Zinner & Co. Blog and Newsroom

House Bill 168 and Ohio’s State Unemployment Tax Savings

Posted by Zinner & Co. Tax Team on Jul 30, 2021 9:29:55 AM

As small business owners complete the second quarter 2021 filing of their state unemployment tax payments with the Ohio Department of Job and Family Services, they should be aware that tax saving benefits have been preserved for the coming years.

On June 29, Gov. Mike DeWine signed House Bill 168, which appropriates $2.2 billion of the $2.7 billion that Ohio is slated to receive this year under the federally funded American Rescue Plan.

For many small business owners, this allocation will have a direct impact on the cost of unemployment tax payments in the coming year, as the allocation will be applied in repayment of the nearly $1.5 billion loan received from the federal government to cover increased unemployment claims paid during the pandemic.

If this loan was not repaid, the federal government would have begun charging interest on the unpaid balance. These interest charges would have resulted in unprecedented increases in employer burdened unemployment taxes of 50 percent, 100 percent and 150 percent in successive years. The Ohio Chamber of Commerce estimates the repayment of the federal loan will save Ohio employers approximately $650 million over the next three years.

“All of this recovery would have been much harder if they would have had to bear the burden of an additional tax on literally hiring people,” said Lt. Gov. John Husted in a prepared statement. “It will help fuel Ohio’s recovery. It will help Ohio employees. It will truly touch every community and every business in the state.”

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Topics: Ohio business owners, Taxes - Corporate & Business, Unemployment Benefits, Ohio Department of Jobs and Family Services

Ohio Budget Includes Changes to Municipal Income Tax

Posted by Zinner & Co. Tax Team on Jul 2, 2021 2:22:00 PM

On July 1, Ohio Gov. Mike DeWine signed House Bill 110 into law approving the state’s $72 billion two-year budget.

The biennial budget provides funding for state operations, overhauls K-12 school funding, provides $250 million in broadband support for underserved areas and makes numerous tax policy changes.

One of the more notable tax-related changes involves the municipal income tax and working from home.

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AICPA Not for Profit Conference Highlights Upcoming Changes

Posted by Zinner & Co. Non-Profit Team on Jun 30, 2021 3:07:00 PM

In June, the American Institute of Certified Public Accountants held a virtual Not for Profit Conference, which discussed a range of issues including stimulus funding, changes to tax law, cybersecurity and changes to independent auditors report.

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PPP Loan Forgiveness and the Tax Impact on Pass-through Businesses

Posted by Zinner & Co. Tax Team on Jun 25, 2021 4:46:00 PM

For many business owners, the Paycheck Protection Program loan journey is not over when they receive acknowledgement of loan forgiveness from their local lender and from the Small Business Administration. From a tax perspective, the map that lays out the tax impact remains unclear.

During the fourth quarter of 2020, the primary question most business owners and tax professionals grappled with was whether or not the expenses paid using PPP Loan proceeds would be tax deductible and/or whether the loan proceeds were considered taxable income. The uncertainty related to these questions made tax planning for the 2020 calendar year difficult

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From a Business Perspective - What Has COVID Taught Us?

Posted by Robin Baum, CPA, Managing Partner on Jun 22, 2021 3:33:00 PM

As we re-open our economy after 16 long months of closure due to the global pandemic, business owners have been forced to pivot in many different areas in order to survive. Looking back at the seemingly split-second decisions many businesses were forced to make, what are the long-term takeaways that will influence your future business operations?

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IRS Sends Out Letters Regarding Monthly Child Tax Credit Payments

Posted by Zinner & Co. Tax Team on Jun 14, 2021 1:30:00 PM

In early June, the Internal Revenue Service started sending letters to families about how they may be able to qualify for monthly Child Tax Credit payments.

The letters are going out to families who may be eligible based on information they included in either their 2019 or 2020 tax return or who used the Non-Filers tool on IRS.gov last year to register for an Economic Impact Payment.

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Topics: IRS, tax avoidance, Tax Credit, Child Tax Credit, American Rescue Plan Act

The Biden Administration's Proposed Tax Law Changes

Posted by Zinner & Co. Tax Team on Jun 8, 2021 9:10:00 AM

In early June, the U.S. Treasury Department released its general explanations of proposed changes to the U.S. tax code.

Please note, the following items have only been proposed. In order to become law, they must pass through both the U.S. House of Representatives and the U.S. Senate.

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Topics: Taxes - Corporate & Business, Taxes - Individual, tax, taxes, income tax, tax avoidance

On a Personal Level - What Has COVID Taught Us?

Posted by Robin Baum, CPA, Managing Partner on Jun 2, 2021 9:31:00 AM

Since last March, our world dramatically changed in many ways! Based upon all of the changes that have been thrust upon us, what have we learned about the following areas of concern that we may not have thought about pre-COVID, regardless of age?

    • If I am unable to communicate on my own, do I have all of the necessary legal documents in place to address my wishes? Do I have a will? Do I need a trust?

    • Have I thought about my healthcare wishes if I become unable to make my own medical decisions? Do I have a Living Will and Healthcare Power of Attorney in place?

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Topics: financial planning, Estates, Gifts & Trusts, planning, Insurance, COVID-19

Zinner & Co. LLP Formal Office Reopening on June 1

Posted by Zinner & Co. on May 27, 2021 4:46:40 PM

On June 2, the Ohio Department of Health issued a Director’s Order to rescind the vast majority of former health orders regarding mask mandates and social distancing. Businesses may continue to require mitigation measures (e.g., masking and social distancing) among those vaccinated and unvaccinated, and individuals may choose to practice mitigation measures.

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Topics: Zinner & Co., COVID-19

DeWine Signs Tax Conformity Bill into Law

Posted by Zinner & Co. Tax Team on Apr 2, 2021 1:51:57 PM

Ohio Gov. Mike DeWine signed Senate Bill 18 into law, which ensures that expenses paid with forgiven Paycheck Protection Plan loans become deductible for state income tax purposes.

The legislation, which was supported by the Ohio Society of CPAs (OSCPA) will conform tax laws in the Buckeye State with recent changes to federal tax law, including deductibility of expenses from the Paycheck Protection Program and excluding $10,200 in unemployment compensation from income tax.

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Topics: Taxes - Corporate & Business, Taxes - Planning, Rules and Returns, Taxes - Individual, ohio, ppp

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