliation Bill Pending Final Passage in the House  Earlier this week, the U.S. Senate passed the reconciliation bill by a narrow vote of 51-50, with Vice President JD Vance casting the tie-breaking vote....more

Falcon Rappaport & Berkman LLP

No Tax on Tips: Pragmatic Tax Proposal or Populist Tax Policy Nightmare?

Recently, both major-party presidential candidates have come out in favor of a “no tax on tips” proposals, though neither candidate has indicated how to implement one. There have been proposals from other legislators, though...more

Burr & Forman

New Alabama Overtime Tax Exemption and Employer Reporting Obligations Coming in January 2024

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Alabama employers should be aware of the new state tax exemptions that take effect for certain overtime payments beginning on January 1, 2024. Alabama has temporarily modified its tax code to exempt from state tax amounts...more

Littler

Treasury Department’s Greenbook Discusses Tax Treatment of On-Demand Pay

Littler on

The U.S. Department of the Treasury has released a document to explain the revenue proposals included in President Biden’s FY 2023 proposed Budget.  For the second consecutive year, the General Explanations of the...more

Nelson Mullins Riley & Scarborough LLP

Gold Dome Report – Legislative Day 8 2022

Although Wednesday was Mental Health Day at the State Capitol, legislators and lobbyists appeared much more checked out on Thursday. Both chambers convened, and the House debated and passed HB 841 (putting forth a referendum...more

Burr & Forman

Corporate E-note - December 2021

Burr & Forman on

Resources - South Carolina Business License Reforms Go Into Effect January 1, 2022 - South Carolina businesses have historically been subject to business license taxes on their gross income that vary widely from...more

Jackson Lewis P.C.

Bonuses Prompted By Federal Tax Reform And Pay For Charitable Volunteer Time Were Properly Excluded From Employees’ Overtime...

Jackson Lewis P.C. on

Affirming the dismissal of wage and hour claims against “big box” retailer Lowe’s, the Fourth Circuit Court of Appeals agreed that company bonuses, provided to employees following 2018 revisions to federal tax law, were...more

McDermott Will & Emery

[Event] Capital Perspective: An Analysis Of Hot Topics In Benefits And Compensation - September 10th, Boston, MA

McDermott Will & Emery on

The ERISA Industry Committee (ERIC), Fidelity and McDermott invite you to join your peers and colleagues for breakfast and an interactive discussion around hot topics in benefits and compensation. Areas of focus will include:...more

Fisher Phillips

Call for Federal Legislative Changes Growing in the Gig Arena

Fisher Phillips on

As I wrote previously, it is no secret that labor laws have been unable to keep pace with the changing economy, despite challenges from the bench to address the needs of the gig economy. Certain state legislatures (e.g....more

Akin Gump Strauss Hauer & Feld LLP

Swiss Tax Law Changes: New Withholding Tax Rules

• Under Swiss law, Swiss employers must levy an employment withholding tax on the salary received by foreign nationals who do not hold a permanent residence permit. • Only taxpayers whose salary exceeds a certain amount...more

Clark Hill PLC

Window On Washington - Vol. 2, Issue 41

Clark Hill PLC on

Outlook for This Week in the Nation's Capital - Recess. The Senate recessed last week after leadership reached an agreement to accelerate consideration of multiple juridical nominations in order to depart two weeks earlier...more

Clark Hill PLC

Window On Washington - Vol. 2, Issue 36

Clark Hill PLC on

Outlook for This Week in the Nation's Capital - Minibus Progress. The first minibus package, which contains the Energy and Water, Military Construction and Veterans Affairs, and Legislative Branch appropriations bills, is in...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

Clark Hill PLC

Window On Washington - Vol. 2, Issue 20

Clark Hill PLC on

Outlook for This Week in the Nation's Capital - Farm Bill Re-vote? Last week’s vote on the farm bill failed after the Freedom Caucus refused to support the measure. A roll call vote on the motion to reconsider was postponed...more

Maynard Nexsen

New Tax Law May Affect Mileage Reimbursement Policy for Employers

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Outside of potential minimum wage issues, there is no federal law requiring employers to reimburse employees who use their personal vehicles for business purposes....more

Steptoe & Johnson PLLC

Tax Reform Could Increase Employer Relocation Costs

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The costs associated with employee relocation reimbursements may increase as a result of the Tax Cuts and Jobs Act (“Act”). This change affects both for-profit and nonprofit employers...more

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