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FLSA - Industries and Occupations

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IRS Will Begin Implementing New Service Charge Rules Effective January 1, 2014

Littler·

In June 2012 the IRS issued Revenue Ruling 2012-18, explaining the difference between a tip and service charge, and emphasizing that services charges are wages. While both service charges and tips are subject to employment taxes, there are different reporting obligations associated with each categor

Healthcare Industry Legal Alert: The Companionship Exemption for Agency Employed Home Care Workers May End As Early As This Month. Are You Prepared to Defend Your Agency Against the Lawsuits That Will Follow?

FordHarrison·

Executive Summary: It has been reported that the Department of Labor (DOL) will issue a rule this month revising its regulations to eliminate the Fair Labor Standards Act's (FLSA) companionship exemption for agency-employed home care workers. This rule will expose home care agencies to significant w

Legal Alert: New Authority Concerning Tax Treatment of Tips

FordHarrison·

The Revenue Ruling discusses the assessment of employer FICA taxes on tips, including the application of section 3121(q) of the Internal Revenue Code (the "Code") and the application of the credit allowed under section 45B of the Code, but warns that it is first necessary to determine whether a paym