Keeping Up with IRS Payroll Initiatives

Keeping Up with IRS Payroll Initiatives

Keeping Up with IRS Payroll Initiatives

Payroll is one thing every business has to get right — to keep employees happy and stay out of trouble with the IRS (Internal Revenue Service). The laws and regulations governing payroll-tax withholding, deductions, and reporting are extremely complex, and the penalties for noncompliance are steep. The rules do not stay the same; every year, the IRS finds new ways to get its due. Staying on top of these ever-changing rules is a full-time job in itself.

Fortunately, there are resources you can use to ensure you are in compliance and to answer questions about how to treat various forms of compensation.

The IRS Web Site

The IRS's official Website is the ultimate source for all matters relating to payroll. From the site, you can download current guidance on many payroll matters, including:

  • Publication 15 - Circular E, Employer's Tax Guide
  • Publication 15-A - Employer's Supplemental Tax Guide
  • Publication 15-B - Employer's Tax Guide to Fringe Benefits
  • Publication 505 - Tax Withholding and Estimated Taxes
  • Publication 509 - Tax Calendars (when to file what)
  • Publication 521 - Moving Expenses
  • Publication 525 - Taxable and Nontaxable Income
  • Publication 553 - Highlights of Tax Changes
  • Publication 910 - Guide to Free Tax Services

The IRS Website also has PDF copies of all the forms you need to file.

The APA (American Payroll Association)

The APA's (American Payroll Association) Website is also an excellent tool for finding answers to specific payroll questions. A one-year new membership costs $230.

The Weblinks page provides instant access to state and local tax laws. You can also find books, resources, and information regarding educational events to hone your tax-compliance knowledge.

The Members Only section of the site is full of helpful tools. One of the site's greatest strengths is the ability to network with other payroll professionals. You can find multiple ways to do just that, including:

  • APA Listserv: This email service lets members post questions about their payroll-related issues, many of which relate to tax compliance. Fellow members who are knowledgeable will post responses. Even if you do not have a question, you should read this list every day to expand your payroll expertise.
  • Chapter Network: This link allows you to find local chapters of the APA, find out about local and regional meetings, locate a CPP (Certified Payroll Professional) study group, and learn how to start a local chapter. Chapter connections are especially valuable when dealing with state and local payroll-tax issues.
  • Member Search: Using this feature, you can locate other APA members by searching company name, payroll software used, or location. You can also look up vendors if you need payroll software. Most members include an email address and phone number, which makes contacting them easy. This feature is extremely helpful when you have a payroll-tax-compliance question specific to your locality industry.
  • Online Hotline: APA's Online Hotline allows members to submit payroll-related questions and volunteer their expertise. You can enter a question and your email address. The question will then be routed to an APA Hotline member with knowledge in the subject area you indicate. APA Hotline members are committed to answering questions quickly and clearly.

Forms, Publications, and Information Page: This page has direct guidance from the IRS and primary-compliance information, including late-breaking information on:

  • Draft forms and instructions
  • Tax forms and instructions updated annually by tax year
  • Tax forms and instructions not updated annually
  • Nontax forms and instructions
  • Publications updated annually
  • APA allowance tables
  • Per diem rates
  • Guidance - DHS, IRS, and SSA

Payroll Currently: This links you to the APA's newsletter, which discusses payroll legislation and regulatory changes. You can read the current issue and research payroll questions in archives dating back to 2003.

Government Relations: Members can read about tax-compliance lobbying efforts undertaken by the APA's Washington D.C. bureau.

Job Digest: Find a job or an employee in the fields of payroll, HR, finance, benefits, and accounting.

The APA is a strong national association of thousands of payroll professionals. It is an invaluable resource for staying abreast of changing laws and regulations.

PPC's Payroll Tax Deskbook

A unique software guide to payroll-tax compliance issues comes from the publishers of Thomson Reuters Tax & Accounting resources. The Payroll Tax Deskbook costs $215 for a stand-alone version that you can download. Multiuser versions are available by contacting a sales representative.

This easy-to-understand product identifies and solves many of the trickiest questions when preparing IRS payroll and informational forms. It helps payroll practitioners understand the complex, ever-changing payroll rules. It also contains specific line-by-line guidance for preparing and filing the most common payroll and information reporting forms, including Forms W-2, W-4, W-5, 940, 941, 943, 944, 945, 1040 (Schedule H), 1099 series, and 8027.

The Deskbook includes the latest judicial, legislative and regulatory information needed to comply with all federal withholding, deposit, and reporting requirements. It also provides coverage of other important topics such as worker classification, Section 530 relief, and paying workers who work abroad. The Deskbook includes tax calendars, withholding tables, and filled-in forms to help you understand the concepts involved.

When you need answers to federal-payroll-tax questions quickly, PPC's Payroll Tax Deskbook can supply them. But it does not deal with state or local issues.

How do payroll software solutions help large businesses?

Payroll software is used to automate all steps in the payroll procedure for small to large companies. It assists in managing payments for employees by making it convenient to hold back payroll taxes, set up direct deposits, and keep precise records to avoid getting fined. All of these procedures can be time-consuming if done manually, and the chances of making a mistake are always higher. The IRS, in 2020, assessed that above $4.9 billion were in penalties for problems such as bad checks and pay.

The best payroll for large business

These are 15 top payroll software for large companies that we have chosen to help you. Here’s a list of payroll software names we've made after reading payroll software reviews, looking at their important integrations, ease of use, convenience, cost, support, and reporting features. 

  1. QuickBooks payroll
  2. EPAY systems
  3. OnPay
  4. Justworks
  5. Gusto
  6. Vibe HCM
  7. Rippling
  8. SectricWorkforce
  9. Trolley
  10. Sage50cloud
  11. Xero
  12. HRAPP
  13. Zenefits
  14. ADP Workforce Now
  15. Paycor

Businesses that employ workers, whether part-time or full-time, or by contract, must consider using payroll software. Ultimately, submitting payroll taxes is needed, thus making it easier for yourself by using the best payroll for large businesses. SaaS payroll can save your time, avoid human error and make sure everybody gets paid the correct amount and on time. Based on the size of your business, you must choose software payroll that runs payroll for all employees, automates calculations, and files payroll taxes. Payroll cloud software belongs to payroll SaaS companies. You pay for its monthly subscription to access support and benefit from regular software updates. Payroll4Free is a free option for startups, but you won't get the automation and advanced features of a paid software service. 

How should you choose the best payroll software for large companies?

You can compare the best payroll software from the list mentioned above and choose one according to your business needs. Many popular payroll software companies have launched payroll software with powerful features and affordable pricing plans. Comparison of payroll software allows you to understand their features, pros and cons, and their services for your company in a better way. We made the above list of popular payroll software based on main features like reporting and direct deposits.