Tax & Accounting Blog

Form 1099: Pennsylvania has new requirement for 1099-MISC reporting for 2012

Form 1099: Pennsylvania has new requirement for 1099-MISC reporting for 2012

A new Pennsylvania tax law requires Form 1099-MISC reporting of some types of payments, beginning with reportable payments made in calendar year 2012 (reported in 2013).  Pennsylvania is not a participating state in the IRS Combined Federal/State Filing Program, so reportable 1099-MISC information will have to be filed directly to the Pennsylvania Department of Revenue. … Read More

FATCA: Switzerland and Japan sign statements for cooperation with the U.S. in FATCA implementation

FATCA: Switzerland and Japan sign statements for cooperation with the U.S. in FATCA implementation

The United States Treasury Department has issued a joint statement with Japan, and a joint statement with Switzerland, for intergovernmental cooperation in the implementation of the U.S. Foreign Account Tax Compliance Act (FATCA).   In both Japan and Switzerland, financial institutions may not be able to comply with all of the reporting, withholding and account closure … Read More

NEW W-8IMY FORM:  DRAFT RELEASED BY IRS

NEW W-8IMY FORM: DRAFT RELEASED BY IRS

The third in a series of revised Forms W-8 has been released, in draft form, by the IRS.  The draft Form W-8IMY, Certificate of Foreign Intermediary, Foreign Flow-Through Entity, or Certain U.S. Branches for United States Tax Withholding, is part of the process of making the W-8 series of forms serve for purposes of compliance … Read More

A Study Questions the True Benefit of Sales Tax Holidays

A Study Questions the True Benefit of Sales Tax Holidays

Sales tax holidays are normally viewed as a boom for retailers, but even industry advocates are conceding that this year’s tax holidays may be the toughest yet for small store owners. Some economists and tax policy experts agree that sales tax holidays do not significantly increase consumer purchasing. Instead, the highly-publicized events just mean customers postpone … Read More

Information Reporting on Form 1042-S, A New Challenge for Accounts Payable – Part 5: Payments to Artists and Athletes Recipient Code

Information Reporting on Form 1042-S, A New Challenge for Accounts Payable – Part 5: Payments to Artists and Athletes Recipient Code

The IRS Explanation of Codes includes footnote 2 which states that Recipient Code 09 (artist or athlete) should be used instead of Recipient Code 01 (Individual), Code 02 (Corporation), and Code 03 (Partnership) if the Income Code is 20. Income Code 20 is used for performance earnings of artists and athletes. These terms have been … Read More

A New Perspective on Global Transfer Pricing

A New Perspective on Global Transfer Pricing

Spotlight on Momentive Performance Materials It’s great to hear first-hand accounts of how other companies are handling their global transfer pricing process. In this video, John Palladino, International Tax Director at Momentive Performance Materials shares some transfer pricing best practices. Hear this inspiring story of how by taking their transfer pricing process in-house, the … Read More