Articles and Tax Tips

FICA tax liability on payments made to foreign students, scholars, teachers, researchers, and trainees may sound like an easy topic, but it actually has several traps that can trip up the unwary higher education AP department. This week let's take a deeper look at this issue.

Late last month a California Court of Appels issued a ruling which has a direct impact on out of state businesses generating in-state revenue (known in the parlance of our times as "nexus"). This week let's take a deeper look at this ruling.

The IRS TIN Matching Program is an internet-based program allowing payers to verify if a payee’s name and TIN matches what the IRS has on its records.To use the program your organization's principal has to be the one to sign up. But who is your principal?

Colorado's growing economy means there is a greater likelihood that your out of state organization is doing in-state business generating revenue leaving you subject to State 1099 reporting and compliance laws. This week let's take a brief look Colorado, with an eye towards what it requires of Accounts Payable professionals.

Here we are in the waning weeks of spring and suddenly your vendor sends you a new Form W-9 showing that they have incorporated. This week let's examine exactly how to handle such a situation.

We always tell our clients that the key to understanding your IRS due diligence compliance and reporting requirements revolves around answering two questions: who is your payee and what is the payment for? In the case of the Non-Resident Alien payee this can get tricky fast.

AP pro's are traditionally instructed that when an attorney is paid for services they did not perform for your organization that amount is reported in Box 14 of the Form 1099-MISC. But does this only apply to "gross proceeds" or does it apply to actual payments to the attorney. This week let's explore this highly technical issue.