The following article by James N. Phillips appeared in the February 13, 2019 issue of the Business Law Section Blog of the State Bar of Wisconsin and is being reposted from that site with the permission of the author and the State Bar of Wisconsin.


Jim Phillips, Iowa 1979, is a shareholder in the

PAYROLL TAX CUT EXTENSION PASSES

On February 22, 2012, the President signed into law the Middle Class Tax Relief and Job Creation Act. Under this new law, the payroll tax cut was extended until the December 31, 2012 which means that:

·        For employees: the Social Security portion of the payroll tax will stay at

On September 14, 2011 the IRS issued Notice 2011-72, intended to provide "guidance on the tax treatment of cellular telephones or other similar telecommunications equipment (hereinafter collectively ‘cell phones’) that employers provide to their employees primarily for non-compensatory business purposes."

The Notice states that when such a cell phone is provided to an employee primarily for non-compensatory business reasons, the IRS will treat use of the cell phone for reasons related to the business as a working fringe benefit, the value of which is excludable from the employee’s income.


Continue Reading New IRS Notice on Tax Treatment of Employee Cell Phones

My good friend, Ed DeFrance, at Baird, just sent me an article Baird puts out about the new health care law and a new tax which will affect high income filers. It seems that if you have household income over $250,000, starting in 2013, a new Medicare Tax of 3.8% will apply to interest, dividends, capital gains, rents and royalty income. This is in addition to


Continue Reading Is It Time To Sell The Farm?