Payroll Tax RollerCoaster Hassle For Employers, Self-employed
Tax and benefit changes at the congressional level are creating a headache for small business and the self employed.
Keith Hall, tax advisor with the National Association for The Self-employed says this year it's more important than ever to keep track of what's going on.
At this point the two month extension of the payroll tax cut means an added layer of detail.
"Self employment tax is going to be effected those two months. If they have employees the pay check calculations are going to be different beginning March 1st. So in the same year we're gonna have to go through two sets of calculations, both as the worker and as the boss."
Hall says calculating self employment tax and the quarterly amount sent to the IRS will also shift if the tax break isn't extended. So that means more complexity and changes that need tracking.
Find more information at www.irs.gov