2017 News Archive

January 2017 Newsletter

In this issue:

  • Congress Eliminates IRS Penalty on Employer Reimbursements for Health Insurance
  • Some Small Businesses Proceed with Overtime Pay Changes
  • Baby Boomers Need Help to Maximize Retirement Savings
  • How to Retain Young Finance Pros
  • and more!

February 2017 Newsletter

In this issue:

  • Simonson, Others Weigh in on the State of Construction
  • Millions of Workers will Pay More Taxes in 2017 D espite Not Having a Higher Tax Rate
  • The High Cost of Incivility in the Workplace
  • 3 “Must-Haves” for Retaining Top Talent
  • and more!

March 2017 Newsletter

In this issue:

  • Data Mining Gains More Cachet in Construction
  • Consumer Prices in U.S. Increase by Most Since February 2013
  • Understanding the Effects of Social Security’s Rising Retirement Age
  • What Drones Mean for the Construction Sector
  • and more!

April 2017 Newsletter

In this issue:

  • Does Your Company Need a Czar of Bad Systems?
  • Arbitration Program Suggested to Speed Up Infrastructure Construction
  • Why “Complete ERM” is a Myth
  • Tactics for Communicating Effectively with Your Boss
  • and more!

May 2017 Newsletter

In this issue:

  • New Bridge Being Constructed on Outer Banks in N.C.
  • New CEOs: Look at Your Company Like an Outsider
  • How Slow Internet Speeds Affect Finance Departments
  • 7 Things Great Bosses Tell Their Employees Every Single Day
  • and more!

June 2017 Newsletter

In this issue:

  • Why Understanding Valuation Methods is Paramount to Success of Early-stage Health Tech Companies
  • Tax Court Decision Addresses Self-Employment Taxes of LLC Members
  • Tips to Manage Sustainability Risks and Drive Value
  • What Does Your Capital Deployment Say About Your Growth Expectations?
  • and more!

August 2017 Newsletter

In this issue:

  • 6 Traits of Leading Finance Functions
  • What Proposed Regulations on the Fractions Rule Mean for Tax-Exempt Organizations
  • Microsoft Could Provide Early Test of New Lease Accounting Rules
  • Lawmakers Consider TIFIA Loan Program Expansion
  • and more!

September 2017 Newsletter

In this issue:

  • A Dream Board Can Help Boost Your Career
  • Do You Have any Privacy Online at Work?
  • How Outstanding Leaders Differentiate Themselves
  • The Case Against DIY Human Resources
  • and more!

October 2017 Newsletter

In this issue:

  • Program Helps Employers Offer Student Loan Repayment
  • State Tax Considerations for Foreign Companies with Inbound US Investments
  • CFOs Growing Role: Culture Champions
  • Hurricane Irma Victims get IRS Reprieve
  • and more!

November 2017 Newsletter

In this issue:

  • Study: RIAs on Track to Set M&A Record
  • How to Survive a Stock Market Downturn
  • Interest Rate Hike could be Coming, Minutes Show
  • Americans’ Financial Well-Being Reaches Record High
  • and more!

December 2017 Newsletter

In this issue:

  • Senate Tax-Reform Bill Contains More Changes
  • How to Find the Best Talent in the Current Economic Climate
  • Goldman Economists Expect 4 Rate Hikes in 2018
  • Key Parts of Every Mentoring Relationship
  • and more!

Non-Profit News: January 2017

In this issue:

  • How Tax Law Changes May Impact Charitable Giving
  • A Deeper Dive Into ASU 2016-14
  • Foreign Income Tax for Employees
  • IRS Issues 2017 Work Plan for Tax Exempt Organizations
  • and more!

Non-Profit News: Spring 2017

In this issue:

  • Building a Resilient Organization – A Toolkit for Nonprofit Boards to Manage Transformational Change
  • Public Charities and Private Foundations – What’s the Difference?
  • Accounting and Financial Reporting for Other Postemployment Benefit Plans
  • Supporting Organizations Could Be Putting Their Charity Designation at Risk
  • and more!

Non-Profit News: Summer 2017

In this issue:

  • Three Critical Privacy Issues Every Nonprofit Entity Should Consider
  • So, You Want to Terminate Private Foundation Status and Become a Public Charity!
  • Board Governance: A Board Member’s Perspective
  • IRS Focused on Charitable Donation Substantiation Compliance
  • and more!

Non-Profit News: Fall 2017

In this issue:

  • FASB Issues Exposure Draft on Accounting for Contributions Received and Contributions Made
  • IRS Revokes Hospital’s Tax-Exempt Status, Shedding Light on Section 501(r) Compliance Concerns
  • Obstacles Turned Opportunities in the Nonprofit Infrastructure
  • Critical Conversations Between Managers And Employees – Do We Have To?
  • and more!

Non-Profit News: Winter 2017

In this issue:

  • Nonprofits: The New Kids on the Blockchain
  • IRS Issues 2018 Work Plan for Tax-Exempt Organizations
  • Year End Accounting Update Summary – What is On the Horizon?
  • What Organizations Should Do To Maintain Exemption and Public Charity Status
  • and more!

Tax Cuts and Jobs Act of 2017

After months of intense negotiations, the President signed the “Tax Cuts And Jobs Act Of 2017” (the “New Law”) on December 22, 2017 – the most significant tax reform since 1986! It is no overstatement to say that this mammoth tax bill will have a significant impact on virtually every business and individual.

August Recess and the State of Play on Tax Reform

On July 27, 2017, in the wake of the failure of any legislative changes to health care policy, Speaker Paul Ryan, Majority Leader Mitch McConnell, Treasury Secretary Steven Mnuchin, National Economic Council Director Gary Cohn, Senate Finance Chair Orrin Hatch, and House Ways and Means Chair Kevin Brady issued a joint statement on tax reform.

Breaking Down the Equifax Data Breach

Equifax, one of the “Big Three” credit reporting agencies, disclosed a massive data breach in a press release on Sept. 7—six weeks after the breach was discovered. Over the course of three months, hackers exploited a website application vulnerability to access the personal data of as many as 143 million Americans—nearly half the U.S. population.

Healthcare News

In this issue:

  • Cures Act Provides World of Opportunity for Healthcare Innovation but Requires Providers to Read the Fine Print to Mitigate Compliance Risk
  • IOT in Healthcare Presents Opportunity but Also Prompts Higher Guardrails Around Cybersecurity, False Claims Act
  • As Healthcare Focuses on False Claims Liability, Industry Should Mind the GAAP
  • and more!

Important Notice from The NC Department of Revenue Sales and Use Tax Division

The NC Department of Revenue Sales and Use Tax Division has issued “Important Notice: Additional Information Regarding Real Property Contracts and Retail Sales of Repair, Maintenance, and Installation Services to Real Property”.

This notice includes a list which provides general guidance to assist with making a determination as to whether a transaction is a real property contract with respect to a capital improvement; subject to tax as a retail sale of repair, maintenance, and installation services; or exempt from sales and use tax.

Please contact your trusted advisor at Williams Overman Pierce if you have questions about the notice or about your specific situation.

IRS Confirms ACA Penalties Still Apply, So ACA Reporting on Forms 1094 and 1095 Continues Too

Amidst the White House and legislative activities aimed at repealing the Affordable Care Act (“ACA” or colloquially referred to as “Obamacare”), many employers are questioning whether the ACA penalties will be enforced for prior year violations and if its reporting requirements still apply to the current year. The IRS has recently confirmed that Obamacare continues to be the law of the land, taxpayers are required to follow the law, and the IRS will continue to enforce its provisions.

NHL Team Prevails in Tax Case: Away from Home Meals are 100 Percent Deductible

The Boston Bruins case represents a potential (but not guaranteed) opportunity for employers outside of the sports industry to deduct 100 percent for meals provided to their employees far away from the business premises.

House Passes Tax Reform Bill; Senate Finance Committee Considers Bill of its Own

On November 9, 2017, the Senate Finance Committee released its version of proposed tax reform legislation, the “Tax Cuts and Jobs Act,” which the Committee is marking up this week. The House of Representatives passed its tax bill on November 16; however, the bill under consideration by the Senate Finance Committee differs in several respects, including individual tax rates, itemized deductions, retaining the estate and GST taxes, the timing of changes to the corporate tax rate, and pass-through tax rates.

New Proposed Regulations Address Signature Requirement for Section 754 Election

On October 11, 2017, Treasury issued proposed regulations (REG-116256-17) (Proposed Regulations) that would remove the signature requirement associated with making a section 754 election to adjust the basis of partnership property. The Proposed Regulations would reduce regulatory burdens by eliminating partnership relief requests for unsigned section 754 elections.

Senate Passes its Version of Tax Reform Setting Stage for Conference Committee Action and Possible Enactment Before the New Year

In the very early hours of Saturday morning December 2, 2017, the Senate passed its version of proposed tax reform legislation, the “Tax Cuts and Jobs Act” 51-49, with Senator Bob Corker (Tenn.) as the only Republican voting against the bill. The House previously passed its own tax bill on November 16, 2017.

President Obama Signs Bill that Eliminates the ACA Penalty on Certain Health Care Premiums Reimbursed to Employees

On December 13, 2016, President Obama signed the 21st Century Cures Act, which allows certain small employers to establish a new type of health reimbursement arrangement that reimburses for health insurance premiums without exposure to the $100 dollar per day penalty under the Affordable Care Act (“ACA”).

Auto Industry Speeds into 2017 with Technology & Mobility

Boasting more than 800,000 attendees, 5,100 journalists, 40,000 industry insiders and 46 vehicle debuts, the 2017 North American International Auto Show (NAIAS) provided an estimated economic impact of $450 million to the area—roughly the equivalent of hosting the Super Bowl twice—according to the Detroit Automobile Dealers Association, up $20 million from last year’s estimates.

Technology’s Post-Election Future: Spotlight on Trade & Immigration

As President Trump nears his 100-day mark, Silicon Valley has already experienced a whirlwind of political activity. Within the first three months, the president has implemented a flurry of “America first” policies that have elicited a myriad of reactions from the tech world—including Apple’s Tim Cook, Google’s Sundar Pichai and Uber’s Travis Kalanick, among others.

Trump Administration Announces President’s Outline for Tax Reform

On April 26, 2017, Treasury Secretary Steven Mnuchin and National Economic Council Director Gary Cohn announced President Donald Trump’s outline for individual and business tax reform, which includes new federal income tax rates and repeal of the estate tax.

Automation In Manufacturing & Distribution: Are Job Cuts The Future?

We’re at the onset of the next big industrial revolution–and the widespread adoption of new technologies, including Internet-connected devices, machine learning and robotics in the manufacturing industry. Strides in automation have significantly boosted U.S. manufacturers’ output in recent years, and the industry is just beginning to understand and exploit the full potential of technology and disruptive supply chain models to reinvent manufacturing as we know it.

Back to Basics: Why Adhering to Central Real Estate and Facilities Management Principles is Critical for Hospitals in Time of ACA Uncertainty

President Trump and the Republican leadership’s plan to repeal the Affordable Care Act (ACA) has created a climate of uncertainty across the healthcare industry, with direct impact on real estate and facilities healthcare operations.

Tax Court Decision Addresses Self-Employment Taxes of LLC Members

In Vincent J. Castigliola, et ux., et al. v. Commissioner, TC Memo 2017-62, the Tax Court held that the three members of a Mississippi Professional Limited Liability Company (“PLLC”) in the practice of law were subject to self-employment tax on their entire distributive share of the PLLC’s income, despite the fact that they received guaranteed payments commensurate with local legal salaries.

Why Understanding Valuation Methods Is Paramount to Success of Early-stage Health Tech Companies

The healthcare industry is facing significant changes, not only in the practice of medicine, but also in the tools by which providers practice. Significant changes are also underway to the methods by which healthcare is paid for vis-a-vis value-based payment models. Technological advancements have opened the door to an era of digital medicine, an expanded environment for telemedicine and the increased use of robotics in patient care.

IRS Issues Clarifying Guidance on the PATH Act Changes to Section 179 and Bonus Depreciation

The Protecting Americans from Tax Hikes Act of 2015 (“PATH Act” or “The Act”) included amendments and changes to §§179, 168(k), and 168(j). The changes made in The Act are effective for property placed in service in taxable years beginning in 2016. A major impact of The Act is the creation of a new category of qualified property, called qualified improvement property, eligible for the additional first-year depreciation deduction (bonus depreciation)under §168(k).

North Carolina Legislature Overrides Governor’s Veto and Enacts Budget Bill – Corporate Rate Reduction and other Tax Changes

North Carolina has enacted a budget bill, S.B. 257, which, among other things, reduces the state’s corporate income tax rate from 3 percent to 2.5 percent, effective for taxable years beginning on or after January 1, 2019. The governor had vetoed the bill, but on June 28, 2017, the legislature overrode that veto. The budget bill also includes a franchise tax rate reduction for S corporations, a rate reduction and other changes for personal income tax, and other sales and use tax changes.

Real Estate News

In this issue:

  • Cybersecurity: A Business Threat for Contractors
  • REIT IPO Watch: 2017 Progress Report
  • Effects of Potential Tax Reform on the Real Estate Industry
  • and more!

North Carolina Legislature Overrides Governor’s Veto and Enacts Budget Bill – Corporate Rate Reduction and other Tax Changes

North Carolina has enacted a budget bill, S.B. 257, which, among other things, reduces the state’s corporate income tax rate from 3 percent to 2.5 percent, effective for taxable years beginning on or after January 1, 2019. The governor had vetoed the bill, but on June 28, 2017, the legislature overrode that veto. The budget bill also includes a franchise tax rate reduction for S corporations, a rate reduction and other changes for personal income tax, and other sales and use tax changes.

How Employers Can Assist Employees Who Are Victims of Hurricanes

In the case of a presidentially declared disaster, such as a hurricane, an employer has several opportunities to provide assistance to affected employees that have favorable tax treatment.

House Tax Bill Released

On November 2, 2017, the House of Representatives released a draft tax reform bill titled the “Tax Cuts and Jobs Act.” The bill would reduce individual and business tax rates, would modify or eliminate a variety of itemized deductions as well as repeal the estate and alternative minimum taxes, and would change the taxation of foreign income.