MD CPA's & Advisors Headline News
Business Standard Mileage Rate Decreases in 2016
The IRS has announced that the business standard mileage rate for transportation expenses paid or incurred beginning January 1, 2016, will be 54 cents per mile, down three and one half cents from the 57.5 cent rate in effect during 2015.
In addition, the 2016 standard rate for miles driven for medical or moving purposes will decrease to 19 cents per mile, down from the 23 cents per mile rate in effect during 2015.
Finally, the standard mileage rate for operating a passenger car for charitable purposes, which is set by law, will stay at 14 cents per mile in 2016.
AFFORDABLE CARE ACT
Beginning January 1, 2014, individuals and employees of small businesses will have access to affordable coverage through a new competitive private health insurance market - the Health Insurance Marketplace. The Marketplace offers "one-stop shopping" to find and compare private health insurance options.
Here are just a few of the things you need to know now regarding the Health Care Law:
- Your employment levels in 2014 determine whether you're subject to the law's employer mandate in 2015. Employers who average 50 or more full-time-equivalent employees over the 12 months of 2014 are considered "applicable large employers" for 2015 and will be required to offer full-time employees and their dependents the opportunity to enroll in a qualifying health plan starting in 2015, or face possible penalties.
- If your business averages fewer than 50 full-time-equivalent employees in a calendar year, you are considered a small employer under the 2010 health care law for the following calendar year. Small employers aren't required to offer employees health benefits, and won't face tax penalties if any employees get federal subsidies to help them buy private health insurance through government-run exchanges.
The Health Care Law, including your responsibilities as an employer, is very complex. By no means is this a summary of the law. For more information regarding your responsibilities as an employer, please contact your insurance provider or visit the Department of Labor website here.